Who are you agreeing with? Yourself? you have found an easy audience. I have posted previously with numbers that HFT traders and active retail traders would go broke with a FTT. It is time to learn your trade. Sit down with a piece of paper and do the numbers yourself.
I haven't seen any numbers in this thread. Really I don't care. I don't day trade and a small tax is not going to make a significant difference to my bottom line. To my knowledge there isn't a tax yet so there isn't anything I can do. If and when a tax appears I'll adjust. I probably won't go broke.
Are you on drugs? 100k account trading 400k of stock a day easily done with 4 to 1 margin. .001(1/10 of one per cent) is the lowest number suggested so far. not .0001 you wrote above. 250 days x$400 = 100k. That means to break even you have to make a 25% return by taking 100k out of the market. How many people are capable of doing that. Plus you want to have a profit of 100k. That means you have to have a 50% return. Are you capable of achieving that goal? Wall Street will continue to exist but active day traders and HFT traders will be out of business.
Probably you are right but why post on a subject that you know little about and have no interest in finding out about.
Maybe some don't realize, but it would also be the end of zero commission trading as this is achieved by selling order flow to HFT firms. So instead of society progressing to low cost accessible markets for everyone we will regress back to paying $20 plus per trade for modest positions when you account for base commissions plus the additional percentage based FT tax. At the Harris proposed 0.2% FTT, an even 100 lot trade of SPY would incur an additional $75 cost per side of the trade (.002x379x100).
Early in the year you are the lead contender for the post with the greatest separation from reality or maybe end the contest right now and crown you as the clear winner.
Bottom line is that it's like a huge commission on both sides of all trades: wins, scratch and stops -- rendering daytrading impossible. IF FTT PASSES, WE ARE TRULY FUCKED https://www.cnbc.com/2020/02/19/financial-transaction-tax-could-hit-average-americans.html https://www.nasdaq./articles/what-is-a-financial-transaction-tax-how-much-could-it-cost-you-2020-09-01 It would be like charging poker players $50/hand just to play. Fuuuuucck
Yay! I might win something, instead of succumbing to the idea that you can always come out ahead by buying the cash close and selling the cash open!
Vanguard Group, an asset manager, said “everyday savers” would need to work around 2½ years longer before retiring if a 0.1% transaction tax were imposed. This is what every non-trader tax payer needs to hear and it would be resisted strongly!