Which investment platform to use for stock trading?

[Warrior45]

Which company do you guys use? I have branch locations of Scottrade and Charles Schwab within driving distance, but nothing else. I don't have to go thru a local branch, I will do it online, but it would be nice to have a physical location I could go to.

Anyways, I know a lot of us invest money in stocks and mutual funds so where are you doing it? I would like to do it myself for a new challenge. My 401k and my wife's plan are doing very well, but I would like to get in on the action and be able to use some of it now if need be.

I've been looking at tradeking too, but I don't know how liquid the investments will be. I like the idea of a Scottrade or Charles Schwab and having an ATM card.

 

[FLBB89]

As far as trading stocks goes...

I do short and moderate positioned day trading with TD Ameritrade.

My financial advisor is at AXA Advisors and he handles my mutual funds, cash value of life insurance and any immediate large securities purchases I may need to make if I dont have the funds in Ameritrade.

I also have holdings in a hedge fund which is obviously professionally managed.

 

[Lizard King]

I used fidelity due to the ease of having my 401K there and so other items through work. They are all about the same from what I have seen.

 

[C T J]

TDA - thinkorswim platform
5 years experience trading futures

 

[Warrior45]

TDA - thinkorswim platform
5 years experience trading futures

Is that what you started out on? It looks pretty advanced to me. What do you like about it?

 

[C T J]

Is that what you started out on? It looks pretty advanced to me. What do you like about it?

Yes, I started with it and haven't switched. I've also tried NinjaTrader, Sierra Charts, Multi Charts, X-trader, CTS T-4, CQG..maybe a few others.

It may look advanced but it's just like any other platform. I like the thinkscript coding. It was easier for me to code what I wanted with it over C# or easylanguage.
It also like the charts. I've found it much easier than any of the other platforms listed above. I also like that the data is included and you don't need a separate data
provider like the others listed.

 

[JR Ewing]

If you're doing lots of trading, you'll want one that offers direct access (no broker middleman) and very high speed of execution. Cost is also a concern for most who are doing frequent trades daily, particularly if you don't have a huge amount of money. Many have always charged by the trade, but some charge by the number of shares.

If you are being charged even as little as a flat $2 per trade (regardless of the size of the trade) and only make 3 trades a day, you'll be spending a good $1500 a year on transaction costs. If you're trading with a million bucks, that may not be a big deal. But if you're trading with $30k, that's 5% a year off your PRINCIPAL.

 

[C T J]

I personally would shy away from making lots of trades. I place on average 10 trades or less per month at $2.50 per turn.
That may be a lot for the regular investor but I am far away from a scalper who makes multiple trades per day.
Most scalpers and very short term traders these days are bots which requires a fast execution rate.
Then you take into account the distance from the exchange, ping rate, and internet connection.
In that case, you would look for VPS in downtown Chicago.
But I don't think anyone here is on that level.

For weekly, monthly, quarterly, and yearly swing trades, a middleman should not be an issue.

 

[Warrior45]

I don't plan on day trading, probably three-five trades a month at most. JR makes a very good point though when you consider what percent of your principal you will spend on the trading alone. That makes some of these companies VERY expensive if you are not playing with a million dollars.

 

[C T J]

Definitely. It's a cost to consider. Losing trades are a cost to consider as well.
For example. one account of mine made 5k on the month so far - $287 in commissions. Only dug into
6% of my profits. Not bad IMO. This is my income account where I always keep 20k in it and take out
profits every month. Losing months, I add to make up the difference.

I believe JR is considered a professional though so his commissions are more than mine.
Doesn't matter how much I make, I'm considered retail until I LLC to write off costs.
As mentioned, the overhead isn't much.

Most people trying to do this on their own will lose. Understanding the game takes
years and years of experience. Your psyche has more of an impact than your strategy.

 

[2ez]

I co-sign what CTJ says...


add Interactive Brokers to the list and see what they offer.


https://www.interactivebrokers.com/en/index.php?f=1286

 

[mugzy]

I use Fidelity and Scottrade. Unfortunately I have had all of my money sitting for 3 months waiting for the market to tank however the market is booming........