1. Impact of the Market Fluctuation-
Regardless of whether the market is up or down, the profit can be different from the stock investment market. The foreign exchange market is not bound by short selling. In the forex market, investors have the potential to make a profit, whether they are holding long or short positions, or what the market trend is. Because in the currency trading market, there is always a purchase of one currency, and relatively sell one, there is no structural bias. This means that investors have the same potential to make a profit in a rising or falling market.

2. Transaction cost-
The transaction cost of foreign exchange trading is lower than that of stocks. In foreign exchange transactions, there is no stamp duty, no commission, and no agency fees. the foreign exchange trading, and brokers are to obtain profits through the spreads offer. In stock trading, a certain trading commission is usually charged, and commissions and commissions are bought. Therefore, the transaction cost of foreign exchange is much smaller than that of stocks.

3. Controlling power -
Stock trading is a kind of transaction that can be controlled by humans, which also causes many retail investors to be deceived, but there will be no such problems in the foreign exchange market. Because the funds for foreign exchange trading are huge, no individual or institution in the world today has such strong funds to control the foreign exchange market.

4. Different trading hours-
The trading time of the stock is 4 hours per day, and the foreign exchange trading can be traded 24 hours a day. Moreover, the foreign exchange market is mainly affected by European and American countries. The large fluctuations in the foreign exchange market are happening around 8 pm. For Chinese investors, it is a good time for a transaction.

5.Risk factor-
The difference between foreign exchange and stocks and the risks are as mentioned above, but both foreign exchange and stock investment have certain risks. Therefore, investors should be cautious in entering the market, and learn more about the relevant market, and analyze the market to reduce risks.

Author's Bio: 

I Manisha, Market researcher highlighting the topic of "Forex Trading Vs Stock Trading" Also, we provide Forex tips and Currency tips