Day Trading Tools

Day Trading Tools and Software

12 min read

Trading is difficult without the proper day trading tools and software. This list of day trading essentials will help guide you on your journey to success. We, as professionals, use everything listed daily in our work. The best stock scanner is Trade Ideas, Benzinga is the best breaking news site, and TrendSpider has the top automated charting platform.

  1. Here are some of the best day trading tools:
  2. Trade Ideas: trading scanner
  3. TrendSpider: automated trend line tool
  4. Benzinga: breaking stock news site
  5. Black Box Stocks: scanner with alerts
  6. Finviz: stock scanner
  7. TradingView: charting tool
  8. TraderVue: trading journal
  9. StockstoTrade: scanner
  10. Profit.ly: social trading community

In this digital world, you need a computer for almost everything. As a result, a solid basic system will be able to get you by, although you will be limited.

Access to a stronger computer will allow you to work in the markets more efficiently. A stronger system will have less lag and allow more monitoring space when combined with multiple monitors.

Monitors for Day Trading Tools

Monitors - Day Trading Tools

Along with computer space, you must think of how many monitors you wish to watch. However, a single monitor will be fine if you only trade two or three stocks. Yet, the extra monitor space is an asset if you are a more active trader.

It’s a strong belief in the trading community that a minimum of two monitors is optimal. However, having a large array isn’t necessary and can sometimes be a bother. As a result, find what works best for you and your style.

Two monitors allow you to split your work into areas that are easier to manage. With a laptop setup, you can run a portable monitor to enhance your screen space for extra productivity.

News Source

Being a day trader, we react to the most current market movements. Hence, having day trading tools like a dedicated news source (typically paid for) lets you quickly access breaking news. This can be anything from Benzinga Pro, Fly on the Wall, and other instant news sources.

Access to the most recent news will allow you to position yourself better to make a profit.

Fast news isn’t everything; it needs to be fast-quality news. Old news can be just as detrimental as getting a bad entry with a trade. The market swings in a matter of seconds, not minutes. Simply put, old news is not good news.

I highly recommend Benzinga Pro or Fly on the Wall as day trading tools. If you look at the Black Box trading system we recently ran a trial for, you’ll see you get a Fly on the Wall subscription with their service.

Educational Tools - Day Trading Software

Quality education will yield satisfying results. Referencing historical data or learning material will be an asset regardless of your trading level. Now, educational data is more than just basic chart patterns and terminology. You can reference any previous experiences you have written in your trading journal and courses you’ve taken for day trading tools.

Historical data can include SEC filings or pricing data. All these things are historical resources that will be essential to long-term trading. As a result, if you’re beginning your journey to becoming a full-time trader, educational resources will be your friend.

COMPANY
Trade Ideas Logo TrendSpider Premium Partner Benzinga
DESCRIPTION Trade Ideas provides powerful tools like real-time market scanning, AI-driven trade signals, customizable alerts, advanced charting capabilities, and time-saving data visualization TrendSpider is the most robust all-in-one trading platform on the market today. Uncover strategies, pinpoint opportunities, analyze assets, and time trades like never before Benzinga allows traders to profit with actionable stock news, trading signals and alerts, A streaming platform with all the information you need to invest smarter today
HIGHLIGHTS

Trading Software

The digital trading platform is the Holy Grail for modern traders. It gives a level of access to retail traders that at one time was not even conceivable.

Modern technology has allowed us to become very wealthy from home. As a result, using a standard computer and the right kind of educational resources allows you to grow your wealth in a very feasible time frame.

There are hundreds of trading platforms in the world. The primary trading platforms that much of the Bullish Bears community uses are TradeStation, ThinkorSwim (ToS), CMEG, and Interactive Brokers. However, this isn’t to say that these are the only trading platforms you should use. They are, however, extensively well-tested and known in the industry.

Regardless of what platform you go for, it would be best to understand thoroughly how it works. For example, order fill times, availability for options, and shorting capabilities are all questions you must ask when choosing a platform. A platform’s value can be assessed through these main attributes.

