posted
Hello All! I am pretty new to the penny stocks game. I am looking for some advice. I trade right now with scottrade. I enjoy the service they offer and the close locations, but I have to call in and place most of my penny orders.(Fractions Fee $22 + 1/2 Princ) I would like to become a part-time daytrader, but would like to be able to have the power to trade at fractions without having to call. I know ameritrade is an options and you only have to call in the pinks, but does anyone know of a online broker that you can trade any stock at any price without making calls?
I've been with choicetrade about a month and really like them. No minimum deposit to start trading. All stock trades $5, pennies included. When you sell the "cash" is available the next morning to trade with again. To withdraw the cash from your account you would have to wait the 3 days.
Check them out.
Posts: 722 | From: Richmond, Va , USA | Registered: Mar 2004
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posted
so ramius you are tellin' me that if i do not have a margin account, only a cash account that i will be able to say buy stock ABC on monday and sell it the same day those funds will be avialable on tuesday mornin'??
Posts: 5641 | From: Florida | Registered: Sep 2004
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Affirmative. Choicetrade shows your balances 3 ways. They show:
1. Positions held 2. Cash Available 3. Cash Buying power
#1 is self explanatory #2 is settled cash available for withdrawel #3 is total cash available to purchase with.
If you sell a stock, the Cash is applied to your "Cash Buying power" the next morning. It's applied to your "Cash Available" after settled(3days)
I couldn't believe it either at first, but I've done it a bunch of times. I even called them when I was first getting aquainted with their system and they confirmed on the phone with me that after a sale the funds can be used for purchases the very next day. It's not even a loophole, it's just they way they're set up. Maybe you should call and check it out for yourself.
Posts: 722 | From: Richmond, Va , USA | Registered: Mar 2004
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I don't have a margin account(unless I do and I don't know it)--but I never signed up for one.
Posts: 722 | From: Richmond, Va , USA | Registered: Mar 2004
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...naw u dont have a margin account. I have a choicetrade cash account also its ridicoulously easy to set up and u dont have to wait for 3 days for the transaction to clear. Once you make a sell.. the money is availbale to trade with before the market opens the very next day! i had ameritrade but switched to choicetrade cos of that single feature. No broker will let u margin on penny stock anyways so its a tremendious help if u startin out small. Lowtrades got the same feature but they have a limit of 100,000 shares after which they will start charging additional fees why choicetrade dont. Customer service?... hands down choicetrade is the best.
Posts: 218 | Registered: Oct 2004
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... and for a beginner, stay off margin accounts ..that way u will be 'gambling' with your own money and since you stand better chance daytrading rather than swinging or investing in pennystocks; this will exclude you from the regulations associated with pattern daytrading.
Posts: 218 | Registered: Oct 2004
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Affirmative. Choicetrade shows your balances 3 ways. They show:
1. Positions held 2. Cash Available 3. Cash Buying power
#1 is self explanatory #2 is settled cash available for withdrawel #3 is total cash available to purchase with.
If you sell a stock, the Cash is applied to your "Cash Buying power" the next morning. It's applied to your "Cash Available" after settled(3days)
I couldn't believe it either at first, but I've done it a bunch of times. I even called them when I was first getting aquainted with their system and they confirmed on the phone with me that after a sale the funds can be used for purchases the very next day. It's not even a loophole, it's just they way they're set up. Maybe you should call and check it out for yourself.
Thinking about giving them a call myself... Are you trying to say you can buy and sell w/o regard to free ride violations? Doesnt really make sense..unless you're trying to say you cant SELL right after buying, which would be logical..I mean, I can buy immediately after selling w/ Scottrade, I just cant SELL the second purchase until the 3 days are up, otherwise I have to deposit funds.
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Anyone else have a Choicetrade cash account and want to chime in? I talked to Ron at Choicetrade, and he said he would look into the free ride thing..
Posts: 0 | Registered: A Long Time Ago!
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posted
Iv'e been using Choicetrade for awhile now.. around 6 months i suppose... anyways what everyone is saying is true... great customer service, low commissions for all equities including pennies, cash available alot faster, 99 cents for options per contract, etc... I once had a problem with a stock (CNR)... i wasnt able to put a stop/loss because something was wrong with the system and it wouldnt accept it.. i emailed customer service with my problem and got a reply pretty quickly via phone and email that they were having problems with that stock but if i called them to put a stop/loss they would waive the "call in fee" and give me the stop order gratis (free) ... now thats customer service... As for AndrewAAB.. doesnt sound like you have much trading experience etc... my advice is you should be a swingtrader as opposed to a daytrader... do you know the definition of a swingtrader? ... anyways 2 book recommendations for you if you want to pursue swingtrading...
A Beginner's Guide to Short-Term Trading by Toni Turner (www.toniturner.com)
The Candlestick Course by Steve Nison (www.candlecharts.com) ... hope this helps...
posted
phoenix I use choicetrade and yea you can do round trips and the proceeds from sale is made available the very next day. You can also do round trip that very next day from the proceed from the previous day. This is not free riding.
Some brokers will let you buy stock even if you dont have enough cash to cover the cost of the stock. In this case, you will have to deposit money (or sell some securities) before the transcation clears in 3 days. Now free riding is when you buy this stock (which you dont have enough money to cover the cost) and then sell it before you actually paid for it. In essence, you just borrowed the stock , sold it for a profit and then used the proceed to pay for the original purchase. Penalty for this is that you will forteit any profit you might have made from the transactions and they may also block your account.
Now since Choicetrade WILL ONLY let you buy stocks when YOU HAVE ENOUGH MONEY in your account to cover the cost of that purchase; the issue of free riding does not arise here.
I hope this is clear enough to everybody..
BEST OF LUCKS and HAPPY TRADING!!!
quote:Originally posted by Phoenixx: Anyone else have a Choicetrade cash account and want to chime in? I talked to Ron at Choicetrade, and he said he would look into the free ride thing..
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Andrew, from what I understand, scottrade will allow pinksheets to be traded online in Feb 05. I have read this somewhere else, forgot where though. Has anyone else heard this?
Posts: 20 | Registered: Dec 2004
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i havent heard about that but if its true i can only imagine how much they will charge... there only low fee seems to be the $7 for market orders.. which is to lure non suspecting newbies to open a account with them..
Posts: 4669 | Registered: Mar 2004
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Who knows what they will charge? But I think I will look into choicetrade for the time being. You guys seem to be satisfied with their service.
Posts: 20 | Registered: Dec 2004
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is there a limit on how many shares you can buy at one time with choicetrade like can you buy 5000000 at one time and not have to place like 5 differnt orders to get a big amount of shares thanks
Posts: 51 | From: MA | Registered: Sep 2004
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naw you can buy 9,999,999 shares and still pay $5. its great service and best of all, they make proceed from sales available the very next day. You dont have to wait for 3 trading days like other broker. And you dont have to split your money 3 ways to be able to trade every day. GOOD LUCK and HAPPY TRADING!!!
quote:Originally posted by My Pennys: is there a limit on how many shares you can buy at one time with choicetrade like can you buy 5000000 at one time and not have to place like 5 differnt orders to get a big amount of shares thanks
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