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Posted: 8/10/2011 11:50:23 AM EDT
For those of you into day trading, what software / online broker do you guys use and why did you pick them?



I use a brick and morter broker with a personal advisor for my long term investments, but I've been researching day trading for while now and want to give it a shot. <sarcasm>I see so many stock market experts on this site</sarcasm>, just wondering what brokers you guys use and what made you choose them. I started off looking for the lowest fees per transaction, but then I discovered some brokers require a minimum of $25k in your account once you are labled a day trader. This makes sense to me for a margin account, but some require you to keep the $25k in your account even if you're only investing your own cash. I want to start small, $5k maybe, just to see if it keeps my interest and if I'm actually any good at it. So let's hear what you guys use and if you think it is a good broker for a beginner to use.



EDIT: spelling...
Link Posted: 8/10/2011 12:07:38 PM EDT
[#1]


you really need to make a distinction between true pattern day trading and the idea of frequent transactions which some perceive as day trading. open and closing positions on the same day three times in a five day period will qualify you as a day trader and subject you to the margin rule. is that really what you see yourself doing on a regular basis? before you answer, think of the fees involved and your $5000.00.




if you just want to get started trading online, i'd suggest think or swim, commonly referred to as ToS.
Link Posted: 8/10/2011 12:15:27 PM EDT
[#2]
TD Ameritrade always worked well for me when I traded somewhat frequently.  Low commissions, good research tools, fast website.
Link Posted: 8/10/2011 12:29:22 PM EDT
[#3]
Quoted:
TD Ameritrade always worked well for me when I traded somewhat frequently.  Low commissions, good research tools, fast website.


I use a TDAmeritrade broker account in my Self-Directed Roth IRA.
Link Posted: 8/10/2011 12:30:31 PM EDT
[#4]




Quoted:



you really need to make a distinction between true pattern day trading and the idea of frequent transactions which some perceive as day trading. open and closing positions on the same day three times in a five day period will qualify you as a day trader and subject you to the margin rule. is that really what you see yourself doing on a regular basis? before you answer, think of the fees involved and your $5000.00.






if you just want to get started trading online, i'd suggest think or swim, commonly referred to as ToS.




I don't see myself doing true day trading every day all year long right off the bat, but my understanding is once you hit that buy/sell in the same day 3 times in a rolling 5 day period, your account becomes labeled a day trading account automatically.  I could see that happening very easily.  I can see myself "day trading" in the true definition one week, then maybe taking a break for a week and going back to it again on and off.  Who knows, if I really get into it and am actaully any good at it, I may toss some more funds into it and actaully do it every day.  I just want to start off with the $5k to see if it keeps me interested and it is an amount I'm comfortable losing if it turns out to not be my thing.
Link Posted: 8/10/2011 12:38:50 PM EDT
[#5]
I am a stock market proponent. Much more than gold or other investments other than real estate. But I do think day trading is dumb. My uncle lost 750-800k a few years ago doing it.

Posted Via AR15.Com Mobile
Link Posted: 8/10/2011 1:44:49 PM EDT
[#6]




Quoted:

I am a stock market proponent. Much more than gold or other investments other than real estate. But I do think day trading is dumb. My uncle lost 750-800k a few years ago doing it.



Posted Via AR15.Com Mobile




So its dumb because one person lost a bunch of money?  How about the people that make that kind of money doing it?  Not saying I think I'll be one to make that much, but if I can make a few extra bucks on it then it sounds good to me.  It's all about diversity, I have longer term investments in stocks, precious metals, real estate, etc.  Looking at the day trading as more of a hobby that can possibly make me some extra money.  I'm not planning to dump my life savings into it thinking I'll strike it rich, only money I'm willing to "play" with and lose if it comes down to it.  Almost like gambling, minus the nice looking coctail waitresses walking around.  On second thought, maybe I can get my wife to put on a skimpy dress and bring me beers while I sit at the computer making trades...
Link Posted: 8/10/2011 2:05:29 PM EDT
[#7]



Quoted:





Quoted:

I am a stock market proponent. Much more than gold or other investments other than real estate. But I do think day trading is dumb. My uncle lost 750-800k a few years ago doing it.



