Click Below to See Our List of the Best Brokerage Firms and Read Our Reviews
Who are the best brokerage firms? This is a question everyone asks themselves when they start out. The internet and the invention of computers have revolutionized the way we trade. Knowing the best broker for day trading might be a question you are asking too. If so, lets take a look at your choices.
We're able to learn stock trading on our own. Meaning we can trade stocks and options without having to call a broker to place the trade for us. We used to look at the newspaper for tickers but most people couldn't read charts in the past. Nowadays, things are different. With the invention of technology, we are now able to take trading into our own hands. What a great time to be alive!
Brokers are one of the most important aspects of becoming a good trader. Yes, support and resistance and patterns are essential but the best brokerage firms allow you to put your training into action. Just think about it.
If you hated your broker or it was cumbersome and not easy to use, you're probably going the be less successful than you would be with having access to the best brokerage firms.
We decided to take a look at the brokers out there and talk to you a bit about the top brokerage firms. Not just the best brokers for day trading but for swing trading as well. You can take a look at the different options available to you and decide what broker meets the needs of your trading style.
There are many different trading styles and each broker has their own special niche. There's a lot of competition among stock broker companies nowadays. We think of it as the broker wars. Brokers are fighting for your business. Between marketing, and pricing, they are going all out for your affection. Only the strong will survive, which makes it great for the consumer, which is you and us. Just think about it...the more the competition, the better the commission fees. The lower the fees, the more money that you can keep in your brokerage account. Whomever has the best fills, and technology also plays a major roll. Winning!
The name of the game with trading is to grow your brokerage account. Buy low and sell high, and keep your profits. The less that you pay in commission fees, the more money in your pockets. That simple!
TD Ameritrade is one of the most well known brokers out there. They have so many great features and amenities. In fact, if you googled best brokerage firms, you'd probably see TD Ameritrade within the top three if not number one.
Their charting and real time data is the best. They offer custom stock scanners, news and alerts, technical indicators and chat rooms. Their ThinkorSwim platform has one of the best simulated trading platforms available.
As a result, you have the ability trade like you would using real money without taking a loss. As a new trader, that's so necessary.
In order to get real time data in your paper trading account you do need to open and fund an account. However, you don't need put in a lot of money. $50 is just fine.
You'll thank us for doing that. When the data is live, it's like trading with real money. You're not fifteen minutes behind other traders; which is quite helpful if you're participating in live trading rooms.
TD Ameritrade's customer service is unmatched. That's a really important aspect of the best brokerage firms and one that's slightly underrated. When you're having an order issue, you'll be thankful for great customer service (learn how to invest in stocks). TD is one of the best brokers for day trading options, mid caps and large caps. If you're trading high volatility stocks regularly and want to short many stocks, you'd be better served elsewhere.
*Update - TD Ameritrade was just bought out by Charles Schwab, so we will see any updates that they might make to the TOS platform. We aren't sure if they bought TD to revamp the TOS platform, or if they bought it for their customer base and are going to keep it the same. Check out our Charles Schwab Review.
Interactive Brokers is one of the best brokerage firms for day trading on the short side. That means short selling stocks. They also have very fast executions. The market isn't always bullish. Therefore, you want to be able to take bearish plays and make some money.
Unfortunately, not all the best brokerage firms have shorting capabilities. That's where Interactive Brokers comes in. You can find just about any stock to short with them. They are definitely one of the top firms for short locates, but not the best. (more on that below)
They're an international broker so anyone can use them no matter what country you live in. They're platform isn't as streamlined as TOS so you may need to play around on it. However, we always recommend practice trading before going live and they have paper trading.
The best brokerage firms are ones that offer paper trading along with their live platform. Therefore, IB has you covered here. You're able to work out any kinks a platform might have before going live.
If you're day trading, check out IB's hotkeys. They have some of the best in the business. As a result, you can get in and out of trades at lightening fast speeds. Which means you can lock in your profits that much quicker. For the BEST hotkeys...there is DAS Trader.
The best brokerage firms also have mobile apps. Smart phones have revolutionized how we live our day to day lives. We don't need a computer much anymore. As a result, out lives our on our phones.
Brokers have been keeping up with that. Many of the brokers we look at also include mobile trading. As a result, you're able to trade from anywhere. Right now I'm trading from the WiFi at my local garage while my vehicle is getting serviced!
As time passes, the apps get better. You're not sacrificing indicators any longer. In fact, many times you're mobile charts aren't missing any of the tools you'd use on your computer. Make sure to check out our best brokerage list of trading apps if you want to know more about which apps are the top ones for trading..
