Registered User
Joined: 9/1/2005
Posts: 16
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Hey again! I tried searching for some things, but couldn't really dig anything up. Anyways, I'm just wondering, has anyone bought any of the books/videos from this site? They sound good, but they are a little pricey (especially for me :P), and that's no problem, but I don't want to get stuck with something I didn't need. So, if anyone could give me a quick summary of the videos/books they have bought from here, it would really help me make my decision if I should get them!
One last question, I found a couple of threads on brokers, but I didn't really see that much. What I'm wondering is, for someone with maybe $2-5,000 (hopefully more) when I start trading, what is a good broker? I already have a Charles Schwab account (minor account under my dad's name), but I am not sure if that is the best bet because even medium costing commissions could really hurt me since I'm not trading large amounts. Or, is that what I have to deal with? I checked MB Trading and Interactive Brokers, but I am not even sure if I have enough capital to apply there. So, do any of you have any reccomendations for brokers that would suit my size? Obviously I am not in a good position to demand anything that good, but something that wouldn't destroy my returns (like CS might). Thanks!
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Worden Trainer
Joined: 10/7/2004
Posts: 65,138
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The TeleChart Advanced Training Video Series® comes with a 30 Day Guarantee. All of our other Books & Videos come with a 1 Year Guarantee. If you don't love them, simply return them for a full refund.
-Bruce
Personal Criteria Formulas
TC2000 Support Articles
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Registered User
Joined: 12/2/2004
Posts: 1,775
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Bamilus, I have used several online brokers for years and recently (May) opened an account with MB Trading....only $1/trade/100 shares, up to 500 shares, then one half cent more for each additional 100 shares. MB is lightening fast, superb customer service (no recordings, no transfer to another person), NO charge for phone orders, live IM chat. Below are two links to Worden Forum threads on MB Trading and other brokers. Almost 5 months now of trading daily with MB, and I like it more every day. Check MB's requirement for opening an account...I feel sure $5k is enough. If not, I think Scottrade now charges a flat $7 for all trades, with minimal capital needed to open. Good luck.
Broker comparison in detail...
My experience with new online broker...
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Registered User
Joined: 12/2/2004
Posts: 1,775
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Oos, meant 50 cents extra for each additional 100 shares over 500. example: $1/100 shares, $5/500 shares, $7.50/1000 shares, etc.
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Registered User
Joined: 10/7/2004
Posts: 2,126
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Bamilus go easy on the books. You do not need all of that info, most times garbage, to invest or trade. Your personality is the most important trait to this game, and that will dictate most of the time your failure or success.
Now about your broker questions. You most definitely do not need direct access. Forget about MB, cybertrade, etc, etc. Those are for a very specific type of daytrader, and for what you tell us you will not be there in a while. It takes a minimun of $25,000 to really day trade. It is call regulation T, which flags your account as a daytrader pattern if you buy and sell a stock more than once on a 3 day period. If you equity falls below $25,000 you are done. You cannot daytrade until the requirement is filled or your daytrade pattern is remove from the account, which will force you to wait the 3 day period to settle a trade. Then you wouldn't be a daytrader anymore. You could still buy and sell, but not as you please.
So since you will not be into daytrading for a while, look for a discount broker. Scotttrade is very cheap, and have phone support (about $14 per full trade). There may be cheaper ones out there, but I am not sure.
Ameritrade is also good, but a little more expensive about $22 per full trade.
Good luck.
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Registered User
Joined: 9/1/2005
Posts: 16
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QUOTE (BigBlock) Bamilus go easy on the books. You do not need all of that info, most times garbage, to invest or trade. Your personality is the most important trait to this game, and that will dictate most of the time your failure or success.
Now about your broker questions. You most definitely do not need direct access. Forget about MB, cybertrade, etc, etc. Those are for a very specific type of daytrader, and for what you tell us you will not be there in a while. It takes a minimun of $25,000 to really day trade. It is call regulation T, which flags your account as a daytrader pattern if you buy and sell a stock more than once on a 3 day period. If you equity falls below $25,000 you are done. You cannot daytrade until the requirement is filled or your daytrade pattern is remove from the account, which will force you to wait the 3 day period to settle a trade. Then you wouldn't be a daytrader anymore. You could still buy and sell, but not as you please.
So since you will not be into daytrading for a while, look for a discount broker. Scotttrade is very cheap, and have phone support (about $14 per full trade). There may be cheaper ones out there, but I am not sure.
Ameritrade is also good, but a little more expensive about $22 per full trade.
Good luck.
