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Commodity trader vs forex trader

The differences between commodity traders and forex traders can be seen in a few details. Each job has different responsibilities and duties. Additionally, a forex trader has an average salary of $115,092, which is higher than the $93,220 average annual salary of a commodity trader.

The top three skills for a commodity trader include commodities, commodity trading and logistics. The most important skills for a forex trader are technical analysis, foreign exchange market, and technical indicators.

Commodity trader vs forex trader overview

Commodity TraderForex Trader
Yearly salary$93,220$115,092
Hourly rate$44.82$55.33
Growth rate10%10%
Number of jobs10,90617,582
Job satisfaction--
Most common degreeBachelor's Degree, 77%Bachelor's Degree, 61%
Average age4343
Years of experience--

What does a commodity trader do?

Commodity traders can be businesses or individuals that mainly focus on investing in oils, gold, or agricultural products. They keep up with the news on commodities to ensure that they know the different forces that determine their prices and use their technical analysis skills to decide to enter or exit trading decisions based on the current trend. These traders often use a futures contract to buy or sell commodities from any category at a predetermined price and time in the future.

What does a forex trader do?

Focusing on the foreign exchange market, a forex trader specializes in selling and buying foreign currencies. It is their responsibility to conduct extensive research and analysis before making decisions, identify profitable opportunities, monitor market conditions, and carry out transactions while maintaining records. They may work at hedge funds, banks, and even trade independently. There are also times when they must carry out trades upon a client's request, helping them understand the risks and extent of procedures.

Commodity trader vs forex trader salary

Commodity traders and forex traders have different pay scales, as shown below.

Commodity TraderForex Trader
Average salary$93,220$115,092
Salary rangeBetween $55,000 And $156,000Between $67,000 And $197,000
Highest paying CityStamford, CT-
Highest paying stateNew Hampshire-
Best paying companyThe Citadel-
Best paying industryFinance-

Differences between commodity trader and forex trader education

There are a few differences between a commodity trader and a forex trader in terms of educational background:

Commodity TraderForex Trader
Most common degreeBachelor's Degree, 77%Bachelor's Degree, 61%
Most common majorFinanceFinance
Most common collegeUniversity of Pennsylvania-

Commodity trader vs forex trader demographics

Here are the differences between commodity traders' and forex traders' demographics:

Commodity TraderForex Trader
Average age4343
Gender ratioMale, 87.3% Female, 12.7%Male, 91.5% Female, 8.5%
Race ratioBlack or African American, 5.5% Unknown, 4.1% Hispanic or Latino, 11.3% Asian, 12.2% White, 66.7% American Indian and Alaska Native, 0.2%Black or African American, 5.4% Unknown, 4.1% Hispanic or Latino, 11.1% Asian, 12.1% White, 67.1% American Indian and Alaska Native, 0.2%
LGBT Percentage6%6%

Differences between commodity trader and forex trader duties and responsibilities

Commodity trader example responsibilities.

  • Trade, build, manage, and modele interest rate derivative positions via exchange floor
  • Manage and execute physical/financial grains book as well as base metal arbitrage portfolio.
  • Manage procurement and sales of bulk grains and agricultural commodities for redistribution into local dairy operations in Idaho.
  • Trade a variety of investment vehicles including commodity futures, FOREX and equities.
  • Develop automated and discretionary trading systems for currency, commodity futures, and equities markets.
  • Assist in audits from FINRA at corporate and branch levels.
  • Show more

Forex trader example responsibilities.

  • Communicate with brokers to ensure accurate allocations for futures, foreign exchange, and equities between separately manage accounts.
  • Execute institutional equity orders on both an agency and proprietary basis in strict accordance to FINRA regulations and establish company guidelines.
  • Execute institutional equity orders on both an agency and proprietary basis in strict accordance to FINRA regulations and establish company guidelines.

Commodity trader vs forex trader skills

Common commodity trader skills
  • Commodities, 14%
  • Commodity Trading, 11%
  • Logistics, 11%
  • Market Trends, 9%
  • Derivative, 6%
  • Financial Markets, 5%
Common forex trader skills
  • Technical Analysis, 25%
  • Foreign Exchange Market, 17%
  • Technical Indicators, 11%
  • Fundamental Analysis, 11%
  • Manage Risk, 9%
  • Market Trends, 5%