Questions tagged [day-trading]
To be used for questions related to trades squared off the same day and do not involved deliveries. Typically used in the context of Stocks trading, can be used for Options or other trades. Related tags are trading, trading-volume, online-trading.
179
questions
0
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100
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Why am I not getting a margin call when using all my available margin?
I'm in the UK and have several broker accounts, all of which have a 50% margin call requirement. I thought I understood how margin works and the reason for it. As I am a retail trader, I use 30:1 ...
- 121
14
votes
2
answers
13k
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Is my algo trading illegal?
I have algo trading program (written by myself) and when it detects that price are going down it's going to sell shares (if I have one) wait a couple of sec/min and buy the shares on lower price.
Last ...
- 455
0
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1
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96
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Option trading to avoid overnight fees over a short position
I do a lot of short selling as a day trader. There is a pattern that I trade often. This one asks me to short and keep my position for several days. The problem I have is that the broker charges too ...
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3
answers
141
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Mathematics and Accounting of withdrawals and deposits in a shared portfolio
My friend is a day trader and works with money, after days of research I still haven't found a method or approach to accounting our shared account.
I've came across keywords such as pooled funds, ...
- 105
2
votes
1
answer
124
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How is an ETF fee calculated in a trade that ends in less than a year?
If you sell an ETF before a year, intraday or in a swing trade, then is the fee prorated or is that just the flat rate you pay when you sell, when you buy or does the broker pay it at some point in ...
- 151
1
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0
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91
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Judge the amount of money to trade
I have been day trading for about a year. I got some statistics on a stock market pattern. The latter gives me an 82% probability of occurring and an expected gain of 13% per trade. I'm having trouble ...
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2
answers
89
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Can a self-employed add a new mark-to-market account for day trading?
I am self-employed in USA. I am available during the stock trading time. I am thinking of starting day trading after a few months of preparation. I may begin with scalping. I will keep my current ...
- 421
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1
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42
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How do you analyse components of Index option to help you get more accuracy while trading options?
Suppose, you trade in options, Option index comprises of Many stocks, so how do you analyse those stocks in order to determine the movement of price in options while doing intraday trading?
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1
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58
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What is the benefit of scalping options on short intraday time-frames rather than trading large equivalent stock positions?
I see a lot of traders on fintwit (to name a few: @UmarAshraf and @RealNourAtta) using ITM or 40-60 delta OTM options to place quick day-trades on 1-5 min charts. They're out within seconds, minutes, ...
- 119
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1
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144
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Does one stock market buy order that fills through multiple executions count as one trade for PDT rule?
Scenario: you place one stock market order to buy 1000 shares. The order ends up needing multiple executions to get completely filled: 200 shares, 300 shares, 400 shares, 99 shares, and then 1 share. ...
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2
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103
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Why does this 5m candle open with a large body?
I grabbed this screenshot from TradingView on the AUDUSD chart from CityIndex at just a few seconds after the 06:45 candle opened:
Why is the candle so large?
I am expecting that when a new candle ...
- 549
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2
answers
135
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Please explain buy stop for a noob
My understanding of a buy stop is best described with these steps:
Price is at $100
I place a buy limit at $110 with no take profit or stop loss
I place a buy stop at $120
Here is where my ...
- 549
1
vote
1
answer
707
views
Understanding P&L from tradingview position tool
I'm really trying to understand how much profit and loss I would make when placing the LONG or SHORT position tool in TradingView.
I understand that with a $1000 account size, 0.01 lots == $10 and ...
- 549
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1
answer
87
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Does confluence improve the winrate of a system?
We have a discussion with some friend on another forum about confluence : let's say I have two systems, one with a winrate of 56 % and the other with a WR of 63%.
Now if we take trades only when both ...
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2
votes
1
answer
585
views
Moving from Robinhood to TD Ameritrade: Can I use specific-lot-matching method?
I've been using both TD Ameritrade and Robinhood for a while. I just learned that on TD Ameritrade, you can use the specific-lot-matching method when you sell your shares.
It's in My Account -> ...
- 313
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1
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86
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What's the negative about buying contracts 1 month out when scalping options? (Is it buying same day or 2-3 day contracts are way cheaper?)
What's the negative about buying contracts 1 month out when scalping options? (Is it buying same day or 2-3 day contracts are way cheaper?) I don't want Theta to negatively affect my gains.
