Trying to Get Around PDT: SureTrader or Prop Firm?

[cheezehead]

I wanted to get some good responses on this. I am looking to day trade but I dont have $25k to put in (rather just about $10k). I plan on using a trade service to get me rolling, but I know that with day trading, you really need to be set up on a broker to be able to trade the setups.

Sure Trader seems to be quite expensive. they have quite a number of fees ranging from the per share fee beyond 1000 shares, to wire transfers of $100 (really?) and software and routing fees.
So with this in mind, from someone that is trading with these guys, how has it been? Have you been paying more in commissions and fees than if you were with another broker?
I realize this is part of my dilemma because its not like I can just open up any account and day trade with $10k.

The other thing that I have been seeing is trading with a prop firm. I know a lot of people are against this but I'd like to hear from those that have used them.

the only other way that I could possibly work a way around this is to open an account with multiple brokers. This will cause me to have less buying power, but at the same time, I would only be taking up to 3 trades per week on it. ;-)

Please don't rip me up. I know its probably a bit risky in doing this but I came from Forex trading which is 10 times worse as far as risk taking..

thanks,
Chri$

[Thierry Martin]

I wanted to get some good responses on this. I am looking to day trade but I dont have $25k to put in (rather just about $10k). I plan on using a trade service to get me rolling, but I know that with day trading, you really need to be set up on a broker to be able to trade the setups.

Sure Trader seems to be quite expensive. they have quite a number of fees ranging from the per share fee beyond 1000 shares, to wire transfers of $100 (really?) and software and routing fees.
So with this in mind, from someone that is trading with these guys, how has it been? Have you been paying more in commissions and fees than if you were with another broker?
I realize this is part of my dilemma because its not like I can just open up any account and day trade with $10k.

The other thing that I have been seeing is trading with a prop firm. I know a lot of people are against this but I'd like to hear from those that have used them.

the only other way that I could possibly work a way around this is to open an account with multiple brokers. This will cause me to have less buying power, but at the same time, I would only be taking up to 3 trades per week on it. ;-)

Please don't rip me up. I know its probably a bit risky in doing this but I came from Forex trading which is 10 times worse as far as risk taking..

thanks,
Chri$

SureTrade or Questrade in Canada - Canadian brokers don't have to respect the US daytrading rules. Of course it won't be as convenient or as cheap as a US broker, but you have no choice.

[Blaine Tarr]

I recommend SureTrader for those under $5k but more than 2k. If you have over $5k a prop firm is well worth the look. Sure they take some of your profits, but long term the reward can be much greater seeing as though you can get access to more capital.

I know people that use Broad Street and Lake Street, both of which go through reputable banks. One con is having to take the Series 56 exam to become a prop trader, but it is also a pro as then you are certified and it can be a nice resume padding if you ever apply to work for a real firm. At least they'll see you put the effort in to pass the exam and could do it again if you need a series 7 or something.

If you wanted to open 3 brokerage accounts with different firms the benefit would be to be able to spread around the money rather than be tempted to put your entire loot on one stock, so if you lose it, you'd still have money left.

So it really comes down to what you're willing to pay for. Do you want higher commissions after 1,000 shares? Or do you want a prop firm to help prepare you and sponsor you for a series 56 in return for getting access to more capital while they can take a cut? Everyone is different, you just have to figure out which direction you want to go.