Which Platform for Stock Trading?

[angelaktariel]

I know there are quite a few platforms out there. I am new to this, and currently use Ameritrade and their platforms. I trade stocks and plan on doing it full time, so I am looking into which platform would be the best for that. I know some platforms are better for futures, options and other trades, but I would love to hear what would be the best for stocks. Interested hearing what my options are and feedback from you guys. The good and the bad, so I can make somewhat of an educated decision.

Thanks,
Eva

[stanlyd]

I like Think or Swim and Interactive Brokers. I know we will hear about the terrible customer service with IB and yeah, it's true. However it's nice that they will allow you to have a universal account for trading multiple products so thats nice for a new trader qwho wants to try things out with small capital. You will need some good charting also. I have been using esignal for two years and every month I plan to look at another package but I keep putting off. Not that esignal is bad. I actually like it but it seems more expensive then some of the others.

[angelaktariel]

Hello Jay,

I have heard of Think or Swim and IB (yes, I read about their bad service..is that going to get better???) I will check both of them and Esignal as well, as I know a lot of people are using them for charting.

So, tell me, what do you like about Think or Swim? And I would like to have the ability to trade multiple products eventually, as nothing is written in stone.

The other question I have, are these platforms have month to month fees, or do they expect you to sign yearly contracts? Also, I know some don't charge if you trade certain amount per month. I guess I will check them out and see what options are available.

Again, thanks.....
Eva

[james_gsx]

A few things I would think about coming from someone who always seems to be moving money. It's a serious pain in the ass so make sure you pick the right place.

1 - What do you trade?
Do you just trade stocks or do you trade options and futures?

2 - How do you trade?
Are you day trading equities, position trading, or swing trading? If you are just trading stocks and plan on keeping to that then you have no reason to move. I know all the charts are cool, but in reality you don't need them since there are so many ways to get free charts.

3 - What do you plan on trading?
Do you plan on trading multiple vehicles such as futures, options, and stocks? If you want to trade futures then you will need a broker with solid charting software. If you want options you will want a broker that will be filled with options data, etc.

4 - Do you have a budget?
Some of them are expensive and they eat away at your bottom line faster than you will imagine. This is annoying when you are starting out because you think you are a horrible trader losing all your money. Then you look at the bottom line and realize all your money is going to your broker for all those fancy charts and indicators

If you are just trading equities and even swing trading them then stick with TD Ameritrade unless you find a really good reason to switch. Most brokers offer pretty good charts and other tools that will be more than sufficient. I personally use Trade Station for futures (soon to change) and Fidelity for stocks and options. Fidelity is simple, I can buy and sell then check on my positions and that's all I need.

If you take the route I see most newbies take then you will most likely meet options in a few weeks. In that case I like Think or Swim since you can do equities and options, and they have a pretty good charting platform. Go check out their website for a free demo and see how you like it.

At the end of the day the hard reality is you don't need real time quotes. They are nice to have, but if you are swing trading it will only add to the emotion sitting there watching every tick of a stock if you plan on holding it for a few days/weeks. So if you currently have a broker that offers free streaming quotes and it's simple to use, then stick with that. Otherwise you spend more time looking for new brokers and services and less time trading.

[torero]

It depends on the style you're trading. If you scalp or at least short-term trading, Ninja with its DOM matrix is very good and fast. But if you plan on taking on trades that last a few hours to a day or more than, any one will do. It comes down to keep your commissions down, good and immediate support and reliable uptime.

[Trvlwanderer]

Don't forget to research interest rates on idle money is paid. Sitting on a base of 50k for trading while getting less than 3% is giving away money. Also look at margin rates and amount of leverage for daytrading.

There are many front ends for IB if you go that route. Quotetracker for charts, button trader for execution for example.

Also, if you periodically "skim" those profits, insure you can get your money when needed and check the fees for transfers.

[angelaktariel]

James, thanks for posting such detailed message to try to find out how to help me best. Here are my answer to your questions:

1. & 3. Right now I only trade stocks, but I know I will be interested in options down the line most likely.

2. I plan on daytrading (not scalping) equities.

4. As far as the budget goes, I really don't know what is out there, so I will check out the places you guys are recommending. Right now the only charge I get is the 9.95 charge per trade, and I do like Ameritrade's Command Center so far and their Strategy Desk offers back testing, however I haven't put that to use yet, so don't know how important that will be. I agree with you as far as commission and such go, don't really want to waste money, make a broker rich and not have profit left for myself, so I have to be smart and have the right reason why I pick one over the other. That is why I am asking for opinions here.

Anyway, I guess to sum it up, I am looking to daytrade equities and as you mentioned as I am a newbie, looking at options as well.

Let me know what you think....

Thanks,
Eva

[angelaktariel]

Trvlwanderer - thanks for the tip on looking at the interest rates and margin rates and such, not to mention the insurance. That is not even something that has entered in my mind, so I appreciate you pointing it out.

Eva

[5KOptions]

Think or Swim is the best trading platform for options available today. I've traded with CyberTrader, ScotTrade, Fidelity, OptionXpress, TradeStation... You will want the desktop, downloaded software. The web based version is good but the speed compared to the desktop version will kill you, but when away from your computer it will do. Stock trading is very simple also as you can create an order from any screen you are on, buy or sell, opening or closing. You can trade any product from an account. The one warning I'll give is the first time you open it up you may not know what to do with what you see. They have numerous toutorials which help. You can also use a "paper account" to practice and learn to use it and test your trading ideas before risking money. It's designed by and for porfessional floor traders and they don't look at trading like we do. They also offer free or almost free classes. It has great charting with all the usual indicators. The charts are "detachable" and you can have many open at once and create trades right off the chart. They have a trade desk you can call for help and they will tell you what they think about a trade your are in or thinking about entering. They can and will give advise, as all are qualified and traders themselves. You will have to begin opening an account to get a trial of the software. This can be done all over the net. Check it out you won't be disappointed. They will match or beat anyone's pricing except IB and those like IB.

[angelaktariel]

Thank you 5KOptions! I am definitely checking out ThinkorSwim! I know someone who trades options and she recommended it ThinkorSwim as well. I don't know her that well, but I think I will give her a call and see if I can come by to see her system. Thank you for giving me your reasons why you like them, it certainly helps me!!!

Eva