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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2answers
53 views

Forex Market - The Underlying Question [on hold]

There's a lot of people out there who trade Forex but I really doubt their understanding of the exact technicalities of the Retail Market e g what e4xactly happens when you trade and how come you can ...
4
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1answer
161 views

If a stock is sold but the purchase was canceled by the exchange, will it be considered a short-sale?

This question is asked as a follow-up to the question below; How can this stock have an intra-day range of more than 90% on 24Aug2015? BKCC had a 90% price fluctuation on 24Aug2015 and some buy ...
1
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1answer
54 views

Why this mutual fund (VTTHX) is not traded today ? [duplicate]

As you may know the market is in panic today. However if you look for VTTHX, you will see it frozen since Aug 21. Did this fund magically escaped the panic ? what is going on ?
9
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2answers
2k views

How can this stock have an intra-day range of more than 90% on 24Aug2015?

I am looking at this stock BKCC and was shocked at one point at its price of only $0.97. Just within 1 hour of opening, BKCC traded between $0.97 and $9.5. How can this be so, particularly when it is ...
1
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1answer
51 views

Where can I find lots of annotated stock charts to help me improve my chart reading skills?

I'm learning to read stock charts. I'd like to be able to look at a ton of charts that have been marked up with the usual support/resistance/trend lines, channels, etc. and annotated with expert ...
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0answers
71 views

Who are the “big boys” in the market? [closed]

Every time I visit trading forums or talk with people that trade for a living I read talk about "the big boys", but who or what are they exactly? I hear this term especially during the summer in ...
0
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1answer
98 views

Former public employer that we have options in just sold

My wife and I have some vested options in Zulily from when she used to work there. The stock has been very poor so far, but this morning it was announced they are selling to QVC and the price show up ...
3
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1answer
41 views

Is there a time limit to cover an open short position? [duplicate]

Let's say there exists a stock X that I believe will soon embark on a general downward trend. I am interested in shorting X and decide to sell some quantity of X. I see my short position as being a ...
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3answers
51 views

BRENT/WTI Oil Contract Futures

Every contract that is about to expire always seems to be more expensive to buy than contracts expiring at a later date. For instance, the Sep15 contract is currently priced higher than the DEC15 ...
0
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1answer
69 views

How to trade at Athens Stock Exchange (ASE) [closed]

I am completely new to trading and would like to start trading at the ASE with an international online broker preferably. I am really struggling to find a brokerage with a free platform since the ASE ...
4
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3answers
573 views

What metrics must a trading strategy meet to be considered profitable?

Say you have a trading strategy that makes wins (i.e. profitable trading decisions) x% of the time. Is there a value for x at which the strategy can be said to be objectively profitable? Must that ...
3
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2answers
53 views

What are institutional investors?

I'm new to the world of finance and I'm wondering if someone could give an explanation of what institutional investors are. Also, I am applying for a job at a company that provides services/software ...
1
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1answer
37 views

Who puts out buy/sell orders during earnings reports or other scheduled relevant information? [closed]

I understand that some stock traders try to quickly act on public information to make profits, for example. In the case of scheduled releases of information, however, why do people keep buy or sell ...
3
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1answer
61 views

Calculating return on a series of stock positions with multiple uneven transactions

How can I calculate the return on a series of stock positions with multiple uneven transactions that I can compare to the equivalent buy and hold return over the same period? Random Example: Starting ...
5
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1answer
64 views

Why doesn't buy at open get the official open price?

Every day, a stock or ETF has an official open price, like its high, low, and close prices. If I put in a market-buy-at-open order, whether well before the open (overnight) or just a minute or two ...
1
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1answer
164 views

How can I identify a likely bull trap?

Ok, so I've been learning a lot about bear traps recently and think I've got it. Based on creating a lead in trendline and a sell line to match, and on the cues in the swings, I'm saying this is a ...
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0answers
34 views

Does the Section 1256 Rule (60/40 rule) pass through to Mutual Fund holders?