We have several blog posts that cover many of the different trading platforms. Check them out and make the best-educated decision for your trading style and day trading tools.

TradeStation is one of the best day trading brokers

What Is the Best Software for Day Trading?

  1. Here is some of the best software for day trading:
  2. SpeedTrader: day trading broker with high-speed executions
  3. LightSpeed: day trading broker with high-speed executions
  4. CMEG: really good day trade broker and no pdt broker
  5. Interactive Brokers: decent overall broker
  6. TD Ameritrade: awesome for charting
  7. NinjaTrader: good for day trading futures
  8. Tradovate: also really good for day trading futures

Fast Trade Execution

Part of day trading software is finding the right platform to trade on. The most important characteristic of a trading platform for active day traders is the ability to get in and out of trades quickly.

In day trading, you might only hold your shares briefly. And sometimes a second, more or less, can cost you valuable cents (which, multiplied with your share size, can translate into 100 dollars).

You need to get a platform that (1) features hotkeys, so you don’t have to manually type in your price and share size before placing an order.

But you can push a predefined button; (2) it is as closely linked to the market as possible. Check out our live trading rooms to see us talk day trading live.

If your broker doesn’t use a platform or software with hotkeys, you won’t get in and out of trades fast enough. You need quick execution with a fast order execution platform.

I highly recommend a good broker with a fast order execution platform like DAS TraderPro. Historically, ThinkorSwim has had a reputation for slow executions and needs a better platform for day traders.

However, the platform has Hotkeys, and recently, they have made considerable efforts to provide fast and seamless transactions. ThinkorSwim’s charting abilities are bar none.

The best day trading software for beginners doesn’t work if you can’t chart your stocks.

Smart Route Configuration

Most beginner and intermediate traders use the default standard electronic routing their brokerage firm offers. This may be fine for swing traders and passive investors but not for active day traders.

Because every broker has an internal default routing system, you might need help with liquidity. It’s recommended you get acclimated to manual routing if you’re using a direct-access online broker.

Direct access routing puts you in control of getting the best and quickest liquidity and earning potential commission rebates.

Take Interactive Brokers, for example. They’ve created a “Smart Routing” system to give traders lightning-fast execution speeds. This means that you, as the trader, the best fill on your option or stock with the goal of immediate execution.

Unfortunately, TD Ameritrade does not offer this direct access. We recommend sticking with their charting (Thinkorswim) but using a different broker for execution.

The bottom line is to pay attention to how day trading software for beginners routes trades.

Day Trading Tools and Software

Level 2 Data

Level 2 data is the order book for NASDAQ stocks and can provide enormous insight into a stock’s price action. Simply put, a level 2 window is split into two sections – the bid and the ask sides.

The bids on the left show the total number of shares buyers want to purchase at a certain price. You’ll notice the bid side is arranged in descending order; the highest bids are on the top, and the lower bids are immediately below.

Conversely, the “ask side” is on the right. It shows the total number of shares sellers wish to sell at the corresponding prices. Opposite the bid, the ask side is arranged in ascending order, with the lowest ask at the top and the higher prices below.

Since the Level 2 quotes update in real-time, it’ll help you determine the short-term direction of a stock, which can be extremely helpful. For example, many orders being filled on the “ask” side might indicate the stock is heading higher in price.

Mainly because buyers are rushing to grab the available shares at higher prices; conversely, if more orders are being filled on the “bid” side, it may mean the stock is ready to fall because sellers are willing to dump their shares at lower prices.

With a subscription, you will have access to Level 2 data, which can give you a detailed insight into what direction the stock will take. Knowing who is interested in a stock can be extremely useful, especially in day trading. 

