Bears

The foreign exchange market is also known as the FX market, and the forex market. The value of one currency as opposed to another is the basis for the fx market and the background of the trading in this market. The forex market is over thirty years old, established in the early 1970's.

One of the main differences between the stock market and the forex market is the vast trading that occurs on the forex market. There is almost two trillion dollars traded daily on the forex market. This amount is much higher than the money traded on the daily stock markets of all the countries combined.

Another main difference between the stock market and the forex market is that the forex market is global. Stock trading takes place only within your country and you are often limited to buying stock in your own country. The stock market is based on businesses and products that are within a country, and the forex market takes that a step further to include the global market. You can be anywhere in the world and trade any currency you like at any time.

The stock market has set business hours. Generally, this is going to follow the business day, and will be closed on banking holidays and weekends. The forex market is one that is open twenty four hours a day because the vast number of countries that are involved in forex trading. Buying and selling of the currencies are located in many different times zones. As one market is opening, another is closing.

The stock market in any country is going to be based only on that countrys currency, say for example the Japanese yen, and the Japanese stock market, or the United States stock market and the dollar. However, in the forex market, you are involved with many types of countries, and many currencies and they all stand in relation to each other and can be traded.

There are many differences between the Stock Market and The Forex Market but these are the main ones.

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