Hi, I'm looking to switch away from Scottrade. It'll be between 4k and 5k. Looking to mainly trade equities until I learn a bit more about options/futures/forex to start "field testing" in that, but it will eventually be what I'm moving to, hopefully. Looking for a margin account. I would go the IB route and everything there looks great but I'm 20 so don't meet their criteria for a 21yo margin account minimum for some reason. MBTrading looks like the next good firm, but the lack of naked puts/calls is a little upsetting since that looked like a great potential area. I'd like to be able to be a pdt but that isn't going to happen unless I sign with harmon trading and it just seems too risky to go into a partnership. Ideally, I'm going to try for my 3 daytrades per week and swing trade the right before close -- right after market opens routine and try to gauge how it'll behave premarket the next morning. Sure, it's quite a bit more difficult than daytrading in terms of proper prediction, but I guess it'll have to do until I can come up with the 25k to pdt (unless anyone knows of any other _more established_ partnership firms that don't really have a risk of going bust at any given time.) I'd like a direct platform type deal, but the more I think of it, it may not be completely necessary, although it'd definitely be a step in the right direction coming from scottrade and its poor java program (haven't had the chance to try the elite platform) and lousy executions most of the time. Thanks.
Whats wrong with the java program? I never noticed anything wrong except for sometimes their charts get stuck. As far as direct access goes, Genesis and Tradestation are pretty good I hear. If you want to stick to an online broker, go with IB sense EVERYONE that will respond to this thread will just say the same thing. Cyber trader might be worth a try as well. - nathan
yeah, I mentioned IB and that it won't work since they require a 21+ for margin accounts. edit: With scottrade, yes the charts have problems way too often. Calling in just results in a "we're aware of the problem and will work on fixing it soon" or a "it's a problem with our source and it's beyond our control". Also, order executions seem to be slower than I'd like and I feel like I'm always getting the worst end of the rope in terms of market orders. Short executions seem much slower than longs, and since I haven't tried anyone else, I'm not sure if that's just normal or if scottrade is slower than the competition.
Alright, I guess I should provide an update on my situation. I've come to realize that I really can't stand the obstacle of not being able to daytrade. It severely hinders my ability to get out when I need to if I'm constantly needing to think about wasting a daytrade or running too many and qualifying as a pdt again. And Alliance's commission is just way too much, looking to be around $30RT So I'm looking more into eminis now and am looking for a decent broker for that.
e mini's...futures..? good luck. A lot of people on here would not recommend a new trader go straight to futures. - nathan
un see, thats what that freakin' moronic pdt rules wants innit...little guy dont stand a chance to have a fair shot at this game and have to lose it all in the most competitive enviroment of em all. and ya, that also cause a substantial volumes to gravitate towards other instruments instead than stocks, dryin' up liquidity and prolly even trends.
Well hey, to be honest with you, I'd rather not dive in unless I had the capital. But if you look around, it's what's being suggested as the only way to do it because of the rule. And I'm not just starting out now. I have been watching the markets for years but am only just getting really involved more recently. I'm under the impression that eminis respond most like traditional equities although they can be more volatile (which is what I'm looking for anyway).
eminis are not like traditional equities, they move much faster, are difficult to read and most unpredictable. also, because of the rapid movements and the churn they give u no time to think and u will have to take decisions in a hurry, this will force u to make mistakes; also the leverage is not a good thing at all since u are just startin' out. rate of drop outs/blow outs also is apparently very dicouragin'; learning curve in tradin' is already tough, do not make it tougher by choosin' the most difficult instrument right off the gate.
You could swing trade. In fact, what makes you think you will be profitable day trading if you cant turn a profit holding for a few days at first?..Learn to walk before you run. Start with like 5-10k and work your way up to 25k, by then you'll have enough experience to day trade (hopefully). - nathan
In the past, I have been successful at short term week to two-week trading. However the returns from that aren't anything really significant to be making a valid source of income. I was averaging around 4% at best. With swing trading, especially in today's markets, every opening day brings about an extreme change in one direction or another, which is great, but can be easily miscalculated. And then the problem with swing trading is that often, I'd find that the smart decision would be to sell or something or something, or I'd see a brief hour opportunity but then the thought of only being allowed 3 per 5 days or else I'd lose my margin severely affects my ability. I've found myself saying to buy something or sell something to buy something else but talked myself out of it because of pdt violation risks and ended up losing a ton of money "swing trading" in the past week. Because I'm unable to do daytrades really, the only thing I've been able to do is deal in highly volatile smaller stocks like NT (nice 10% dive today, hoping for a bounce tomorrow morning but I have a feeling it's bound to plunge on open), and earnings reports like ntap or bbby