DIFFERENCE BETWEEN FOREX AND OPTIONS
FOREX VS OPTIONS | POWER OF FOREX | VOLUME OF FOREX AND OPTIONS | FOREX TRADING
Course: [ Top Trading Strategy ]
Differences between Forex and Options. Many differences are there in forex vs options eg: market hours, slippage and leverage etc.
Differences between Forex and Options
|
Forex |
Options |
|
Largest
and most liquid market in the world |
Liquidity
depends on underlying asset & expiry date |
|
24-hour
trading action for 5.5 days a week |
Not 24-hour.
Varying trading hours based on the exchanges |
|
Easier
to calculate stop beforehand |
Difficult
and unreliable to place stops on underlying asset |
|
Minimum
slippage and order errors |
More
room for slippage due to lack of liquidity |
|
100:1
leverage on standard-sized accounts |
Leverage
depends on the type of option transaction you want to engage in. Selling
Naked Calls or Puts generally requires a huge amount of margin |
Top Trading Strategy : Tag: Top Trading Strategy, Forex : FOREX VS OPTIONS | POWER OF FOREX | VOLUME OF FOREX AND OPTIONS | FOREX TRADING - DIFFERENCE BETWEEN FOREX AND OPTIONS
