Forex vs Futures Trading: Which is Better?

FOREX VS FUTURES


FOREX

WHAT IS IT?

Trading currency pairs like EUR/USD.

ADVANTAGES

  • 24/5 trading
  • High liquidity
  • Low spreads
  • Many brokers

DRAWBACKS

  • Over saturated
  • High leverage = high risk

FUTURES

WHAT IS IT?

Trading contracts like ES (S&P 500) or CL (crude oil).

ADVANTAGES

  • Regulated exchanges
  • Transparent pricing
  • More instrument variety

DRAWBACKS

  • Margin requirements
  • Contract expiration

WHICH TO CHOOSE?

Forex: Start here. Easier for beginners.

Futures: For experienced traders seeking diversity.

Disclosure: Affiliate links.

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