I hope this hasn't been covered ad nauseum. If so, I apologize. I have read in a bunch of books that no "serious" traders use anything but direct access brokers. However, I am wondering if this is not as relevant anymore for the following reasons: 1) With brokers like Ameritrade, one can still get 1 or 2 second fills, with little or no slippage based on the best bid and ask 2) With stocks having narrower daily trading ranges, there isn't as much concern about major slippage when placing orders Am I missing something or is the advantage diminished?
If you want to trade large blocks of low value stocks then a low per ticket cost is better than a per share charging plan.
I beg to differ. The slippage at an Ameritrade or Etrade can really screw you. There is nothing like an all purpose level 2 direct access software for execution speed and realtime account management. You may get a 2 second fill at Ameritrade on one order and then a 60 second fill on another order. Regular online trading is inconsistent and no real trader would even consider using one.
are you active or passive? When I swing traded Ameritrade, E-Trade or any of the online brokers would be fine as I'm not too concerned about quote speed and pennies on my fills. If you are trading actively forget it and move to direct access Robert
Who is the best direct access broker based on service, commission/fee, fill, stop order, margin/credit interest rate, check writing & visa debit card? I am also looking for option & fund trading too.