Article Should You Trade Forex or Stocks?

T2W Bot

Staff member
Dec 19, 2004
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#1
Today’s investors and active traders have access to a growing number of trading instruments, from tried-and-true blue chip stocks and industrials, to the fast-paced futures and foreign exchange (or forex) markets. Deciding which of these markets to trade can be complicated, and many factors need to be considered in order to make the best choice.
The most important element may be the trader’s or investor’s risk tolerance and trading style. For example, buy-and-hold investors are often more suited to participating in the stock market, while short-term traders – including swing, day and scalp traders – may prefer markets wherein price volatility is more pronounced. In this article, we’ll compare investing in the forex market to buying into blue chips, indexes and industrials.
Forex Versus Blue Chips The foreign exchange market is the world’s largest financial market, accounting for more than $5 trillion in average traded value each day as of 2016 (date of the most recent BIS...
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tomorton

Well-known member
Feb 28, 2002
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Exeter
#2
I'm sure Jean had to be brief with her article, she could have literally written a book on the differences between the two, plus the differences between forex and indices which she does mention.

The article is conventional, factual and analytical. But these are not the best tools or starting places for the best decision here. I say the choice should be largely driven by trading style - it could be better for people to work out the style they trade best in and then go with whatever instrument suits their style best. It is very much easier to switch charts than to switch styles.
 

dbphoenix

Well-known member
Aug 24, 2003
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#3
Style has less to do with success than whether or not the trader is prepared, is sufficiently capitalized, is patient, is disciplined, has a solid trading plan, understands the dynamics of whatever it is he intends to trade, and can trade emotionlessly. If none of these elements apply, style isn't going to save his bacon.

Db
 

NVP

Well-known member
Jun 21, 2004
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fxcorrelator.com
#5
factual

good piece for understanding the differences

then at least a new trader can make a better decision as to where they will,chose to lose their money
 

Solas0077

Active member
May 29, 2013
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#6
"and the Nasdaq-100 (QQQQ)"

QQQ

Maybe the article is old. It's been a long time since change from QQQQ to QQQ. Yet most facts hold.