Posted Via AR15.Com Mobile




So its dumb because one person lost lots of people loose a bunch of money?  How about the people that make that kind of money doing it?  Not saying I think I'll be one to make that much, but if I can make a few extra bucks on it then it sounds good to me.  It's all about diversity, I have longer term investments in stocks, precious metals, real estate, etc.  Looking at the day trading as more of a hobby that can possibly make me some extra money.  I'm not planning to dump my life savings into it thinking I'll strike it rich, only money I'm willing to "play" with and lose if it comes down to it.  Almost like gambling, minus the nice looking coctail waitresses walking around.  On second thought, maybe I can get my wife to put on a skimpy dress and bring me beers while I sit at the computer making trades...
Fixed it for ya.  If you look at it like gambling maybe you won't do so bad.  Can you actually get out when you have lost your $25,000 equity stake in you margin account and not go back for more ass kicking??  I am going to guess that the amount of people that win at Day trading is very close to the amount of people that win in Vegas.





 
Link Posted: 8/10/2011 2:06:42 PM EDT
[#8]
Merrill Edge mostly because I get free equity & ETF trades.
Link Posted: 8/10/2011 2:11:20 PM EDT
[#9]
I use my common sense and don't do it.

Lots of people claim they make money day trading.  Very, very few can actually back it up.  They always tend to forget the losses and magnify the wins.

The guys who make millions trading stocks for a living are wrong a frightening amount of time, and they dedicate their lives to trading.  What makes you think you can do better?
Link Posted: 8/10/2011 2:22:12 PM EDT
[#10]
Lightspeed, and a couple backup avenues to access the web.

Note: I do not day trade. If, some day, I have 50k to blow, I'll give it a shot.
Link Posted: 8/10/2011 2:25:46 PM EDT
[#11]
I go through http://www.wtsprop.com/.  They are a prop shop, and I couldn't tell you what kind of leverage you could get with 5k up front.  I've been trading professionally for about 5 years now.  I started out with Assent, then went to Genesis securities.  When Genesis closed their doors to prop traders I went to WTS, which has about the lowest rates around.  Low rates make a difference with days like today where I traded over 400k shares.  Trading is the biggest poker game on earth.  It has a long learning curve and most people lose...just like poker.  Let your winners run, cut your losers, and for gods sake don't pay any attention to the talking heads on cnbc.  Good Luck!
Link Posted: 8/10/2011 5:09:30 PM EDT
[#12]




Quoted:

I go through http://www.wtsprop.com/. They are a prop shop, and I couldn't tell you what kind of leverage you could get with 5k up front. I've been trading professionally for about 5 years now. I started out with Assent, then went to Genesis securities. When Genesis closed their doors to prop traders I went to WTS, which has about the lowest rates around. Low rates make a difference with days like today where I traded over 400k shares. Trading is the biggest poker game on earth. It has a long learning curve and most people lose...just like poker. Let your winners run, cut your losers, and for gods sake don't pay any attention to the talking heads on cnbc. Good Luck!




Thanks for the first post actually giving some advice and answering the qeustion(s), not just saying "don't do it, you'll lose"...  I'm already well aware that many people lose money, but you never know how you'll do until you try it.  That's why I want to start off small with money I'm willing to lose.  I'm a very analytical person and good with numbers.  I actually do well at poker (texas hold em), it is pretty much the only type of "gambling" I do since it involves actual skill and not just luck.  Poker is no sure thing, but I win more than I lose and I like to think it is because I can think quick and analyze the numbers / odds, etc.  Hopefully I'll have the same experience in the market.



How exactly does the prop shop work?  From a quick glance at ther site, I gather that you trade with their money and make commission based off what you earn for them.  Can you actually trade with your own money through them, not working for them?
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