For questions related to trading. Typically used for Stocks trading, can be used for Options or other trades. Related tags are day-trading, trading-volume, online-trading.

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3
votes
7answers
617 views

Why does short selling require borrowing?

Taking a 'long' position when investing is simple - you buy something (e.g a stock) with the hope it will appreciate in value, meaning you can then sell it and make a profit. However, the reverse, ...
1
vote
1answer
58 views

Taxation of foreign currency arbitrage

I live near the border with Mexico have found a way to make some money trading currencies when I go over for the afternoon. Basically, I can withdraw money in pesos at an atm machine from a checking ...
-2
votes
1answer
59 views

Pattern Day Trade Rule

I'm new to trading and to play around with I will open a small account with $1,500. The problem with this that I want to be a quite active trader,so I can make more profit from this small amount. But ...
5
votes
3answers
164 views

Is Stock Trading legal for a student on F-1 Visa in USA?

I'm an international student in US on F1 Visa. I just want to know if how legal is trading stocks on my visa status. I've found some posts on quora that say Trading is completely legal, but should not ...
0
votes
2answers
73 views

Could someone place an independent film on the stock market?

Just curious. I'm not sure exactly how the stock market works so i was wondering if people could invest in a filming project by buying shares which would payoff if the film succeeds.
3
votes
2answers
228 views

Stock stopped trading, what does this mean?

In December I bought ~30 shares of VOLVY (https://www.google.com/finance?cid=608656). On January 7th it looks like all trading stopped and my broker (TradeKing) says that this is now a worthless ...
0
votes
2answers
94 views

Maker taker fees - can somebody explain in plain english?

I'm interested in learning about how trading works, but this is all very new to me so bear with me. (I'm just poking around at this point, obviously nowhere near ready to actually be trading) Some ...
0
votes
2answers
59 views

Large BUY LIMIT orders' effect on a stock's price

Let's say a Nasdaq stock is trading at $50... Can a very large (outstanding) BUY LIMIT order at $2.00 pull the stock price down? Is this a legal/common practice? (I've noticed this being done when ...
0
votes
0answers
25 views

Total noob, where do I begin? [duplicate]

A little background. I am 28 years old, I have recently acquired around 5k and I am looking to start investing. I am from Canada, if that makes a difference. I have no idea where to start and I am ...
0
votes
1answer
58 views

Documents required to trade stocks

I recently decided I would get into trading stocks and wanted to set up an Etrade account to start. When making a brokerage account, they asked for these documents from me: Valid (non-expired) ...
1
vote
1answer
65 views

When a publicly traded company splits into two how are common shares fairly valued, distributed?

I recently read that Alcoa, a publicly traded company (AA), will soon split into two publicly traded companies. While merging two companies makes sense to me, splitting does not. Merging companies ...
-1
votes
1answer
203 views

Basic Algorithmic Trading Strategy

I was searching the web for basic algorithmic trading concepts and came across the following article. ...
3
votes
2answers
169 views

Will my money be safe in my trading account during a market crash?

I am an options trader. Imagine when I am peacefully trading on my trading account with my broker, the market collapses and causes a recession or depression. Now can I continue to trade during the ...
1
vote
1answer
38 views

How to fund my option house account(trading account) from india using a local bank?

I would like to know how to fund my option house account(Trading account) from India ? Option house is a US based brokerage firm Why would an Indian citizen need to fill up form 15CA & 15CB ...
29
votes
4answers
6k views

Is it normal for brokers to ask whether I am a beginner?

I know that a broker would try to do their best to help a customer learn if they are beginners so that they stick with them. Apart from that, do you think there might be other reasons behind doing it? ...
1
vote
0answers
51 views

UK citizen trading in USA?

I am a UK citizen and have worked in the US in the past on work visa. I am back in the UK now but want to start investing in the US stock market. I have a valid SSN and a US back account. Are there ...
3
votes
1answer
64 views

Is it possible to have a debt in real money cfd account?

Is it possible to switch from a demo to a real money account in plus 500 and then try to trade with the $25 you start with? I'd like to try trading, starting only with this money, but I fear I could ...
3
votes
1answer
67 views

Why are funds' transaction costs 1% of their portfolio turnover?

