Spread comparision

[options]

Just thought peeps might want to see this.

PS. I'm still trying to find a decent L2 screen. Any idea's.
Ireally am surprised at some of the set up out there. Most won't allow you to highlight, and some quite expensive ones only deal through certain ecn's.
Though looking at the attached. It appears that IB's smart is pretty good.

 

[stevem12]

On the general subject of bid/offer spreads, i would like to say that there is much evidence to show that direct access for futures or stocks is the way to go.

But, if you are just starting out, and intend to day trade, most people have no choice but to use the SB firms. They may be more expensive in terms of spreads, but have much lower start up costs.

Direct access just isn`t an option for Newbies.

Just MHO of course

Steve

 

[dsmodi]

options,

have a look at money.net for level 2 .... they have a 14 day FREE trial.... (suggestion courtesy of naz)....

u can highlight etc... seems good enough

 

[kinglatfan]

I am presently trialing E*trade`s CFD simulator.

I am trying to compare CFD Quotations against US current prices. I think that shares that have a normal 1 cent spread have a cfd spread of 10 cents.

This largely destroys any benefit to the trader and profits the broker.

Margin requirements are a minefield. Just as the only thing certain for a football manager is the sack then for a day trader it must ultimately be the costly infringement of some margin requirement.

My current thinking is that it is better to trade in cash. If this involves taking out a loan and paying interest then so be it. The interest on the loan would be a legitimate trading overhead but you could deal in the market at the prices you want.

I know it can be counter argued that the potential downside could be larger but the anwer to this is to have a disciplined money management system central to which is the hitting of the stop loss button. Such a system would be crucial to any trading strategy but at least this way round you get a clearer view of the goalposts.

There is no such thing as a free lunch in trading. CFDs and Spread Bets prove this point.

Kinglatfan

 

[Trader333]

Kinglatfan,

You certainly have more nerve than I do as there are no circumstances upon which I would ever borrow money to finance trading.

Good Luck


Paul

 

[ColinRiche]

I got quotes from Datek and the spreads are all pretty tight
Its interesting to see how wide the spreads can be at Island

Anyway i still say that once you have taken into account the Broker fees and commissions, exchange fees and currency risk
paying an extra 4 points instead of all those fees is still pretty good

At least when i put a trade on i know instantly where my b/e point is - it keeps it very simple and thats what trading should be.

Dont forget the currency risk, if your using a dollar account any gains or advantage you may have might be wiped out by a move in the £/$

But then what do i know !

 

[Trader333]

Dont forget the currency risk, if your using a dollar account
any gains or advantage you may have might be wiped out by a
move in the £/$

Or it could increase your funds if it moves the other way. I have
half my account in USD and half in GBP so that way I only get half
the effect of any movements.

Also the spread on Island can be used to make almost zero risk
profits if you know how but it does require a particular type of
account and is usually done before the market opens.

Cheers


Paul

 

[Rognvald]

Hello Paul
I am interested in what you say about Island - can you tell me more please
RonS

 

[fillyerboots]

Level 2 screen

Options,

This is IB's level 2 screen for microsoft through smart:

 

[Trader333]

fillyerboots,

Thanks for posting that as I have often wondered what the IB
level II screen was like. I have to say that for $79 extra per
month it is very unimpressive.


Rognvald,

It wouldnt be right for me to elaborate too much on this because
it is something that Naz teaches on his courses. The only thing I
will say is that it requires a direct access level II platform to
achieve.


Paul

 

[options]

Thanks for that Fillyerboots, I had wondered myself what was so special about their screen. I actually e mailed the IB management last night to ask why their L2 was more expensive than comparative others. (Don't think they will bother to reply though.)

Trader333. I know what you mean re island/naz, are you still using the same people from a little while ago? If not, pm and let me know who you use now please.


Anyone tried Medveds Quote tracker L2 screen?

 

[Rognvald]

Trader 333

OK thanks - understood - I can see I'll probably be in touch with Naz soon

Ron

 

[Trader333]

Options,

Have you looked at esignals Level II screen ? In my view it is one
of the best or are you wanting a direct access level II platform ?
I will post a picture of the esignal one if no-one has seen it.


Paul

 

[options]

Trader.
Either m8, (Hence my nick)

I use IB for futures as you know,so the trading side is in place for the nasdaq. Hence my dilema. I can use the Ib, but it's not totally direct access. (So you can't use all the tricks etc )
But to start with, just a decent L2 screen will do.

Please do post the screen shot so others can see it.

Don't worry about it now though. Get yourself sorted for the pre/market open.

 

[dsmodi]

screenshots

Naz mentioned to me abt some special offer on money.net

they have 14 day trials if u guys wanna try them out - seem reasonable.... pls check out prices yourself

They have Level 2, and another application called Powerview which the novices may be interested.... Couldn't tell u if it is better as I don't know, but here are screenshots which may be of interest.

 

[dsmodi]

powerview screenshot

this is powerview from money.net

seems to include all data from level2 , and more.

i think costs may be abt $15 per month - but there have to be other additional costs to this....

 

[Trader333]

Personally I dont think you need more than Quote View for Level II. Power view can be very deceptive and costs over $60 per month.

I have attached the esignal version and you will note that ceratin MM are coloured in which is the way I keep track of certain ones.

Cheers


Paul

 

[options]

Thanks for the shots guys.

Dsmodi, I had seen this earlier but to be honest I'm not overkeen on it. I hope it doesn't become the norm. I don't think you can highlight either. Not the same as mmid. I have asked, but they haven't replied yet.

Trader, that's the sort of thing I'm after of course. Pity Sierra don't do L2. Matter of interest. What are the up/down triangles?

 

[options]

May be getting there.
screenshot from medved.
You can mark whoever. (He's added the highlight to his to do list)

 

[dsmodi]

Options, T333
Fair points guys - makes sense...

options - just fyi - i have been able to highlight one of the MM's. In 2nd jpg above, it is the MM called P that i;'ve highlighted...

cheers