Pacific Trader

[ZEPPO]

Hello everybody,

I wonder if anybody has traded with Pacific Trader lately; I've looking on this site and don't seem to find anything about them.
Also could anybody advise on IG Markets; I am interested in day trading the Nasdaq100 stocks using Market Depth, so I would like to know about your experience with any of the above brokers on this subject.
Thank you all.

 

[henry766]

you need to open an account with interactive brokers

 

[ZEPPO]

you need to open an account with interactive brokers

I guess I would, as I have seen numerous posts where IB are recomended; unfortunately they do not offer CFD's which is what I am after.
Thank you for your help, henry766.

 

[henry766]

Hi Zeppo ,few cfd's have spreads /costs low enough to trade intraday( on stocks atleast ) , certainly not IG , by far the cheapest is cmc , I think pacific trader used the same platform as etrade saxo bank , and swissdirekt who i think maybe cheapest of these at around mkt spread and 0 .1% per side ( works out far more than cmc on average ). i'm sure you believe you can trade intraday and beat these costs , it's just that i know better. ( no offence meant) good luck !

 

[pento1999]

pacific trader

Hello everybody,


I wonder if anybody has traded with Pacific Trader lately; I've looking on this site and don't seem to find anything about them.
Also could anybody advise on IG Markets; I am interested in day trading the Nasdaq100 stocks using Market Depth, so I would like to know about your experience with any of the above brokers on this subject.
Thank you all.

Hi Zeppo I have used Pacific Traders Australian branch and they seem very good with market depth also they seem to be offering the cheapest cfd deal at the moment in Oz

 

[pento1999]

Hi Zeppo , I have used Pacific Trader and they seem to be far cheaper than CMC and also they offer DMA, the commision is approx 0.075% at the moment so cheapest in Oz

 

[henry766]

Dear Pento , I take issue with your claim that Pacific Trader are "far cheaper" than cmc , U.S. stocks are basically 5cents worth of price ,spread ,including market spread with cmc . As you state yourself commission is 0.075% which I'm assuming is both ways ( as you stated as commission not spread ), which equals 0.15% round turn , which for example on a stock of $40 is 6 cents , when you add on market spread this hardly seems "far cheaper". Yes potentially on very cheap stocks well below 30$ they might be cheaper if mkt spread was very tight. I also would be circumspect on what they consider direct market access and the costs involved , interest rates or other costs can catch you out with many cfd firms .

 

[ZEPPO]

Hello henry766 and pento1999,

Please accept my apologies for the delay in the replies – I was away, and couldn’t read the posts until I came back to my desk.
First, to henry766: I do believe you, and do not intend to beat the spread, quite the contrary, I only want Market Depth to know who is the axe, and where the support/resistance lies; I am conscious that the guys at the other end of the trade are the smartest, most ruthless traders in the world at this game, and there is no way I am going to be able to beat them! I am intelligent, yes, but not that smart!
No, what I want is to take the afternoon session EST time, do some relative strength analysis, and hopefully catch a mini-trend for a couple of hours; I am not a scalper.
I would like to open an account with CMC, but they do not have Level II for the Nasdaq (that can be remedied, though), and also I am worried about their speed of execution, I understand that they are not the fastests. What is your experience with them?
Now, pento1999, I’d like to have a word with your dealer; did you say 0.075%? I have been told twice that, raising to 0.2% + $15.00 ticket…per side! Effectively, this makes me a money machine for them – I take the risk, they take the profits!
I guess that Down Under you are far smarter than we are up here! Maybe I should move to Sydney with my uncle and cousins…In any case, I’d like to thank you both for the feed back, but the more information I get about CFD charges, the harder I find to trade them profitably intra-day. And I haven’t taken into account the losses yet, which will inevitably happen.

 

[henry766]

Dear Zeppo , it's not that you can't beat scalpers etc , it's just (as you alluded to) to consistently make more than the spread intraday is very tough , you need to make that .1 or .2 % on average every time you step into the market , yeh maybe over a couple of hours you have a chance , but you'll need extremely profitable and consistent trades to do this , however with ib if you had a daytradeing account this requirement is massively reduced , main cost being commission as the spread is against other market participants , unlike with cmc where the spread is pure cost!! good luck p.s. can take a couple of mins if unlucky to get "filled" with cmc , but tight spread makes this worthwhile.

 

[ZEPPO]

Dear Zeppo , it's not that you can't beat scalpers etc , it's just (as you alluded to) to consistently make more than the spread intraday is very tough , you need to make that .1 or .2 % on average every time you step into the market , yeh maybe over a couple of hours you have a chance , but you'll need extremely profitable and consistent trades to do this , however with ib if you had a daytradeing account this requirement is massively reduced , main cost being commission as the spread is against other market participants , unlike with cmc where the spread is pure cost!! good luck p.s. can take a couple of mins if unlucky to get "filled" with cmc , but tight spread makes this worthwhile.

Thank you henry766, I think I'll give it a try wih CMC; after all, what I am after is to filter by relative strength my trades, and go long on strong stocks, short weak ones; all I need is 20-30 cents moves to be profitable - on 200 shares or so, that would be $400-$600; so far, what I have seen is that this can well be the commission itself, almost! That's totally unacceptable, I am the one doing the hard work, and the broker creaming all the profits!
Let's see what I can do with those CMC guys.

 

[henry766]

In essence I think we agree , some cfd providers claim they can be used for intraday trading , but when you see the cost it's basically impossible with most of them , they are perhaps more usefull if trades last a few days , I've tried intraday trading with cmc , you need to be very good , felt like i was going round in circles as even when winning so much profit went on spread ,anyways good luck.