John Bogle suggests the transaction costs incurred by funds (and thus the lag they have on their investments) should be considered as 1% of the fund's portfolio turnover (0.5% for buy, and 0.5% for ...
8
votes
4answers
2k views

Can I buy stocks directly from a public company?

Is it possible to buy stock directly from a public company, bypassing a broker? It seems that discount brokers do nothing more than facilitate a trade and take a cut - I'd like to eliminate the ...
2
votes
1answer
97 views

Social Trading Platforms Basically Front Running?

I've been thinking that these social trading platforms that have been popping up everywhere are an absolutely terrible idea for many reasons. One thing I've been thinking is that it might be ...
0
votes
3answers
146 views

Is it better to buy put options or buy an inverse leveraged ETF?

Let's say you think the market is heading down in the next 6 months. Is it better to buy put options of an ETF (e.g., SPY) or buy an inverse ETF (e.g., SH)? or a leveraged inverse ETF (e.g., SPXU) to ...
-1
votes
2answers
61 views

Best buying price on stock marketing based on market depth detail (CSE atrad tool)

I'm willing to buy some stocks from specific holdings. And on the trading tool there is a portion shows bid and ask list. Here I attached the screen shot of the window. What is the side (bid / buy) ...
1
vote
1answer
195 views

Tropical Trade Stock Trading

Is Tropical Trade a valid stock trading company? I would like to start investing but I want to know the validity of the trading company.
1
vote
2answers
62 views

How does the spread on an orderbook affect shorting?

Say I wanted to short ABC Company because I believe the stock price will go down 7% or more. The ask price is $6 and the bid price is $5. Volume is 4-5 Million shares. I decide to short $2000 dollars ...
1
vote
2answers
324 views

Using pivot points to trade in the short term

How do I go about identifying pivot points on a chart to help me trade in the short term (say between a couple of days to a couple of weeks, as I don't want to do day trading)? I understand that a ...
1
vote
1answer
52 views

Why are profit/loss constantly adjusted in futures contracts if the goal is to protect against volatility?

In this article: http://www.investopedia.com/university/futures/futures2.asp?header_alt=g In the chapter "Profit and Losses-Cash Settlement", the author describes that profit and loss are governed by ...
1
vote
2answers
157 views

How to trade fundamentally good stocks over the short to medium term?

Once I have determined a company to be fundamentally good and I determine that it has good future growth and value, what is a good technical method to profit from the stock of this company over the ...
0
votes
1answer
41 views

What are p_ask and q_ask columns in .csv trades log file?

I have a .csv file that is essentially a log of trades of futures contracts. I have the column names but can't figure out what some of them are. There are the obvious "date", "time", "contract" ...
1
vote
2answers
90 views

When are stock trade fees deducted?

When you buy or sell stock with an online broker when are the trading fees (approx. $7 or $10) deducted from your available balance? Is it when the order is placed? At the end of the month?
1
vote
1answer
43 views

Metal price web site with silver animal on it?

I remember there is (or was) a web site about mining and metals and had trading prices for all the metals, including base metals. The site had a what looked a steel bear or lion on it as a symbol. ...
2
votes
5answers
243 views

Should a strategy backtested against three years of tick data continue to produce positive results?

Let's say we have a Binary Options 5-minute trading strategy that relies on multiple indicators and exploits price reversals in currency pairs. Now let's say there is a combination of inputs for the ...
0
votes
0answers
15 views

Cross Currency Pair US Trader Tax Implications

I'm trying to wade through a mountain of mumbo-jumbo online to understand how to properly comply with cross currency trading regulations, such as here: ...
0
votes
1answer
45 views

Understanding bid and offer prices in CFD's

I am currently researching the mechanics of CFD trading and, being new to this, am a bit confused about certain terms. I understand that the "bid" is the price that the CFD is sold at and the "offer" ...
1
vote
1answer
68 views

Best(mostly cheapest) way to buy international shares(mostly US) from Australia

I would like to buy international shares from Australia. But we have hefty fees charged by the banks (CommSec), ie buy fee, sell fee, inactivity fee, etc. I'm sure someone has eaten a dog on this ...
2
votes
3answers
618 views

Any Tips on How to Get the Highest Returns Within 4 Months by Investing in Stocks? [closed]

I recently signed up for an investing competition at my school. The competition grants each competitor $1,000,000.00 (of virtual money), where we will be able to buy/sell any stock listed on the AMEX, ...
0
votes
1answer
42 views

how an order is matched after a fill?

