funding question

[krazee-k]

this may seem like a silly question, but i'm just starting in day trading. i can't seem to find a online broker that will let me open an account for less than $25,000 as a "pattern day trader", is this a legal requirement or is it a individual broker thing? what if i want to just trade NYSE stocks rather than nasdaq? i've been studying a long time and am ready to open an account to trade for real but was hoping to start with maybe around $10,000. any advice you could give would be greatly helpful, thanks everyone

 

[JumpOff]

this may seem like a silly question, but i'm just starting in day trading. i can't seem to find a online broker that will let me open an account for less than $25,000 as a "pattern day trader", is this a legal requirement or is it a individual broker thing? what if i want to just trade NYSE stocks rather than nasdaq? i've been studying a long time and am ready to open an account to trade for real but was hoping to start with maybe around $10,000. any advice you could give would be greatly helpful, thanks everyone

It's a U.S. regulation to protect you from yourself. Stock brokers are required to enforce it. If you don't have $25,000. then you may need to trade futures ( no daytrading restrictions there). There is a lot to choose from in the futures markets, currencies, debt, commodities, stock market indexes, metals, energy, etc.. You may want to look at futures brokers who offer a free simulation trial so that you can see if your stock trading techniques can also work for a futures instrument..
JO

 

[ardhill]

There is one broker that will open a PDT account with less and still get your 4:1 margin - they are not in the US, but trade US markets.

http://www.allianceinvestment.net/alldaytraders/

I haven't used them, so can't comment much.

Do have a look at the commission rates first though, they are not as competitive as some of the other brokers such as IB or Tradestation, but still better than others.

 

[krazee-k]

thanks for the help everyone, greatly appreciated

 

[china white]

try Rosenthal Collins Group LLC.

www.globalfutures.com or www.rcgexpress.com

 

[mauzj]

Blowing Colleagues?

GammaJammer,

Do you have any more info on traders blowing away their colleagues, or were you just reporting an urban myth? I've never heard anything like it, but will start feeling afraid in more than one way if we have a bad day in the office.

Mauzj.

 

[china white]

.....

Do you have any more info on traders blowing away their colleagues, or were you just reporting an urban myth? I've never heard anything like it....

Mauzj.

I think there was a famous chap back in 1921 or 22 who went beserk for some reasons - not quite sure if those reasons were financial - and massacred a few of his trading buddies in Chicago....

There were quite a few stories from the Great Depression when angry investors wud shoot their brokers but not exactly traders.

I also recall that Fink or Funk do not remember his name was actually a failure as a trader so he had no better choice than to join Hitler's SA, and when Hitler came to power, he became famous for checking everyone fron the Exchange for Jewish ancestry, his ex-mates included.

I also heard somewhere that the American Psycho story is actually based on true events..... But I have no proof for that

 

[JumpOff]

The story about the failed trader who came back to gun up the parlor was unfortunately true.
see post :
http://www.trade2win.com/boards/showpost.php?p=125729&postcount=8
and
http://www.cnn.com/US/9907/31/atlanta.shooting.02/

I am confused about the name of the trading parlor: alltech. I was pretty sure this was the group that started block trading in Atlanta. Perhaps they had a name change or a merger between the time I knew them and the shooting incident.?
JO

 

[mauzj]

Thanks for posting those articles, they have brought to light the stresses that some traders face and which I hope I will never experience (I've traded professionally for a year, lost for the first 6 months, but have turned around and made a small profit overall).

Do these sort of events only happen in US? I'm based in London, UK and gun laws are much tighter though criminals can still get hold of them.

Mauzj.

 

[nefariousbaffler]

Check out http://shorcanindex.com

This has competitive rates and you can trade cfd's in 10 different international markets. It has all the major indexes and more than enough stocks. Also includes oil, gold, silver. In all it probably has 350+ different things you can trade. Minimum is 2000 cad. You can open it in US dollars as well. Cfd's are a better way to go in my opinion. Anyway give it a look...you can download a free demo too.

 

[nefariousbaffler]

Oh and you can trade over 50 different currencies as well :cheesy: