Review of the best brokerage firms for day trading. Top day trading accounts for stocks, options, and futures markets.
Day Traders
A lot is needed to make a living out of the day trading on the markets. Knowledge, experience, and right trading tools are the most important factors. It is also imperative to minimize the cost of trading as it might consume a large portion of a trader profits. In an ideal world, there is a brokerage firm that offers both the lowest possible pricing and the best trading platform and research tools for active traders. Unfortunately, in the reality the best tools and the lowest costs will be in different companies.
We believe that a successful day trader needs two brokerage accounts. The first account should be with a company offering $0 commission pricing. The second account will provide access to the best trading, research and charting tools which are usually found in the more expensive brokerage houses.
Best Brokers For Day Trading
Below we list our picks for 2024 best brokers for day-trading. Both of these firms are offering fast trade executions.
- WeBull for the cheapest commissions - $0.00 per trade on all products and no account fees.
- Charles Schwab for the fantastic set of trading platforms and research tools.
It takes 10 minutes to open a day-trading account at Webull ($0 minimum opening deposit) or Charles Schwab/Thinkorswim ($0 minimum opening deposit).
WeBull
| Investments | Commissions |
|---|---|
| Stocks and ETFs | $0 |
| Options | $0 |
| Mutual funds | not offered |
| Treasury Bills, Notes, Municipal and Agency Bonds, Zeros & Strips | not offered |
| Investments | stocks, options, ETFs | |
| Minimum deposit to open account | $0 for cash account, $2,000 for margin account | |
| Fees | Webull fees | |
| Promotion | Webull promotions | |
With rock bottom $0 commission on all stock, option, crypto, and ETF trades, Webull is now the top broker for day traders looking for the lowest pricing. They also offer some of the lowest margin rates in the industry.
Webull's mobile app is already among the best on the market, and they have a desktop trading platform that is improving fast.
Full Webull Review
Webull Review
Webull Promotion Code
Up to 75 FREE fractional shares when you make a deposit at Webull.
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Charles Schwab: Broker With Best Day Trader Platform
| Investments | Commissions |
|---|---|
| Stocks and ETFs | $0 |
| Options | $0.65 per contract |
| Mutual funds | $0/$49.95/$74.95 to buy, $0 to sell |
| Futures | $2.25 per contract |
| CDs, Corporate Bonds, Municipal Bonds, Government Agencies, Zero-Coupon Treasuries, including STRIPS and Mortgage-Backed Securities | $1 per bond, $10 minimum, $250 maximum |
| Preferred Stocks and REITs | $0 |
| Commercial Paper and Foreign Bonds, Unit Investment Trusts | call for pricing |
| Investments | stocks, bonds, mutual funds, futures, Treasury issues, options, CDs, insurance, ETFs, futures, annuities, non-U.S. securities and ADRs, WEBs and Canadian foreign orders | |
| Charles Schwab minimum deposit to open account | $0 for cash account, $2,000 for margin account | |
| Fees | Charles Schwab fees | |
| Promotion link | Charles Schwab promotions | |
Charles Schwab commission is $0 per trade. What we really like about the firm is their Thinkorswim trading platform, that allows trading stocks, options, forex and futures from the same place. The platform is the best in the industry for day traders, and it is free of charge. Thinkorswim provides instant trade executions, and it is a must-try for any day trader.
Because of Thinkorswim, Charles Schwab has been rated one of the top brokers for active traders for the last few years. Read complete Thinkorswim platform review.
Detailed Charles Schwab Review
Charles Schwab Review
Open Charles Schwab Account
$0 commissions + satisfaction guarantee at Charles Schwab.
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Becoming A Day Trader: It's Simple, But It's Not Easy
When people find out that I am a professional trader, they usually ask, “What's the secret?” They often feel let down by my answer. I always say there is no secret; trading is simple, but it's not easy.
Through talking with other traders, I've noticed that everyone goes through a similar journey to become someone who makes a living from trading. Not exactly the same in terms of time and effort, but the stages are similar. I'll share the steps I went through in hopes that others can see where they are and find some hope that success is possible.
At First Glance
When I started trading, it seemed straightforward. Prices go up or down, doesn't seem complicated, so let's get started. I made a lot of trades and took a lot of risks. If a trade started going against me, I'd switch my position. Then the price would change again, and I'd go back to my original position only to see it change once more. After ten days of this frustrating cycle and losing money, I realized there was more to trading than I first thought.
The Search for Knowledge
I spent the next two years reading many books, visiting websites and chat rooms, buying systems, and immersing myself in everything related to the market. I experimented with every indicator I could find, from Fibonacci lines to moving averages. I would try a system for a week, and if it didn't work, I'd move on to the next one. I aimed to predict the exact turning points in the market and chased losing trades. I tried everything but never stuck with one thing long enough to see if it actually worked.
After dedicating more time and effort than I expected and losing two fully funded brokerage accounts, I was about to give up.
The Realization
One day, I looked at the mess of notes on my desk and realized I had tried five different systems in the last eight days. I had a revelation: maybe the problem wasn't the system. Perhaps no one and nothing can predict what the market will do in the next few moments or even the next half-hour. This realization led me to explore the psychology of trading, and I started to develop my own system and method of trading.
I stopped focusing on individual trade results and started taking a longer-term view. I no longer got upset when a trade lost; I simply closed it and moved on to the next one. I truly accepted that I couldn't predict the market, and things began to improve.
Gaining Momentum
The next year was a steady climb towards profitability. I made trades that met my criteria and took losses as easily as wins. My winning trades were allowed to run their course, and I quickly closed my losing trades. I started breaking even most days and months, growing more confident in my system and aware that I was on the right track. I kept working hard and carefully considering every trade. Slowly, I began making more money than I lost on a consistent basis.
The Boredom Sets In
Once my account started growing steadily month after month, boredom crept in. Trading no longer felt exciting; it became routine. Like anything else you become good at or do for a job, it gets boring. Once you have a proven trading method that is profitable, it tends to become mundane.
In conclusion, the best answer to the “What's the secret?” question is that the journey to becoming a successful trader is simple, but it's not easy.
Updated on 8/1/2024.
About the Author
Arthur Chachuna is a professional personal finance blogger, and the owner of Brokerage-Review.com. He has been an avid investor for 25 years, and has a background in both applied math and programming.
