This article will aim to look at the reasons why Forex Investing [http://forexinvestingguide.blogspot.com] is preferable to trading in stocks.It explores the many advantages which are as follows:

1. No Commission Is Paid:- If you trade the futures or stock market,you will have to pay brokerage and exchange fees but no commission is paid if you decide to trade the Forex market.Despite the fact that you do not have to pay a commission charge to a Forex broker,the spread is larger than what obtains when you are trading the futures or stock market.

2. You Can Rollover Positions:- Forex positions expire every two days and to stay in your position,you need to rollover each trade.For Futures contracts,if you are going to rollover your trades then you will have to plan ahead.

3. Forex Trading Has A Lower Margin:- For Forex Trading, the margin requirement is about 1% as a Forex trader is able to control a large amount of the currency being traded by putting up a small amount of margin, while when it comes to trading Futures,the margin requirements are usually around 50% of the total value of the stocks or 5% of the full value of the holding.Basically what this means is that if you invest in Forex, your money can play with 5 times as much value of a product as a Futures trader.

4. 24 Hour Market:- The Forex market is a 24 hour market and you can trade anytime you like from Monday to Friday.The day begins in New York and then Europe,Asia,Australia and then back to the US.For Futures market,you are limited to trading only for the few hours that each market is open in any day.

5. Free Market Place:- The Forex market is the largest market in the world with an average daily volume of US$1.4 Trillion which is 46 times as large as all the Futures market put together.It is very hard for Governments to control the price of their own currency due to the huge number of people that trade Forex around the world.

6. Risk is Limited:- If you trade the Forex market,you have guaranteed stops and your risks are limited unlike in the Futures market where your risks can be unlimited.

Forex Investing is a great alternative to Futures and Commodities trading and it is very important that you get as much information as you can on Forex trading as this will ensure that you do not get your fingers burnt.