Section 1256 of the U.S. Tax Code applies, in many situations, to SPX options. If I own a mutual fund that makes use of SPX options, do the SPX gains get passed through to me on a 60/40 basis -- e.g. ...
1
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2answers
106 views

Calculating Stock Trading Profits

I buy 100 shares of Company A at $10/share and one month later I buy 100 more shares of Company A at $20/share. If one month later, I sell half of my shares how would I calculate my profit? I ...
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2answers
86 views

New to options trading and need help understanding an options spread risk graph. What am I missing?

Suppose the stock is $41 at expiry. The graph says I will lose money. I think I paid $37.20 for (net debit) at this price. I would make money, not lose. What am I missing? Thanks for all your input, ...
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1answer
161 views

How often does a stock price change and where is this defined?

Let's suppose I want to collect stock prices for let's say AAPL on NASDAQ. Where do I find information on how often an official stock prices are calculated? Is is every millisecond, every second or ...
1
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1answer
47 views

Why do requirements after a margin call vary?

I have seen in various places that a margin call requires restoring an account up to The initial margin level (or having this done for you) or The maintenance margin level. As best as I can ...
1
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1answer
93 views

Why is it in a company’s interest to have high stock prices? [duplicate]

I understand that it is in the interest of a company to sell shares initially: It is a good way to get money to invest and grow. But once the shares are “out there”, why should the company care about ...
2
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2answers
89 views

Is there an academic framework for deciding when to sell in-the-money call options?

I've been buying 1-year at-the-money call options on various stocks as a way to increase my leverage. I almost never regret selling them once they are up 40%. There are many times when they've been ...
0
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2answers
62 views

Is it possible to improve stock purchase with limit orders accounting for volatility?

As a retail investor that puts a certain monthly amount into equity, I was wondering which is the best way to proceed when purchasing stocks. By best I mean the one that would allow me to purchase the ...
0
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2answers
262 views

A stock just dropped 8% in minutes and now all of a sudden the only way to buy is on the ask, what does this mean?

A stock drops 8% in a matter of minutes on very low volume (seems to indicate selling to the lowest bidder, ie buyer controls price). Now the bid price is higher than the last trade for quite some ...
3
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1answer
2k views

Is it illegal to buy stocks at a low price during a flash crash using a low GTC order?

We've seen several flash crashes in the past few years, and I suspect algorithms are some of what's behind these (see this as an example). In a short period of time, an exchange will suddenly see ...
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2answers
182 views

Stock trading after a crash

Let's say that I bought 500 shares of company ABC while the stock was doing well, and paid $10 per share for a total of $5,000. Then over the next year (while I was overseas, let's say) the company ...
0
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2answers
53 views

Is forward P/E calculated using current price(if yes, how useful is it)?

From my understanding, F1/F2 P/E is calculated using forward estimated EPS. And It seems to be impossible to predict future price (otherwise everyone just follow the Est. price) However, if it's ...
1
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1answer
106 views

What does it mean to “settle” a short interest trade?

I am trying to understand what exactly happens on "settlement date" as it pertains to short interest in a stock. A similar question was asked here. It refers to the nasdaq.com definition here (and ...
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0answers
82 views

Comparison between Ernie Chan's books: Quantitative trading and Algorithmic trading

I've just finished Chan's first book "Quantitative Trading: How to Build Your Own Algorithmic Trading Business" and plan to read his second one "Algorithmic Trading: Winning Strategies and Their ...
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5answers
85 views

Advice on strategy for when to sell

I started trading one year ago. I read Jim Cramer book and saved my 10K before investing. Then I invested on companies that I liked based on what I learned. It has been a fun year, what I have learn ...
2
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1answer
74 views

Buying Euros in a Canadian Trading Account

The Euro is trending low, and I have long term plans which might involve living there. I have a German girokonto (which costs me an outrageous Eur5/mo to hold), but no European trading account. ...
0
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1answer
76 views

How can retail stock and options traders find trades with a clear defined positive edge

A retail trader of equities and options may believe that his technical signals and fundamental analysis is superior and smarter than the other retail traders. Maybe for some it is true. For a lot of ...
3
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1answer
175 views

