Fixed Time is a kind of gamble while Forex can be analyzed statistically. In other words, making money on Fixed Time is a game of chance but this is not with Forex trading. However, both Forex and Fixed Time are the same at the end of the day. Traders always look for methods to earn money
Let's understand the difference between Forex and Fixed Time Trading:
#1 In terms of Strategy
In Forex Trading strategy, Traders can speculate on price movements of a currency pair and take a short or long position,
whereas in Fixed Time Trading, Traders earn a fixed payout based on a win or lose outcome only.
#2 Trading Hours
Access to Trading Platform in Forex is 24/5. The currency market is not a centralized marketplace but instead spans across several major financial centers in different time zones. Banks, institutions, and individuals can therefore trade forex flexibly 24 hours a day, 5 days a week,
whereas Fixed Time Trading is only allowed during Asset trading hours. You trade the underlying asset with fixed price, so users have to operate within respective market operating hours
#3 Trading Fee
The cost in Forex Trading depends on Broker spreads and/or trading commission. When forex trading, fees usually come in the form of spreads and commissions set by the online brokerage company. These may vary from competitive and transparent to complex and significant,
whereas Fixed Time Trading have no costs other than what is factored into the final payout. Here the costs are typically factored into the final payout when fixed price trading. Of course, some brokers offer lower fees than others, but traders usually have a clearer picture as to what those costs will be before entering the trade.
#4 Risk Factor
Risk in Forex Trading is high. The losses can be high and unpredictable & high margin for trader error,
whereas Fixed Time Trading have less compared losses. Losses are capped at the initial investment & low margin for trader error
#5 Schedule
Forex Trading have no Schedule. Traders can close trades at any time (usually long-term),
whereas Fixed Time Trading is Scheduled. Expiry date and time set by the trader (usually short-term)
#6 Leverage
Forex Trading have leverage. Due to market volatility, profits can be high. Forex trading can also be leveraged. This means you can borrow capital beyond your initial investment to increase your position size (up to 500 times), leading to larger returns but also greater losses,
whereas Fixed Time Trading have No Leverages. Fixed Time Trading are generally not as profitable, but they do involve less risk. Leveraged investing is not possible with Fixed Time Trading.
#7 Volatility
Forex Trading is highly volatile whereas Fixed Time Trading is low volatile.
#8 Flexibility
Forex trading has a flexibility to enter, amend or exit an order can be attractive to currency traders. However, this also means there may be a high margin for error if trades are not monitored properly. Also, other factors, such as liquidity, slippage or downtime on the trading broker’s platform can be harder to keep a handle on,
whereas in Fixed Price Trading, there is some level of control. Profits and losses are pre-determined and the trader chooses the expiry. This means there is a lower margin for trader error.
When looking at forex trading vs fixed time trading, it’s important to consider your requirements. If you’re looking for high profits, real-time flexibility, and have the time to carefully research and monitor positions, forex trading may best suit your needs.
If you’re looking for a straight forward financial trading system requiring less time and more defined risk, fixed time trading could be a sensible option.
Think, Choose, Practice and Start Trading! Good Luck!
For Free Fixed Time Trading Signals, Join Telegram @Trade_Key and Message @SP_Trading
Click to Get A Fixed Time Trading Account
0 Comments