Does Fidelity Allow Day Trading With Their Platform?

How’s day trading with Fidelity? Without a doubt, Fidelity is value-driven, full-service online broker catered to investors. With $0 stock trades, industry-leading research, excellent trading tools, comprehensive retirement services and 30 million happy customers, Fidelity is a winner.

But, what about day trading with Fidelity? Should you consider this online broker or steer clear? Here’s a closer look at trading with Fidelity and whether it’s worth your time to open a Fidelity account today.

Is There Day Trading With Fidelity?

  • Fidelity is known for its investments. But what about day trading with Fidelity? Day trading is such a popular style that people want to be able to invest and day trade on the same platform. How does Fidelity stack up to that?

Make sure to check out our penny stocks list if you want day trading ideas.

A Quick Recap on Day Trading

Day Trading with Fidelity

Day trading stock involves buying and selling it on the same trading day. Years ago, day trading was primarily the province of professional traders at banks or investment firms.

Fast forward to today, the game has changed. No longer is trading home to the elite, professional traders. Now anyone with a laptop and high-speed internet connection can play. 

As a result, take advantage of our next level stock training

Why Investors Like Fidelity

Fidelity Investments is a well-known name in the investing world. And this is for a good reason. Low trading costs and no minimum to open an account. 

Also, Fidelity operates as both a fund manager and full-service brokerage offering a variety of ETFs and mutual funds. 

Use our real time stock alerts for any long term investments or swing trades.

Day Trading With Fidelity Highlights

  • Low trading costs
  • Free trading on select ETFs and mutual funds
  • No minimum to open an account

Day Trading With Fidelity Low Lights

  • No live in-person chat
  • Basic research and educational tools
  • No futures contracts

How Many Trades Can I Make per Day on Fidelity?

  • The PDT rule is a known phenomenon to day traders. Especially if you have an account under $25,000. As a result, you have 4 day trades a week you can make with an account under $25,000. Make sure you take our online trading courses to make sure you’re taking full advantage of your trades.

What You Need to Know About Fidelity

All told, Fidelity trading fees are among the industry’s lowest. It should come as no surprise that Fidelity’s cheap trading costs make it appealing to almost any investor.

With no money required to open an account, it’s a great place to start if it is your first time investing with minimal funds. And for passive investors, the numerous options to trade ETFs and mutual funds commission-free seal’s the deal.

It’s hard to see where you can go wrong investing with Fidelity

Can You Day Trade on Fidelity?

Yes, but should you? Let’s talk about Fidelity’s Active Trader Pro (ATP). ATP is Fidelity’s easy to use, premium trading platform offering.

The easy-to-use Active Trader Pro for desktop is clean and offers a plethora of features along with powerful research resources. 

Unquestionably, Fidelity’s no Thinkorswim, but it has fantastic charting. With over 60 interactive and customizable charts, 22 different drawing tools, 166 optional studies, it’s useful for longer-term traders. 

Downsides of Day Trading With Active Trader Pro

While Fidelity thrives in its offering of security selection and fees, it struggles in the active trader department. For example, only seven indicators are available on mobile.

To put this in perspective, the industry average is over 30.  Moreover, traders may struggle day trading on Fidelity’s platform for a few reasons: 

  • Level 2 data for OTC stocks in nearly non-existent on ATP; this alone will make it virtually impossible to identify instant trading opportunities
  • No hotkeys which will significantly impact how quick you execute your trades 
  • Issues with streaming quotes; this is a severe problem for someone wanting to see where a stock stands
  • Lack of float size data for the ticker in the Quote tool
  • No VWAP indicator
  • No alerts premarket and after-hours
  • A paper trading simulator is not available
  • Their mobile app is slow and clunky to navigate

A Solution to Consider

Day Trading With Fidelity

Traders looking to actively day trade should consider  TD Ameritrade’s ThinkorSwim platform. ThinkorSwim has advanced functionality and speed day traders and scalpers need. I can quickly enter a new stock and have an opening order submitted within a second if I want. In my opinion, we must practice before we put real money on the table. To do this, we practice in a simulator. What I like about the ThinkorSwim demo account is that it has all the software’s normal functions.

Even though Active Trader Pro has a demo mode, many features are disabled in it. Specifically, futures and currencies – both can be bought and sold on ThinkorSwim, but not on Fidelity’s platform. Compare this with Robinhood, which has no demo account!

Final Thoughts on Day Trading With Fidelity

Without hotkeys, access to level 2 quotes and the VWAP indicator,  I would struggle to make money scalping stocks with Fidelity.

However, I do believe Fidelity delivers value for investors and is a cost-saving approach for those in it for the long game. Choose to invest in yourself.

We all want to make money and minimize our losses. I can’t stress the importance of investing money in the right education, software and hardware.

So if you want to invest in yourself today, join us now. We at Bullish Bears are a pay it forward stock trading service company and community. Our motto is trade, have fun, give back.

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