TradeStation is a top online brokerage that facilitates stock, options, and futures trading. The broker, typically geared towards established traders, offers a versatile trading platform and a number of useful features.
TradeStation has typically concentrated on rich, established, and successful traders. Going forward the company’s aim is to expand its appeal and scope through improvements in prices and new services. TradeStation had quite the busy year 2019, buying and restarting a company named YouCanTrade devoted to education and science, as well as starting a digital currency mutual fund named TradeStation Crypto Inc. The Florida-based brokerage has also unveiled its pricing strategy for TS GO, which provides discounted rates for options and futures to trade.
Who Should Use TradeStation?
The dedication of TradeStation to superior customer service and their emphasis on high-quality market data and trade executions make them a good option for the active trader or an intermediate-level trader who wants to develop their skills. Its systems are robust and will remain available in trading volume during surges. Overall, TradeStation has put a lot of effort into making itself more appealing to the traditional investor, but the platform is more focused on the committed, technically oriented trader.
Advantages Of Using TradeStation:
The network is highly stable; over the past year, TradeStation records an uptime of 99.999 percent, running consistently even in times of high volatility.
TradeStation 10 has just about every bell or whistle that a commercial technician would dream of. It enjoys a well-earned reputation for outstanding instruments for charting and scientific research. Specifically, the charting application stands out of all the online brokers we tested.
Portfolio Maestro, the investment review tool of TradeStation, provides effective insights to automate the marketing plans. Figure out what works and hold it up, or figure out what doesn’t work and repair it.
Disadvantages Of Using TradeStation:
It will take some time to learn how to use the TradeStation platform well enough to build your own trading program. While they call the language of creation EasyLanguage, learning isn’t particularly easy.
To access TradeStation’s educational offerings offered by its new subsidiary, YouCanTrade, you need to navigate to a separate web site. Similarly, TSbot, the AI-powered support app, is still not very helpful, sometimes answering, “Oops, I might not have been trained on that yet. Can you please rephrase and try again?”
Fixed income transactions have to be done with a live broker, and foreign trading is not open. The key platform will not incorporate future, futures options and cryptocurrency trading.
TradeStation Fees Details:
TradeStation yields money when you do business. Trades in stocks cost $5.00 per equity (not per share), and trades in options cost $5.00 per option plus $0.50 per contract (100 shares). These are as low as other discount brokerage firms in terms of the brokerage fees.
TradeStation is not the right company for less active traders though. Customers must swap at least 50 options a month or trade at least 5,000 shares a month, or maintain a $100,000 balance, or they will be hit with high platform fees. The basic Platform for Trading costs $99.95 a month. RadarScreen (the market tracking tool) costs those who do not meet the trading threshold an extra $59.95 a month.
You will also be paying a range of extra fees, including a $35 annual charge if you keep your IRA at TradeStation.
Minimums of account support differ according to the type of trading. To trade on Margin you need just $500 or $2000 for ETFs and other equities. Futures and options require funding of at least $2000 or more (depending on how much you buy). Anyone wanting to have mutual funds or bonds in their portfolio would keep those assets in another brokerage.
TradeStation is a top-notch option for serious investors looking for a true trading experience at a professional level. In reality, TradeStation at one time catered solely to professional brokers and money managers. Regular investors now have access to the company ‘s high-octane resources, especially after the company recently reduced trading costs to $0 and lowered the minimum investment to $0 for its latest TS GO bid.
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The broker’s updated TS Select package, which requires an initial investment of $2,000 but provides access to the broker’s full suite of tools and free trade from the powerful TradeStation 10 Desktop platform, would be less appealing to new investors.
TradeStation has become the gold standard among committed traders with its more than three decades of serving brokers, hedge funds, and institutional investors — clients who are sticklers for precision, quick trade execution and the ability to customize charting software to the nth degree. Active traders should enjoy the recent redesign of the site and the fact that they have the same arsenal as the pros at their disposal.