NexusFi: Find Your Edge


Home Menu

 





Daytrading: Optimum Trade Size?


Discussion in Stocks and ETFs

Updated
      Top Posters
    1. looks_one techstocktrader with 4 posts (0 thanks)
    2. looks_two deaddog with 3 posts (1 thanks)
    3. looks_3 SurfnTurf with 2 posts (1 thanks)
    4. looks_4 Quick Summary with 1 posts (0 thanks)
    1. trending_up 3,056 views
    2. thumb_up 2 thanks given
    3. group 5 followers
    1. forum 12 posts
    2. attach_file 0 attachments




 
Search this Thread

Daytrading: Optimum Trade Size?

  #11 (permalink)
 
deaddog's Avatar
 deaddog 
Prince George BC Canada
Legendary Market Wizard
 
Experience: Advanced
Platform: National Bank Direct
Broker: NBD/BMO/Questrade
Trading: Stocks
Frequency: Every few days
Duration: Weeks
Posts: 1,301 since May 2013
Thanks Given: 184
Thanks Received: 4,045


techstocktrader View Post
Regarding my first question, I'm trying to figure out if I should change my commission plan with TradeStation from a 1¢ per share basis, up to 500 shares, to a fixed amount per trade. The fixed amount is $10 down to $5 depending on activity.

That will depend on your planned position size.

If you are normally trading 1000 shares or more then a $10 flat fee will be better than 1 cent per share. If your position size is less than 1000 shares or if you plan to scale out of trades in smaller lots then you should opt for the 1 cent per share offering.

Not being familiar with tradestation what is the minimum trade? Do the flat rates include exchange fees?

"The days when I keep my gratitude higher than my expectations, I have really good days" RW Hubbard
Reply With Quote

Can you help answer these questions
from other members on NexusFi?
Exit Strategy
NinjaTrader
Better Renko Gaps
The Elite Circle
ZombieSqueeze
Platforms and Indicators
Trade idea based off three indicators.
Traders Hideout
How to apply profiles
Traders Hideout
 
Best Threads (Most Thanked)
in the last 7 days on NexusFi
Spoo-nalysis ES e-mini futures S&P 500
45 thanks
Just another trading journal: PA, Wyckoff & Trends
31 thanks
Bigger Wins or Fewer Losses?
24 thanks
Tao te Trade: way of the WLD
24 thanks
GFIs1 1 DAX trade per day journal
22 thanks
  #12 (permalink)
SurfnTurf
Hackensack NJ
 
Posts: 11 since Oct 2014
Thanks Given: 0
Thanks Received: 6

Regarding your question on lot size and charge per share versus lots;
In my opinion it would depend on the price of the stocks you trade. I prefer
$20-90 range.
Additionally, are you trading for nickels and dimes?.. or dollars.
Finally, regarding fills on 1000 share lots, personally, I only trade stocks
with 1,000,000 avg daily. tigher spreads between bids and asks w volume.
Also, if you trade too early while there are still tails on your candlesticks, then you run
a searious risk of getting crappy fills in and out, IMO.

Reply With Quote
Thanked by:
  #13 (permalink)
 techstocktrader 
Los Angeles, CA
 
Experience: None
Platform: N/A
Trading: Stocks Only
Posts: 20 since Jun 2012
Thanks Given: 7
Thanks Received: 5



deaddog View Post
That will depend on your planned position size.

If you are normally trading 1000 shares or more then a $10 flat fee will be better than 1 cent per share. If your position size is less than 1000 shares or if you plan to scale out of trades in smaller lots then you should opt for the 1 cent per share offering.

Not being familiar with tradestation what is the minimum trade? Do the flat rates include exchange fees?

Here are the 2 TradeStation Commission schedules. The per share schedule is basically 1¢/share up to 500 shares. The flat fee schedule starts at $10 up to 1000 shares and goes down to $5, depending on your number of trades.

Something interesting about TradeStation, you can only change your commission election or schedule once, no more:
"4. Can we change an equity account commission structure from flat fee to per share or vice versa?
We will allow you to change the commission structure in your equity account once, as a courtesy."

Started this thread Reply With Quote




Last Updated on October 18, 2014


© 2024 NexusFi™, s.a., All Rights Reserved.
Av Ricardo J. Alfaro, Century Tower, Panama City, Panama, Ph: +507 833-9432 (Panama and Intl), +1 888-312-3001 (USA and Canada)
All information is for educational use only and is not investment advice. There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
About Us - Contact Us - Site Rules, Acceptable Use, and Terms and Conditions - Privacy Policy - Downloads - Top
no new posts