New Strategies for Zero-Commissh Day Trading - Ideas?

Discussion in 'Trading' started by KCalhoun, Oct 25, 2019.

  1. KCalhoun

    KCalhoun

    Given it cost nothing to trade stocks with many brokers now, are you modifying your approach to day trading? Share your thoughts...

    ideas:

    + more frequency with tighter stops
    + larger or smaller size?
    + avoiding under- vs overtrading
    + scalping vs intraday swings
    etc
     
    trader99 and TradeZero_Billy like this.
  2. comagnum

    comagnum

    Broker - Fidelity (using their router). This is the only CF broker that claims they are not doing POF. Fills are fast, & so far I have been profitable right out of the gate, only placed a few orders.

    Back in the 90's you could put in an order on a liquid stock to buy 1k-10k shares and not worry about getting plundered like you do these days by the HFTs. The trade off was the commissions were very expensive - $19 when I started out.

    Being able to slice orders into smaller size at no cost puts you on a more level playing field - I see this as a big advantage since the fills have been good so far.
     
    Last edited: Oct 25, 2019
    Maverick2608 likes this.
  3. Trader R

    Trader R

    I would disagree with your premise that, "it cost nothing to trade stocks with many brokers." True - there are no commissions upfront, but there are still costs associated with trading (slippage, bid-ask spread, HFT, routing). The reduction in commissions will likely result in a proportional increase in the other areas.

    More generally, a good rule of thumb to remember: there is no such thing as a free lunch. The reduced commissions are made up in other ways by the firm. They're not in business strictly for their own health.

    Also well to note that trading frequency tends to hurt long-term performance for most systems.

    Given that, I see no reason to modifying my trading.
     
    KCalhoun and comagnum like this.
  4. schizo

    schizo

    But you still need to cough up exchange fees and what not, right? If I'm, say, trading 10,000 shares of stock, how much is that?