Difference between forex & stocks

Hi guys...Im in forex for some time now, and I never tried to trade
stocks, but now I got interested in them and I plan to trade them
in some near future. I want to know is there some big difference
betwen them, It seems to me that trading the stocks are much easier
than forex!???
I think that the stocks market are not so random like forex.
Few simple answers will help....Thanks

depends on how long you hold a position.
bad -overnight gaps due to earnings or news surprises. only open for about 6 hrs per day - big moves while you are asleep and can not close your position. not nearly as much leverage.
good - for longer term investors - you can protect your position with puts and increase your yield with calls.

Stocks are for the safer investment. Forex is for hedging risks, and if you're really good, it's also for the investment but you have to be really good.

in non leverage manner
stocks provide greater return compared to forex

thus stock is a safer bet for the long run

just make sure you keep close with the global economic condition
and diversify!!!

If you have enough maney to get in, trade stock and futures related.
With the proper softwares u can see the real money flow and how it moves the price!

Lubo.

Something not mentioned is that you can trade CFDs just like the forex. They are directly correlated with the stocks price at any one time.

Hi Mike w,

I agree with your point raised.

CFDs (also traded in the wrapper of spread bets in the UK - tax free gains!) and futures contracts offer equity traders plentiful leverage. Also, most stockbrokers will provide credit facilities against stocks held in their custody, normally at competitive spreads (I pay funding costs 1% over o/n Libor from my main broker).

However, equities are an asset class where there have been some huge percentage terms movements in very short periods of time. As examples, the S&P 500 moved 10% only this week gone and we often witness daily swings greater than this in the largest blue chip stocks.

Therefore, one must question how much, if any, leverage is appropriate on their positions during these volatile times. Personally, I will not currently employ leverage on equities, unless I'm hedged. For instance, I may go long a company I deem to be oversold and then hedge this exposure with a short on the FTSE100, in the belief that my chosen stock's perceived hidden value will cause it to outperform the broader index over a given time.