How to Daytrade Stocks Online?

Question

Looking to do day trading online is this possible to do with brokers like Scott trade, etrade etc Thanks

Answer 1

Most stocks trade in a channel. Buy low and sell high. Do this over and over and you can achieve real gains, provided the commission doesn't eat you alive.

Answer 2

Learn how to daytrade before you pick a daytrading broker.  It will take you hundreds of hours to do this, and trust me you will always feel like you're in over your head.  I'll advise you to read these books (in order):

General stock market education books

Technical Analysis book on Charting methods (I own one by Wiler, but I forget the name)

A Random Walk Down Wall Street

Mastering the Trade by John Carter

If you can make it past A Random Walk Down Wall Street and keep going, you will understand why I recommended it.  You could start with Mastering the Trade (by far the best trading book I've ever read), but you won't understand what you're doing unless you have a solid background first.

It will take hundreds of hours of work before you will be able to trade, and possibly more before you will be able to trade profitably (depending on your discipline and emotion, setups, smarts, money management, etc.).  Overall, the best trading brokers are Thinkorswim, InteractiveBrokers, and TradeStation.  There are other and better ones for futures, but this should be the last thing on your mind right now.

Feel free to email me with further questions.  Good luck.

Answer 3

forbes made a good list of the best online stock brokers...they offer most of the same features. some are better for research, others offer cheaper trades depending on the size of your account. i recommend tdameritrade for its flat-cost 9.99 trades and no account size requirement.

Answer 4

If you have to ask this question you are in no way ready to trade stocks online. Really.

Learn how to invest:

1. Do not chase past returns. People that buy stocks or funds because they have done well in the past are doing exactly that.

2. Do not market time. Market timing is buying based on your (or your newsletter, or your TV, or neighbor's) guess about what is going to happen in the future. Even if someone knows something, you've already missed the boat. The price already reflects what you just found out.

3. Use index funds. Over time, index funds outperform actively managed funds, mostly because they do not have those high expense ratios. Some actively managed funds do beat their index, but the ones that do usually do not do so consistently. So why gamble? Use index funds. If you want to use a few actively managed funds, make sure that the costs are very low. Vanguard has some good ones.

5. Diversify. Don't put all your eggs in one basket. Own a mix of bonds, domestic equities (large, small and mid cap funds), an international fund and perhaps a REIT (Real Estate Investment Trust) and emerging market fund.  Four to six funds is all you need. Know your risk tolerance and set up an appropriate asset allocation. Rebalance as needed.  

6. Consider taxes. Use the least tax efficient funds in your tax-deferred accounts and the most tax efficient funds in your taxable accounts.

Answer 5

It's possible but I highly recommend not using any of those....I find the best daytrading broker to be InteractiveBrokers.com...It's direct access trading so you can literally trade with MM's....You can use Quotetracker with it also...Commisions are low at I think .005 a share...So a 1000 share trade would cost 5 bucks...