COURSE
Day Trading Course Options Trading Course Futures Trading Course
DESCRIPTION Learn how to read penny stock charts, premarket preparation, target buy and sell zones, scan for stocks to trade, and get ready for live day trading action
Learn how to buy and sell options, assignment options, implement vertical spreads, and the most popular strategies, and prepare for live options trading How to read futures charts, margin requirements, learn the COT report, indicators, and the most popular trading strategies, and prepare for live futures trading
INCLUDED

Journaling

Having a trading journal of some sort is going to allow you to track your progress throughout your journey. A self-reference will help identify your flaws as a trader and what to build on. The trading journal lets you step back in time, see how far you have come, and what pitfalls to look for in the market.

Many traders buy a dedicated trading journal. My preference is the Trader’s Almanac, which you can find here. Others decide to use a simple notebook. Regardless of what you decide to use, it would be best to have something to track your progress and keep things organized.

Writing down your P/L will help track the account. Yet, keeping an accurate record of what thoughts you conjured during a trade can be a path for building on. Knowing these things will let you target and work around the emotional areas you struggle with.

Keeping this journal as a token of your achievements can bring an unexpected amount of joy. Allowing you to see how far you have come as a trader from your first days.

Final Thoughts: Day Trading Tools and Software

It would be best to have a few basic things, no matter what you decide to get first. A solid trading platform, a solid trading computer, and a solid trading journal/education. These are the tools of the trade. Without them, you are doomed to fail time and time again.

Finding what works best for you will take time. Everything will fall into place as you continue your journey. Figuring out what tools work best for you and your style is part of the process. The trading journal will evolve as you become a trader, having more concise entries than when you began.

Your platforms tend to evolve as your style evolves. The same is true for news services, as some do outweigh others. Find what delivers the kind of news you want to mold your trades around.

Take our day trading course if you need more help using tools and software.

Frequently Asked Questions

Popular Day Trading Tools:

  • Stock-scanning software - helps for find stocks to trade
  • Online Trading Brokers - allows investors the platform to trade stocks
  • Breaking News - helps traders track trade opportunities
  • Trading Journal - helps traders to track their trading progress
  • Charting Software - allows traders to do technical analysis on stocks

Trading software helps traders to make profitable trades. Scanning tools and breaking news sites like Trade Ideas, and Benzinga can help traders make informed trading decisions.

  • High-powered desktop computer (laptop ok)
  • High-speed internet
  • Multiple monitors
  • Charting software
  • Direct access broker
  • Real-time market data

High-powered desktop computers are the best devices for day trading. High-speed internet, fast processors, and a lot of RAM are important features to have in the computer.

Here are some of the popular apps that day traders use:

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FREE ONLINE TRADING COURSES

If you’ve looked for trading education elsewhere then you’ll notice that it can be very costly.

We are opposed to charging ridiculous amounts to access experience and quality information. 

That being said, our website is a great resource for traders or investors of all levels to learn about day trading stocks, futures, and options. Swing trading too! 

On our site, you will find thousands of dollars worth of free online trading courses, tutorials, and reviews.

We put all of the tools available to traders to the test and give you first-hand experience in stock trading you won’t find elsewhere.

Our content is packed with the essential knowledge that’s needed to help you to become a successful trader.

It’s important to treat day trading stocks, options, futures, and swing trading like you would with getting a professional degree, a new trade, or starting any new career.

Invest the proper time into your Trading Education and don’t try to run before you learn to crawl. Trading stocks is not a get-rich-quick scheme. It’s not gambling either, though there are people who treat it this way. Don’t be that person! 

STOCK TRADING COURSES FOR BEGINNERS

The Bullish Bears team focuses on keeping things as simple as possible in our online trading courses and chat rooms. We provide our members with courses of all different trading levels and topics.

If you’re a beginner, intermediate level, or looking for expert trading knowledge…we’ve got you covered. 

We have a basic stock trading course, swing trading course, 2 day trading courses, 2 options courses, 2 candlesticks courses, and broker courses to help you get started. Free.

Just choose the course level that you’re most interested in and get started on the right path now. Become a leader, not a follower. When you’re ready you can join our chat rooms and access our Next Level training library. No rush. We’re here to help.

Click Here to take our free courses.