Welcome to Online Direct Trading

Customer Login:   Password:

STOCKS vs. FOREX

    Once viewed by the public as a way to safely tuck away investment income, securities markets in the last decade have become more speculative. Volatility in the marketplace has grown more extreme, and would-be buyers now take a more cynical approach to implied returns. Many speculators turned to day trading in the late 1990s but soon learned that it took quite a bit of capital, and the return – while potentially greater than long-term investing – was not exponential. After that rush to day trading, many personal traders moved into stock indexes, where they found they could achieve greater leverage with their capital.Like futures, spot currency trading is an excellent vehicle for pattern day traders who desire to leverage their current capital to trade. Spot currency or forex trading can provide great volatility, strong trends and higher leverage than stocks.

Foreign Exchange is the principal market of the world. With daily volume traded reaching $3 trillion a day, the foreign exchange market is not dramatically affected by buying programs that allow it to be easily manipulated. The forex market offers some of the smoothest trends available in any market. This monetary daily volume in forex limits choppy markets, gaps and erratic spikes sometimes experienced in low volume markets, like futures.

FOREX	Stocks
24 hour access	Trading 7 hours a day or less
World’s largest most liquid market	Possibility of no liquidity especially after hours
No middlemen	Middlemen costing investors money either in time or fills
Trade with unrealized profits	Must realize gains to make use of profits
Free real-time quotes	Expensive exchange fees for quotes