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Saturday, October 17, 2009

Want To Trade Stocks Or Forex- Know The Difference

By Rakesh Tambe

In present times all of us understand the concept of trading weather it is stock trading or currency trading. In the forex market the value of one currency is compared to another. If the value of one increases compared to the other then that currency is said to be performing better. Most people who trade stocks think that they understand the finance markets well. Though trading forex can become viable option for a stock trader but he must learn the differences between stock and currency trading.

In the beginning of forex trading career it is good to use a software like FAP TURBO which helps in making gains in the forex market. It is a computer
program which can make trades on its own (without you lifting a finger).

The most notable difference between stock trading and currency trading is that forex market is not regulated or governed by any central authority. The trades are not governed by any government body. This results in eliminating the arbitration in case of a dispute in trade. The trades are mostly based on mutual agreement. The forex market thus works on the trust among traders.

This trust among the traders make the forex market to work at the same level for all the traders giving everyone an equal chance to make gains. This is very much different from the well structured stock market. As the traders have to rely on each other for trading, they have to cooperate with each other while they are also competing against each other.

The second key feature that separates the currency trading from the stock market is to take advantage of the inside information from the contacts in the industry or business. While using such information is restricted by law in the stock market, you can use it freely in the currency trading. You can position yourself for gains if you know certain facts in advance. Ironically, this insider news and facts are leaked to the traders in forex market days before making them public.

The forex market gives you the advantage of making high gains starting with very low investment. Once you gain experience, you can start increasing the size of your investment. Just follow the basic principles of trading: study the market, trade within limits, follow the stop-loss and control your greed. Always invest the spare money you have and not the money you need for your day-to-day expenses or running your business.

If now you think you are ready to start currency trading then there is one more good news for you. In forex market you can take advantage of an automated robot for trading on your behalf. This robot is designed to make profitable trades. Fap Turbo is one of the most successful robot available in the market today. Fap Turbo is a trusted robot and many people claim to double their investment in a month with this. - 23222

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