Scalping stocks - Demo vs. Live - Tradestation - Fail

Discussion in 'Order Execution' started by s1m, Feb 5, 2012.

  1. s1m


    I've decided to give scalping a chance.
    So to gain access to Tradestation demo account you need to open live account and fund it with $30000.As simple as that
    But what is exact purpose of demo accounts? It definitely does not mirror live trading environment.Not Tradestation one.

    This scenario,for instance:
    Demo account. BAC,1000 shares, limit buy at bid, order filled within a couple of seconds.Nice.

    Moving on to live account. BAC, 1000 shares, limit buy at bid and the adventure begins here…
    Order is placed last in line,fair enough. After a while it will make it’s way right up to the front. Trouble is that when I am stuck there, first in line, waiting 10 minutes to get my fill, orders below me are being filled almost every second. Of course I will get my fill eventually, but too many times it happens exactly when the market turns against me.What a coincidence.

    It quickly become visible that Tradestation in terms of limit order execution time is not “ ideal” choice for certain very active strategies.
    Yes I’ve got a lot to learn but I would have thought that for $30k I will get a proper demo to practice.

    Anyway, I would much appreciate your suggestions as to where to go for truly speedy, low commissions limit order execution.
  2. IB's demo account is similar.
    Why not trade Live for testing, but use only 100 shares ?
    Stay small, stay safe until your strategy is proven.
  3. s1m


    Well,I was thinking the same. I’m on per order pricing structure (cheaper for bigger orders), so I phoned them to change to per share for testing. Reply was “We can change your plan only once in a lifetime of the account.Alternatively you can open second account with different pricing plan”.
    Top class service,another $30k for testing...
  4. In the first place the test acct fills at LIMIT.... is just a simulation. You know what real market trading is ya..

    Hit Market orders if you want o fill straight, or break down the 1000 in to 200 x5 something like that.
  5. Mike21


    Before going live I suggest you learn the difference between a limit order and a market order... and how the queue affects your fill on a limit order.
  6. s1m


    Simulation, especially when your broker provides one, is certainly one of the options to test all those different types of orders. To compare how it affects your game.
    My demo is unable to simulate a limit order.
    Are you saying that $30k can’t buy you a decent simulator?

    Thank you for your constructive input.
  7. Its not how much worth is your simulator. The problem is the simulator cannot simulate real market conditions, but only the current bid ask and price, and then do something to fill your order.

    How can your broker simulate someone hitting your LIMIT ? Theres about 60 exchanges in US so ... think about it before blaming something.
  8. Agreed.

    I mostly go market in and then limit out (ECN rebate).
  9. There are way better companies out there for you to be hassling with them on this.

    If they do not work then move on to some one that does.

    Secondly you should not be even asking this question if you have been scalping for a while.

    If you are just learning how to trade, you should just reduce your amount. Open an account with another broker with a smaller account and then try your techniques.

    It will save you a lot of emotional stress if your strategy does not work out.

    Cap preservation should be your num 1 rule.

    I have heard good things about AMP trading. I do not have an account with them.
  10. hitnrun


    you are trading stocks . you could always try the retail broker lightspeed
    #10     Feb 13, 2012