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1
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129
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Best approach to select strike prices for an Iron Condor?
Options beginner here.
I'm aware of three popular ways to select strike prices for Iron Condor.
Select strikes such that they are equidistant from the CMP.
Select strikes such that the they form a ...
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19
votes
2
answers
4k
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What's the point of the wash rule?
I don't understand the 30-day wash-rule. Someone please set me straight.
So let's say I purchase 100 shares of Hot Stock X, for $100 apiece. So $10,000.
Let's say that the stock goes down 50% on a ...
- 313
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2
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174
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At the time when market opens what is the best way to know if market will go up or it will go down [closed]
I know markets are driven by multiple factors and any news, any time can cause market to go up and down. Assuming there is no major event/news during the day, at the time when market opens, what is ...
- 137
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0
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103
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Does this limit order book (depth chart) look legit?
I am reconstructing the limit order book on Binance. I get a snapshot at a particular time and update this snapshot based on the updates for each level that come every 100 ms from the exchange. Most ...
1
vote
2
answers
86
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What's the practical risk of reusing trade proceeds?
I built an algo that buys and sells securities in a few minutes. The idea would be to let it do that hundreds of times a day.
After some paper trading tests, I wanted to test it with a couple real ...
- 443
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0
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79
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Huge transactions in the last minute before the end of day after persistent downward pressure on stock [duplicate]
I've noticed many times a phenomenon of downward pressure on a stock for half an hour or more before the closing bell and a huge purchase in the last minute at a resulting very low price. I find it ...
0
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2
answers
316
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If 90% trader lose money can you do opposite of what they do and make money? [closed]
Say you have a friend Bob that is bad at trading and loses money consistently. Can you take position opposite of Bob for example if he buys a stock you secretly short it and when he sells you cover ...
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1
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115
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Daily stock deals with high risk
I am new to stocks world. I was talking to someone few days ago, who is expert in stocks, and he was saying that in the morning when the stock market open, he starts his job by buying and selling X (...
- 151
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1
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289
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How to calculate a trailing stop loss for a gamma squeeze?
I'm pretty sure AMC is going to hit crazy prices in a couple of weeks to months. A Korean AI traded fund just dumped Facebook and Wallmart for AMC. Plus, I got in a pretty big fight with some ...
- 105
2
votes
1
answer
77
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Calculating an accelerating rate of growth as a formula
Suppose I start with a $1,000 trading account.
During each 30 day period my account earns $1,000 in net profit from a trading strategy using one contract per trade.
The max amount lost across any ...
- 245
1
vote
2
answers
940
views
Is it wise to day trade without being subscribed to real-time data?
If data is delayed then am I literally trading on data or events that already transpired? How does that effect what I see on the DOM, the charts, time & sales? The bid/ask are always fluctuating ...
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votes
1
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147
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What is happening during the maintenance hour of E-Mini S&P 500?
I'm trying to better understand the trading hours of the E-mini 500 S&P, which according to the CME Groups web pages are shown like this:
This is, however, rather incomprehensible for anyone non-...
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0
answers
162
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How do you overcome the boredom (and loneliness) of Forex day trading? [closed]
I have two trading plans which I use to day trade in the Forex market for 2 hours a day (8-10 am UK time). Usually I will have between 2-4 valid trading signals each day. I have made more than 80 ...
- 111
13
votes
9
answers
4k
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What is the point of using a limit order?
I'm pretty new to trading, more specifically day-trading, and on my paper trading account, I am given the option to trade at the market's current value vs. putting in a limit order. I could understand ...
- 141
-1
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1
answer
215
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Pros and Cons of getting around Pattern Day Trader (PDT) rules
I have done some trading in my time, and I wondered how to get around the Pattern Day Trader (PDT) rules (this does not directly relate to me because I prefer swing or long-term investing.)
I have ...
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14
votes
6
answers
7k
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Why don't traders place limit orders at all prices to be first in line when the price moves?
In markets with price-time priority, why don't traders enter limit orders at all prices, so that they could be first in line when the price moves? For example, if the current best bid is $10 and the ...
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1
vote
1
answer
93
views
What are SEC issues I should know about when using my automatic stock trading software?
I created software that does automatic stock buying and selling through Interactive Brokers' web/API.
