Is it easier to make consistent profits with forex than stocks?

I have a theory that it is easier to make consistent profits with forex than stocks.

This is my reasoning.

When the stock market enters into a bear market, it is hard to make money with stocks because most stocks will decline. Even stocks with good fundamentals will fall in a terrible bear market.

In the forex world, there is no bear or bull market. This is because currencies trade in pairs. If this currency is bullish, then the counterpart is bearish. Unlike stocks where most will fall when the market is bearish, currencies don't fall in unison. When one fall, the other rises. Hence, it is easier for a skilled forex trader to make consistent profits than a skilled stock trader to make consistent profits.

Do the elite traders with experience in both stocks and forex agree with my theory?

 

Do you know about shorting?

 

According to stats trading futures fails about the same as opening an individual restaurant (McDonalds not included, LOL).

Don't know the stats on Forex.

I am pretty convinced that this abysmal record is about the same.

There are so many successful strategies out there. So why not the same % of successful traders?

Probably emotional and capital issues.

 

You obviously don't understand FX.

You either buy or sell a pair. Entirely different dynamics.

In stocks the equivalent is going long or short.

Your convoluted reasoning is about as straight as spaghetti on a plate.

Sorry for being blunt, people like you need to be protected from yourselves.

Edit, corrected grammar or whatever it's called.

 

In the forex world, there is no bear or bull market.
What charts are you looking at? Of course there are bull & bear markets in the currencies markets, in fact recently there have been extreme bear markets - Like the cable plunging to lows not seen since the mid 80's.

currencies don't fall in unison.
Yes they do move in unison - The vast majority of currencies will fall when the USD rises, and rise when it declines.

it is easier for a skilled forex trader to make consistent profits than a skilled stock trader to make consistent profits.?
Since I trade both: that will depend on the trader. A skilled trader with very good $ mgmt has the potential to make more profits with a much smaller FX account than what you need to trade stocks. A lot of people have had horrible FX brokers, you want to make sure you are using a regulated broker with a good regulatory compliance record.

Good luck

 

Is Interactive Brokers a good forex broker?

 

IB now requires $10M to trade FX. I don't recommend FX broker - so you will have to do your own research.

 

May I ask which FX broker do you use for your own forex trading? Your needs are different from mine, but it will be a good start for me to do my own research. Thanks.

 

This is what attracts me about forex. There will always be a bullish currency at any one time. In contrast, when the U.S stock market crashes, global stock markets outside U.S are likely to crash even harder. When U.S sneezes, other countries catch a cold. Individual stocks usually fall in unison in a crash.

 

Forex is a good tool for intraday daytrader types like myself, who are doing it on a budget.

Stocks you cant day trade without a large account really, you need $25k+ to day trade stocks, sec rules, so you need to swing trade 2-5 day holds.

A good day trader will make more than a good swing trader, but a bad daytrader will lose more than a bad swing trader, most fall into the bad category, therefore it appears FX is worse.

So the secret is to be a good trader of any kind