Assuming I got a fill for an order to sell at a price ES 2018.00 but price is still at 2017.00-2017.25. What are the factor that makes the prices beetween 2017.25 and my order being filled also? And ...
1
vote
3answers
93 views

Why do I see multiple trades of very small quantities?

I see this on a share tracking site (JSE:COH) Time Price VWAP* Volume 10:23 43.40 42.91 4 10:20 43.40 42.91 90 10:13 43.45 42.91 116 10:13 43.45 42.90 884 10:09 43.62 ...
14
votes
4answers
2k views

What is insider trading exactly?

I know that insider trading is illegal. However, is it true that the CEO of a listed company can still buy/sell their own stock? If he/she does so, isn't that technically insider trading? Or why is it ...
0
votes
2answers
134 views

Is it prudent to sell a stock on a 40% rise in 2 months

I bought an under valued stock a couple months ago that saw a nearly 50% drop in price over FCC issues. They just reported better than expected earning and settlement with the FCC which has caused the ...
26
votes
12answers
12k views

Should I sell my stocks when the stock hits a 52-week high in order to “Buy Low, Sell High”?

I have a 10 stock portfolio and considering market conditions that are on the rise when this question in being asked, a few of them did hit their 52-week high price. I would like to call myself a ...
5
votes
2answers
89 views

Stock trading models that use fundamental analysis, e.g. PEG ratios?

I'm a finance undergrad writing a dissertation on fundamental analysis vs technical analysis applied to trading. I'm finding it easy to build technical indicators such as moving averages, while it ...
0
votes
1answer
90 views

How does liquidity affect currency price while trading [closed]

I would like to know what happens to the market when the following situation arises on the GBP/USD currency pair: -Say some big investor sells 100 million pounds but current liquidity in the market ...
2
votes
3answers
74 views

Stochastics indicator reverses prior entering the oversold/overbought zone

Often I've notice Stochastics doesn't enter the oversold/ overbought and reverses to opposite direction. I understand while trending or while strength is on one side stochastics tend to reverses in ...
2
votes
1answer
84 views

Would this be a wash sale?

If on 01/3/2015 I purchase 100 shares of XYZ for $50 ea. Then, on 01/6/2015 I purchase another 100 shares of XYZ for $30 each. Then, on 01/17/2015 I sell my entire position, 200 shares of XYZ for $35 ...
8
votes
4answers
825 views

Why can Robin Hood offer trading without commissions?

I was wondering why the startup Robin Hood can offer free stock trading, while other online stock brokers ask commissions. How is it possible that this is the first initiative that offers this kind of ...
-1
votes
2answers
79 views

Dollar Cost Averaging (Or value averaging) vs Lot sizes, what am I missing?

I just got my first trading account, in Singapore, and was trying to see if I could use Dollar cost averaging myself on, say STI ETF. But I found out that the stock orders had to number minimum of 100 ...
4
votes
2answers
616 views

How much time should be spent on Penny Stocks Trading a day?

I am a student studying and I got interested in Penny Stocks, because I hope to gain money earlier in my life. I hope to invest the first amount of money that I may earn by part time job; cleverly ...
1
vote
2answers
133 views

buying a stock while the price is going down, and buy it at a lower price

I have a stock with I started buying around @$1,40. I bought some more @$1.20. Then some more @$0.90 to lower my average price. And I bought my last party @$0.60. The stock price is now @0.40 and ...
0
votes
2answers
83 views

Can a buy market order be matched with a sell market order in Forex trading?

Should Market-orders be always matched with Limit-orders with best price on the opposite book? Or is there a case scenario where a Market-order could be matched with another Market-order? At which ...
3
votes
2answers
101 views

Getting correlation from regression slope (Completely stumped)

This question is from a book (Active Portfolio Management), but unfortunately there are no provided solutions. "Assume that residual returns are uncorrelated across stocks. Stock A has a beta of ...