Beginner traders usually get confused when considering forex vs stocks, which will give you the biggest return. For some people, forex is one of the most profitable investments, but it is also quite dangerous if you don't study it as well as possible.

However, it turns out that many millennials are also interested in stock exchanges. Although both are high-risk high-return investments, many say that forex is more profitable than stock exchanges.

There are various advantages of forex that you cannot get if you play stocks. If you want to invest your funds into forex, then make sure you know some of the benefits that you will get from this business.

Understanding Forex vs Stocks Related to Capital and Trading Time

When you are going to trade, make sure you have the capital to do it. Do not use hot money which can cause problems when you experience losses. In forex trading, you need capital that is relatively smaller than stock trading.

Currently, you can find the best forex broker that offer trading with minimum capital. For example, with only 1 USD, you can trade and get profit. The profits you get can reach 100 to 1000 times.

Meanwhile, in the stock market, you need a large enough capital to be able to do this. In addition, when you trade forex, the broker will not charge you an additional commission for your trading.

Legal forex brokers such as Didimax forex broker will usually take advantage of the difference in buying and selling rates (spread). Meanwhile, stock brokers will usually charge a commission for each transaction you make of between 0.1 and 0.3%. So, make sure you choose a broker registered with BAPPEBTI.

Another advantage that you can get from forex is the time that is quite flexible because the trades are open 24 hours in 5 working days. That way, when you want to trade, anytime during the working day, you can immediately contact CS.

However, for stock trading, it is usually only open during office working hours, between 8 am and late afternoon. Thus it will be a little troublesome if you are an office employee who cannot leave work at any time.

Forex Has High Liquidity and Available Demo accounts at Brokers

When you talk about forex vs stocks, then you are talking about liquidity. Forex has high liquidity, which means you can withdraw the funds you have for transactions whenever you want.

However, in the stocks exchange, the funds that enter the exchange must be distributed to millions of shares per day, so that the liquidity is not as flexible as forex. Apart from liquidity, forex also provides a demo account for learning beginner traders.

Various trusted brokers provide demo account facilities, where traders can "practice" for trading using fictitious funds to simply learn to use strategies, and techniques in forex trading.

This trial or demo account will certainly be very useful for beginners, because it can be a simulation before using a real account and real money. And many novice traders have successfully mastered forex strategies by utilizing this demo account.

When you are considering forex vs stocks, you need to consider the level of complexity. Stock trading is considered more complicated because there are hundreds of companies that offer shares, whereas in forex, you just have to choose a currency pair that is not as many stocks.

When you are about to enter into the world of trading, make sure you are mentally ready to experience losses. Trading will not always be profitable, be it forex or stocks. You also need to learn strategies in order to trade well. Between forex vs stocks, both have their advantages and disadvantages that you can learn from.