Why trade listed

Discussion in 'Trading' started by birddog, Oct 16, 2002.

  1. birddog


    A fellow trader was telling me that listed is easier to daytrade than otc. For fun I traded a little GM today and I don't see what the appeal is. Hard to move stock, cannot hit bids, no size. The only thing I did notice is that the spreads are sometimes fairly wide so scalping between bid and offer can be okay.

    Well, what I want to know is what is the appeal of trading listed? How many people day trade listed as opposed to otc? Why do so many profitable (emphasis profitable) day traders tell me that they moved over to listed?
  2. trade whatever you want.

    There is no magic thing to trade.

    I trade listed because I've learned a lot from successful listed traders and can do well in listed stocks.

    If you want to trade Nasdaq feel free to.

    Different game with very different rules.

  3. I have been looking into trading more Listed stocks. I know people who are printing money trading a few NYSE stocks for micro scalps. They like it because they can move size easily. You have to focus more on reading the tape and what the specialist is doing with large block prints.

    The other big reason is "price improvement". But price improvement for one person is a price fisting for another. The trick is to be on the right side of that situation.
  4. Magna

    Magna Administrator

    This topic has been discussed at ET innumerable times, with extensive lists of reasons pro and con. Rather than attempt to reinvent the wheel I suggest you do a search and a small amount of research, not much to ask of a trader. Good hunting....