Does the SEC regulate this?
- 676
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votes
1
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87
views
Wash Sale Rule While Holding Initial Investment
I have a question for those familiar with the wash sale rule. I understand what it is, basically, if you sell shares of XYZ at a loss and buy it again within 30 days, you can't claim those losses on ...
- 103
2
votes
1
answer
117
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Can a day trading taxable income be more than the actual capital gain?
I've day-traded (in USA) actively during 2020, mostly short trades. Never kept positions overnight, so carried no positions into 2021 (and, similarly, no positions were carried from 2019 into 2020. ...
0
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2
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62
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If I show a total loss for the year, will I be impacted by wash rule disallowed losses?
I tried day trading after losing my job. With a $25k initial investment, I traded heavily for a few months using margin. I was up about $5k and then took a huge hit on some options when the market ...
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1
vote
0
answers
130
views
Day Traders from Germany/Europe? [closed]
I've recently taken a liking to the whole idea of trading and read some books on trading (day trading in particular). All of them suggested to do paper trading first and that's also my idea. I wanna ...
1
vote
2
answers
112
views
Is it possible to have an individual brokerage account where taxes are paid on portfolio, not individual positions?
Suppose I have an individual brokerage account with a number of positions. As far as I found, the taxation takes place per position, i.e. I can be forced to pay tax even if the portfolio loses money.
...
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1
answer
240
views
Bought coin for $30k, sold at $40k, and buy more in $46k. Makes sense? [closed]
Numbers are for example. Does it makes sense to engage in such day trading? (For bitcoin)
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votes
1
answer
192
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Can I reverse flip a bad low win rate trading strategy?
Let's say I have designed a terrible trading strategy with a poor win rate of 20% or less. We are not risking more than 1% in a single trade and an excellent risk management and position sizing are in ...
0
votes
1
answer
44
views
Capital Gains taxes [duplicate]
I used to be an amateur options trader and lost several thousand dollars over the past 2 years.
I understand how the wash rule works but here is my question.
Let's say I lost 150,000 dollars over the ...
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1
vote
1
answer
266
views
Does FIFO still trigger day trading? (using Robinhood)
I am using Robinhood and wondering how day trading is triggered and how first-in-first-out (FIFO) selling order works.
I bought GME stock yesterday and bought GME stock today. If I sell 1 GME share ...
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votes
5
answers
431
views
What's stopping me "day-trade" mutual funds?
I invest monthly into several funds, such as this one. Last week, I noticed a new fund I'd just invested a small amount into ($100) had grown by 12% in one week (now worth $112).
I investigated the ...
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1
vote
2
answers
60
views
Offsetting capital gains with previous losses
I only trade options. Nothing exotic but just buying and selling CALLS and PUTS.
So for example if I lost 30,000 USD trading options for the 2020 Tax Year. In 2021 I go on to profit 40,000 USD. Does ...
-1
votes
2
answers
418
views
Options trading and wash rule
For example, I buy a PUT option on TSLA for 3000 dollars and realize it's not working and sell it to close for 2000 dollars. Thus I have lost 1000 dollars on this transaction.
Within thirty days of ...
0
votes
1
answer
254
views
Day Trade $25,000 again
If I have a margin Day Trade account, after some transactions/tradings there is only $25,000 cash in this account now.
There are some cases for this Day Trade account I need to know its status. Please ...
- 421
1
vote
2
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241
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help me to understand the day trade requirements
I am new to the stock market and the Day Trade. I need your help to clarify some definitions (from Fidelity):
"A Day Trade is defined as an opening trade followed by a closing trade in the same ...
- 421
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0
answers
50
views
How do we trade and earn profits in future contracts? [closed]
Suppose there is a future contract with a market price of $100 and its lot size is 50, so can I purchase the lot at $100? And while selling before expiry or in intraday, suppose the price is $150, so ...
-3
votes
2
answers
93
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Stock market day trading etf new please help
I am really new to this and I need your help.
Let's say I have 50k: I buy 100 shares of a stock, sell them at $5 profit for each share and do it again with 50K+plus.
How much I made on the last trade?
...
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0
votes
1
answer
239
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Does the Pattern Day Trader (PDT) rule apply on all brokers?
Does the Pattern Day Trader (PDT) rule apply on all brokers? or some brokers can ignore it
