Online stock trading is a concept inclusive of mainly buying and selling of stocks, equities and shares from the large corporate business houses listed with the stock exchange or securities market of the particular country. Every business is started with the intention to make profit. When the giant successful corporate houses make big profit out of their commercial dealings, the information is publicized to grab the attention of the investors and everybody likes to invest into the profitable venture or with the corporate business that offers better returns of their investment. Many individuals or companies invest their surplus fund into the stock market, in buying the profitable shares of other company or group of companies locally or internationally. The profit and losses in online stock trading mainly remain into the gaps between selling and buying prices. For example you purchase a share of one company @ 150/- and within a short while the prices shoots up to 175/- you gain hefty profit of 25/- per share. That means if you have 1000 shares of that particular company you can instantly add 25,000/- to your net worth. In other words, if you sell all your 1000 shares @ the value of 175/- you would be benefitted by 25,000/- compared to your investment. Similarly if the price of those shares goes down than the purchase value, it turns into the losses. Stock trading and stock investment are two different terms. Stock trading is a short term practice of buying and selling where as stock investment involves long term investment. Stock investment is normally done with financial institutions like banks or mutual funds where you can plant your savings etc for the long term benefits where as stock trading requires large sum of capital. Stock trading requires great speculation on the activities of the market and to decide an ideal time to buy or sell the stock. Looking at the prevailing market condition, if you think that the market would be favorable for the trading it offers you an opportunity to buy or sell the stock to get the fringe benefits from those timely dealings. Moreover stocks trading have a time barrier as it is mainly done during the daytime.

Forex is largely known as foreign exchange and involves the trading of various foreign currencies. Trading of a currency of one country with the currency of another country at an agreed exchange rate is known as forex trading. The exchange rate of particular currency largely depends upon its demand into the open market; the exchange rate is generally fixed by the government of the particular country. Forex does not have any time barrier like other day trading business; it is open throughout the day. You can decide the dealing speculating the fluctuating or stabilized exchange rate of a particular currency at any time of the day.