Yea, I know what a pattern day trader is, but they can only flag you if you have a margin account. To my knowledge, MB Trading etc aren't just margin accounts. But I will check out those you said, thanks for the advice bro! (PS, reading is a passion of mine, I don't read just for info, but for fun :P)
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Registered User
Joined: 12/2/2004
Posts: 1,775
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>>Forget about MB, cybertrade, etc, etc. Those are for a very specific type of daytrader<<
BigB, I couldn't disagree more on that statement you made. I've made less than 10 daytrades in the five months I've been with MB Trading, but nearly 300 trades overall. I can't think of a better broker to use for someone like Bamilus who apparently has a small balance, or a better broker for anyone to use for that matter. Come on, $1 a trade per 100 shares, what's not to like:) And as I stated above, MB has zero charge for pbone support trades. MB is extremely customizeable, for day trading or anything longer, i.e. MB has Good Til Cancel orders for anything longer than a daytrade. Say what you want about direct access, but it's simply faster than non direct access in my experience. At least it is for me using MB and compared to my own extensive use of Ameritrade, Etrade, and Merrill Lynch online, and backed up by Barron's detailed and exhautive survey of online brokers. I still use AMTD about once per week. And last but not least, of all the brokers I've used MB has by far the best customer service and support.
Unless the rules have changed recently, anyone with less than $25k balance can make three daytrades within a rolling 5-business day cycle, margin or not. But of course with cash only you must have cleared cash in the account to support the trade.
Bamilus, MB requires $2k to open a cash account, $5k a margin. And BigB is right, you must have $25k+ and margin to daytrade on a regular basis if you're flagged as a "pattern daytrader."
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Registered User
Joined: 8/30/2005
Posts: 3
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Has anyone had experience with optionsXpress? I looked them up at their web site (same as name with www & .com). The one triggers another (OTO) order entry sounds great if you can't watch the market during the day. It appears that a stock/option could be purchased and that trade would trigger another trade to sell or put a stop-loss. Anyone with experience with this, or do I have it all wrong?
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Registered User
Joined: 12/31/2004
Posts: 1
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Sir Grail - fine piece of thinking and writing. (I don't see where else to send communications to Worden) (Email removed by Moderator)
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Registered User
Joined: 10/7/2004
Posts: 2,126
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The reasons why I said that in response to Bamilus is the following:
As you probably know I think in terms of blocks ( no less than 5000 shrs - average 10,000. If way too risky I may test the waters with 1000 or 2000 - when it comes to trading. Trading blocks in MB can a little more expensive than with a discount broker. Now, the secret to making money is finding the right investment, at the right time, and going at it with all you can. We get pay for taking risks, and not for standing around observing or simply dipping your toes.
Now for all of you that simply trade 100 shrs at the time, I simply do not understand. I mean how do you make a living doing this? Anyways, I guess I though that he would be trading blocks - or at least no less than 1000shrs.
So Bamilus if you are going to trade on the average 100 shrs I guess MB is the way to go (they are a good broker), if you are planning to trade blocks forget it and find a good discount broker. Hope it helps.
good luck.
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Worden Trainer
Joined: 10/1/2004
Posts: 18,819
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donparker,
You can always email us at support@worden.com
You can also start a new topic (your post has nothing to do with this thread)
Check out this video on getting the most of these forums:
Learn how to use the forums: post a new topic, reply, Search existing topics
- Craig
Here to Help!
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Registered User
Joined: 12/2/2004
Posts: 1,775
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>>Now for all of you that simply trade 100 shrs at the time, I simply do not understand. I mean how do you make a living doing this?<<
I also don’t know how anyone could only trade 100 shares at a time and make a living (unless they only traded GOOG and other $100+ stocks, lol). I never intended to imply or suggest that a trader only buy 100 shares of a stock at a time and make a living at it. What I do is what a lot of folks do…on average we scale into a position in 100 to 500 share increments, and then scale out. As for myself I usually average about 10 open positions. Take a $100,000 account with 10 positions. I’m guessing that the average stock price for many traders is about $20 (close to mine); that’s 500 shares worth $10k for each position, and that position typically is built up in two to three pieces, then later sold in pieces. Make the balance $200,000, and now each position is 1000 shares bought in pieces of say 100+400+500 lots, for total commission charges of $10, quite a bargain. Even a $400k account using this method would be well suited for MB’s “Plan A” price structure. I’m not arguing that your style of 10,000 blocks with your selected broker is not wise by any means.
But back to Bamilus or anyone starting out with a small account of say $5k, commission chares are of paramount importance, and trading only 100 shares total per stock for $1 sounds wise, especially if the account places no more than 10-20% of balance into any one position. No one will make a living with a $5k balance, but you've got to start and build from where you can.
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Registered User
Joined: 10/7/2004
Posts: 2,126
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Yes Petry, may be you are correct. Your brokerage way may be best for the young apprentice.
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Registered User
Joined: 9/1/2005
Posts: 16
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QUOTE (BigBlock) Yes Petry, may be you are correct. Your brokerage way may be best for the young apprentice.
LOL, "young apprentice" :P
Wow, I was suprised by the posts. I hate too be a bugger with these questions but you guys are so helpful! So once again, thank you so much!
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