what is a good instrument to trade with 5k? i need professional opinion on this, if you have a lot of trading experience, and only 5k as startup capital, and your goal is to generate a consistent profit. please provide the instrument(i.e. futures, stocks, forex, option) and broker :0) TY!
S&P E-mini futures. Broker: the one with the lowest round trip commission. Good luck. You'll definately need it with that bankroll.
1. If you are developing a system, start with forex. You can trade mini lots and not blow out an account as fast as you would a futures account. You will have to deal with bucket shops but we all have to start somewhere. 2. If you have a proven system that can be applied intraday, then you can trade stock index futures (ES, YM, ER) with $500 intra day margin, but you run the risk of blowing out the account very fast. 3. You can also open up a retail equity account like etrade/scottrade/Ameritrade, pick 4-5 momo stocks and trade in and out of that. Swing Trading/Position trading can be done with minimal effort and basic charts (daily chart, 50 MA, 200 MA and some basic understanding of technical analysis plus fundamentals. I would go with 3 first, then 1, then 2. For Brokers there is a brokers section on this site the link is at the top right between forums and software. good luck!!
If you're not afraid of the currencies (Forex) start there. Otherwise you can open up a retail equity account and work on the learning curve. Good luck!!
3 is a good way to go..i was sort of in the same boat awhile back..first i strt'd out trading stocks and ended up blowing 4k(NSOL..LMAO) so i educated myself a bit more and put 5k into options a few months back and made waaay more and all i really know are the basics(imagine if i had more exp)..i could just imagine if i had put that 4k into options when i strt'd in November i would most definitely be a happier camper right now