Scalping

Discussion in 'Professional Trading' started by mayes6b, Apr 29, 2008.

  1. mayes6b

    mayes6b

    what kind of commissions should one be paying if they are doing 500,000+ shares a month and are scalping stocks. what do most traders look for when it comes to this type of criteria?
     
  2. If your # of trades is more than 1000 per month, you should look at leasing a seat on the exchange to reduce your average R/T. If you are simply trading very high numbers of shares, but not in a high frequency of trades, then you should compare brokers, as there is at least one out there who will not charge you per share, and only a set fee per trade. Show that 500k per month figure to brokers and talk them down on fees. Your goal would be to get out of the 'retail trader' category and negotiate some very low commissions.
     
  3. mayes6b

    mayes6b

    currently trading prop anyways.; not retail
    just seeing what the going rate was and what i should be expecting since i feel i am payin too much currently

    so what should my per share fee be??
     
  4. .0025 tops.
     
  5. nic05

    nic05

    I average around 800 000 + shares a day and pay 0.00015 per share.
     
  6. But what is your payout?
     
  7. nic05

    nic05

    60% +
     
  8. But aren't you better off paying .001 per share and keeping 100% rather than paying .00015 per share and keeping 60%(although I didn't think Swift or Title went up that high in payouts)?

    You said you trade about 16million shares a month, and let's assume(I don't know what your usual P&L is so I am making up a number) you pull $50k out of the market during the month.

    $50k - (16mm shares X .001)=
    $50k - $16k =$34k profit for you

    60%[$50k - (16mm shares X .00015)]=
    60%[$50k - $2400]= $28,560 profit for you
     
  9. nic05

    nic05

    I don't believe I said I was with either swift or title.

    I am currently trading with a prop firm, and down the road I might leave for a higher payout. For now, however, I choose to stay with the branch and risk managers that trained me. As long as I am using the company's money to trade, I don't believe I will ever get 100 % payout. A few of us did look into it at one time, and there were a lot of other factors to consider.

    The OP asked what other traders were paying and I am simply answering his question.
     
  10. maybe he makes more money being around the traders he trades with.
     
    #10     Apr 30, 2008