1. Foreign exchange margin trading (also known as foreign exchange speculation) refers to signing a contract with a (designated investment) bank, opening a trust investment account, depositing a sum of money (margin) as a guarantee, and the (investment) bank (or brokerage firm) sets the credit operation limit (that is, the leverage effect is 20-400 times, and it is illegal to exceed 400 times). Investors can freely buy and sell equivalent spot foreign exchange within the quota, and the gains and losses arising from the operation will be automatically deducted or deposited into the above investment account. Therefore, small investors can obtain a larger trading quota with smaller funds, enjoy the same foreign exchange trading purposes as global capital to avoid risks and create profit opportunities in exchange rate changes. Generally speaking, speculating in foreign exchange is an investment behavior.

2. Stock trading is engaged in stock trading. The core content of stock trading is to obtain profits through the price difference between buying and selling stocks in the securities market. The rise and fall of stock prices change with the fluctuation of the market. The fluctuation of stock price often shows the characteristics of differentiation, which stems from the concern of funds, and the relationship between them is like the relationship between water and ships. When the water overflows, the ship is high (the stock price rises when the capital flows in), and when the water runs out, the ship is shallow (the stock price falls when the capital flows out).