There are a lot of brokers out there nowadays. As a result, we're going to take a look at some of the best brokerage firms out there and help to narrow down the selection.
There are many different trading styles. Therefore, you'll want your broker to offer futures, Forex, options and anything else you're into trading. Let's take a look at some of the most popular stock trading companies below.
SpeedTrader is a great broker for active day traders. In fact, this is our favorite broker for day trading stocks either long or short. You do need to have a larger account to use SpeedTrader, but they have started accepting accounts as low as 5k. As a result, it may be a broker to work up to if you're building a small account. We recommend you open an account with at least 30k, if you can.
This is one of the best brokerage firms for ECN trading. ECN or electronic communications networks are known for lowering commissions because it gives you control of your order routing.
SpeedTrader uses the Das trading platform which is customized for them. DAS is a platform that lots of brokers want to have access to because of its user interface, editable hot keys, and overall speed.
Read our SpeedTrader review to learn more about the different features this company offers.
CenterPoint securities is another great broker for short selling. They even provide a free demo trial for anyone who wants to try them out ahead of time.
Not even the best brokerage firms can claim they do that. Because brokers are such a vital part of trading, it's great that you're able to try them out ahead of time.
They're also known for their customer service. There's not automated system. You get a live person every time you call. This broker doesn't have to follow the PDT rule because they require $30,000 to open an account.
That's a bit steep for many new traders. However, it's a great choice if you work your way up to the $30,000 and want to get into shorting as well as going long.
Read our CenterPoint Securities review to learn more about them.
CMEG is one of the best brokerage firms at getting around the PDT rule without having to have a large account. They're an offshore broker. Therefore, they're not subject to the US PDT rule.
They are registered with the IRS and Lloyds of London if you're worried about putting your money into an offshore broker. They also have inexpensive commission fees.
Since you can trade as much as you'd like with them, the cheaper the commissions the better. They're also known as one of the best brokerage firms for hotkeys. As a result, if you're a day trader who gets in and out at lightening speeds, you'll love this broker.
Read our CMEG review to learn more about this company.
E-Trade is one of the oldest brokerage firms out there. You might remember their talking baby ads that played during the Super Bowl years ago.
They have a great platform for basic trading. However, they don't simulated trading. As a result, you can't practice trading before you use them. They do allow you to make watch lists, place trades and stream market data.
If you're into active stock market trading this can be a great broker. Their commission fees may seem a bit higher than most but the more you trade, the commission does go down. You'd have the trade quite a but however.
They do offer stocks, options futures and bitcoin. Since bitcoin has become quite popular, this may be an attractive feature.
They also offer a pro platform to the most advanced traders. This platform does require you to keep your account at least at $250,000. As result, their pro platform isn't for most every day traders.
E-Trade is one of the best brokerage firms for ease of use with a lot of tools at your disposal. Read our E-Trade review to learn more.
If we're talking about the bests brokerage firms we can't leave out Fidelity. They're consistently in the running for best broker if they're not winning the award.
They lowered their commission fees and as a result, have become even more popular. They have great tools and research capabilities.
They're great for investing with ETFs and mutual funds. Therefore, their multifaceted which can be a great thing because as you know, diversification is key.
Read our Fidelity Review to learn more about the other features they offer.
If you watch us on our live streams each day in our trading room or watch our watch list YouTube videos, you'll notice our charts are all from ThinkorSwim. Their charting platform is awesome.
Our live streams show you how to use the best brokerage firms in real time. Not only do you see how charting platforms but you see us teach in real time.
It's like have a two hour class in trading every day. And you can go back and re watch it later if you missed it or want to see it again. Check out our trading service to see what else we offer.
We also trade alerts that couple with our watch lists. These are key support and resistance levels to pay attention to and not buy signals. We want you to be aware of key levels but make the decision to place the trade.
You can trade our watch list and alerts on the best brokerage firms of your choice. You'll notice that at times the alerts trigger and then fall. As a result, you could lose money just buying at the level.
However, if you're in charge of your trades, you can the bearish or bullish side of things. We also offer real time stock alerts for higher priced stocks and options.
Those have entries and exits given because they can't be pumped. Because we're not a stock pumping service, we feel much more comfortable giving entries and exits on stocks that can't be pumped. Make sure to check out our best brokerage firms list and read our reviews below.
Click Below to See Our List of the Best Brokerage Firms and Read Our Reviews