Do algorithmic traders make money from short-term or long-term gains? [closed]

Clearly, the tax advantages of long-term gains are superior. But I feel that algorithmic trading, by its very nature, likely doesn't work well for long-term trades. Are these traders happy paying the ...
0
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2answers
70 views

Is there any emprical research done on 'adding to a loser'

Adding to a loser or doubling down i.e add to your position when it has halved because of adverse movement is a very debated topic. Is there any study done on when it works, and when it does not, ...
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1answer
68 views

Why do I have a negative profit? [closed]

I am testing a demo account for trade Eur/USD GBP/USD. But whatever action I take : Buy , sell . I am always with a negative profit.. How?
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1answer
112 views

If I join a prop trading firm, will I enjoy low commissions

I often hear that professional traders pay negligible (<1 cent ) commission per trade. Is this true? Does this mean that if I open up an account with a prop trading firm in Toronto and put up ...
1
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1answer
123 views

Using a cash account can someone trade all day on it?

The system is I have 5000 to start and have been playing virtual stock (day-trading) for about a year. I return generally 10-20% per day. So set-up a cash account where I utilize on day 1 only 1000 ...
1
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1answer
197 views

What is the difference between spot forex trading and cfd forex trading?

Some brokers offer to clients the facility to trade the foreign exchange market via the spot market or via CFDs. The thing I don't understand is that some currency pairs are offered via both methods. ...
2
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1answer
64 views

a “fully” American option strategy?

Is there such a thing as an American butterfly spread? For a European butterfly spread simply buying 1 put with strike price X+a, 1 put with strike price X-a and shorting 2 calls with strike price X, ...
1
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1answer
85 views

Where to find the full book of outstanding bids/asks for a stock?

I am looking for the full set of information for the "Book Viewer" on this site. Where do you find more than the top of the book for outstanding orders for a stock?
0
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0answers
32 views

How do people trade stocks outside of the price step range? (Selling at $1.5 when you can only enter trades for $1 and $2) [duplicate]

Every now and then, I see trades occurring outside the price step range. For example, this stock trades with a price step of $0.01, however, someone was able to sell at $3.125. How do you setup ...
0
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1answer
122 views

Why gamma scalping is not advised for retail traders with reg T margin

I am trying to understand gamma scalping Why does the author say: Only traders who are very well capitalized, very knowledgeable and experienced, and who have retail portfolio margining should ...
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0answers
42 views

Could CRA consider income from frequent trading of listed stock options as regular income, not capital gains?

I trade options on U.S. stocks frequently, several times a month. The income has been taxed as capital gains. I am quite worried that the CRA could turn around and say that I am operating a business ...
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1answer
126 views

Why do some stocks have trading halts and what causes them?

Even when trading hours were still on, one of the stocks I was watching has been put on halt. What does it mean? What are the reasons for a company's stocks to go on halt?
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1answer
52 views

Is international online trading still premature? [closed]

I have an amount of money that I intend to invest online. Lately, I have been educating myself and reading about different brokers for different types of investment, mainly stocks (not CFD) and social ...
1
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1answer
188 views

How does pre-market trading work?

From what I understand pre-market and post market trading is basically an extension to regular hours trading. How does it compare in terms of buying stocks? What I mean is if I order a stock at ...
0
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3answers
241 views

Is this trick enough to totally prevent bankrupcy in a case of a crash?

I have a trading scheme that is very profitable but is also really dangerous because it opens a lot of trades at the same time with high leverage and else. So the trick is to open only short (sell) ...
1
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2answers
125 views

Trading : how to deal with crashes (small or big)

i'm currently learning how to trade both manually and with EAs. I have questions : i'd like to know how to deal in the probability of a price crash like in 1987 (and many others): Is using a right ...
4
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3answers
1k views

How to start day-trading? Any advice about software for beginner? [closed]

I want to start day trading, but I am beginner and I need help. Is there some online tutorial? I want to start with just 1000 dollar. Is it enought? I find ninja trader software. Is it good? Or do you ...