1. Exchanging currencies have been around since the beginning of time. If you believe the exchange rate will rise or fall, you will simply buy one and sell another.
2. With an average daily trading volume of $6.6 trillion in April 2019, forex is the largest financial market in the world. Because of its high liquidity, this market can absorb substantial trades without significant movement, which gives it an advantage over a relatively illiquid asset class such as penny stocks. When you develop a good trading strategy that consistently generates profits, you can replicate your results on a larger scale.
3. Forex is one of the more affordable markets to trade. Due to the high liquidity, trades are usually commission-free and dealing spreads are tighter. Especially if you trade frequently or plan to increase the size of your transactions, this cost reduction adds up over time.
4. From Sunday until Friday afternoon, the forex market is open 24 hours a day. Around this time, there is always an open trading session somewhere in the world. A stock market that trades in a series of daily sessions has an advantage over a stock market that trades in a series of shorter sessions.