If I have 5,000 USD and, with all skills and risks being equal, how much profit can I get from Forex vs. stock trading?

in #forex6 years ago (edited)

You will get much more. Here are the reasons:

  1. Liquidity: Forex liquidity is the top market with $5 trillion transactions a day.
  2. Fee: for stock, you pay much more fee in and out a position, but in Forex the spread is thin, to be specific like $5 for each $100,000 transaction.
  3. Swap: overnight swap in Forex is much lower.
  4. Leverage: some Forex providers go up to 1:2000.
    Cost of a transaction: with Forex, you can start pretty much with 5k; in stock, maybe you can buy 100 shares of blue-chip that limit your possible gain.

Regards,
Will Vu - Forex Investors since 2006

If you see my post interesting, please let me know. Thanks!

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Very dangerous to trade leveraged. Risk control must be the top prio.

Totally agree. Risk management is the key

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