DMA Platforms

[10xmc]

I'm in the early stages of gearing towards setting up a trading account. Albeit a small one. UK based.

Few questions:

Been musing over the DMA platforms such as the IB TWS or IG L2 Dealer. To open a live account
it states that IB min. deposit is £10,000 and IG £250.00. Any reasoning for the vast difference ? Does the IB TWS
hold any advantages ? Any advise ?

I also read something about extra costs for using data sheets or subscriptions. Can these platforms be used
without the aforementioned and without any additional fees other than trade/exchange fees, or are they a
necessity ?

Is DMA essential for day trading with regards to minimising losses ? (what i mean is; can i pull the plug on a trade
and the lights go out instantly).

Would also like to hear your views on margin accounts v cash accounts ?

Any feedback much appreciated.

 

[andre2886]

Heya mate,
From what I know IG asks for 250 quid because they are huge...they don't really care if you can do it or not.
If you want to use DMA you will be charged an additional fee because you want something that is not for everyone.

The idea is this..if you want to use TWS this will offer you level 2 plus charting while as L2 dealer you're better off using it on its own...and use charting software on the side...of course, subscribed to a Nasdaq last price or full view format.
Sometimes if you want to use the same platform for different actions you may find yourself in an incapacity. This means that they may be able to offer good quotes and bigger spreads...or small spreads and weird quotes.

You will always need to subscribe to the data feed if you actually want to be profitable.
You know how it is...you need to spend money to make money.

Even though is not a huge sum..you still need to invest in order to get the best prices and quotes.

 

[andre2886]

I'm in the early stages of gearing towards setting up a trading account. Albeit a small one. UK based.

Few questions:

Been musing over the DMA platforms such as the IB TWS or IG L2 Dealer. To open a live account
it states that IB min. deposit is £10,000 and IG £250.00. Any reasoning for the vast difference ? Does the IB TWS
hold any advantages ? Any advise ?

I also read something about extra costs for using data sheets or subscriptions. Can these platforms be used
without the aforementioned and without any additional fees other than trade/exchange fees, or are they a
necessity ?

Is DMA essential for day trading with regards to minimising losses ? (what i mean is; can i pull the plug on a trade
and the lights go out instantly).

Would also like to hear your views on margin accounts v cash accounts ?

Any feedback much appreciated.

Regarding pulling the plug...when using level 2 you can decide if you want to sell on the bid or on the ask. This is not something you can do from the ordinary order book that all this platform offer.

 

[mpups]

I'm in the early stages of gearing towards setting up a trading account. Albeit a small one. UK based.

Few questions:

Been musing over the DMA platforms such as the IB TWS or IG L2 Dealer. To open a live account
it states that IB min. deposit is £10,000 and IG £250.00. Any reasoning for the vast difference ? Does the IB TWS
hold any advantages ? Any advise ?

I also read something about extra costs for using data sheets or subscriptions. Can these platforms be used
without the aforementioned and without any additional fees other than trade/exchange fees, or are they a
necessity ?

Is DMA essential for day trading with regards to minimising losses ? (what i mean is; can i pull the plug on a trade
and the lights go out instantly).

Would also like to hear your views on margin accounts v cash accounts ?

Any feedback much appreciated.

It depends on what you want to trade for one thing. You may be better off with spreadbetting for the time being. Open some demo accounts and understand all the costs.