Wow, this is a first - I was sure you knew everything, LOL.
Don
Trading with Less then 100 shares Lot
- Thread starter Tranbo
- Start date
Wow, this is a first - I was sure you knew everything, LOL.
Don
I know, I'm very disappointed in myself. I'm going to have to do some serious reflection over the weekend to figure what went wrong. It won't happen again Don.
Way too melodious here in the Prop Forum!!
C'mon, Don & Mav, let's have a little discord!
Quote from stockwrangler:
Way too melodious here in the Prop Forum!!
C'mon, Don & Mav, let's have a little discord!
Hmm, not sure about Mav's picture, but I'm told the one on the left looks a lot like me -weird.
Don
Quote from Maverick74:
I know, I'm very disappointed in myself. I'm going to have to do some serious reflection over the weekend to figure what went wrong. It won't happen again Don.
All will then be back in sync with the Force, Luke my son.
Don
1) No odd lot trade is going to trigger any stops, since they don't print to the tape. You know better?
2) In this day and age, what kind of 'preferential' treatment can you possibly get by trading an odd lot. Maybe when the spec would sit there for 30 seconds and hold the market, but now? Gimme a break.
Forgive me, but when I see talk like this , I wonder if I'm not being gamed by disinformation.
Kind of like the posts on stocktwits, 98% winners each and every day.
2) In this day and age, what kind of 'preferential' treatment can you possibly get by trading an odd lot. Maybe when the spec would sit there for 30 seconds and hold the market, but now? Gimme a break.
Forgive me, but when I see talk like this , I wonder if I'm not being gamed by disinformation.
Kind of like the posts on stocktwits, 98% winners each and every day.
Actually the 25K rules and odd lot trading rules does not design to protect under capitalized trader...it is far from it. The SEC rules for the most part were shaped by big player in the industry whom would gain the most from it and therefore more incentive for them to shape it to their favor -Hence, SEC always asking for Request for Comment to any rules...they don't just set up the rules base on fairness
--The 25K rule for day trading requirement had created bunch of prop firms whom will let you trade with 5K risk deposits and at 100 shares size lot You wouldn't have a chance to learn anything before you blow up your account and quit or Join their training program/trading room ..etc.
--Imagine for a moment without the rules above..the prop shops wouldn't exist and if you can trade with odd lot instead of standard lot prop shop wouldn't made no money.
Quote from Tranbo:
Actually the 25K rules and odd lot trading rules does not design to protect under capitalized trader...it is far from it. The SEC rules for the most part were shaped by big player in the industry whom would gain the most from it and therefore more incentive for them to shape it to their favor -Hence, SEC always asking for Request for Comment to any rules...they don't just set up the rules base on fairness
--The 25K rule for day trading requirement had created bunch of prop firms whom will let you trade with 5K risk deposits and at 100 shares size lot You wouldn't have a chance to learn anything before you blow up your account and quit or Join their training program/trading room ..etc.
--Imagine for a moment without the rules above..the prop shops wouldn't exist and if you can trade with odd lot instead of standard lot prop shop wouldn't made no money.
This is not true. I worked for one of the best equity prop shops years and years before the 25k PDT rule went into effect. There were tons of them. The PDT rule has done nothing for the prop industry. Do you really think firms covet the 5k piker? Ask Don Bright what he really thinks of the 5k trader. Ask him over PM so you get his honest answer. I can assure you while there are firms that will take those guys, they are at the bottom of the totem pole.
And billyjoerob, another thing I don't think you understand is you're thinking about a 25k account, and thinking about a prop shop trading little stuff like that. You're thinking retail, and retail is like Mars, for example, and Venus would be prop firm.
Prop traders trade with leverage... 20:1, some even 50:1
Someone (a professional. Probably has a Series 7 license), who trades a leveraged up $500k account for the firm, and only the firm is far different that the mom, pop, snot nozed 19 year olds, etc., trading $25k in their retail account.
Retail traders can odd lott. They don't trade size, and volume like the prop firm trader.
Prop traders cannot odd lot. They are considered professional, meaning they are MUCH more likely to have a trading "edge/knowledge" vs. the mom, pop, and snot nozed 19 year olds, etc., who are considered dimwits by the regulators. If prop traders could odd lot, they would have an unfair advantage over the retail guy, and a manipulated market.
Prop traders trade with leverage... 20:1, some even 50:1
Someone (a professional. Probably has a Series 7 license), who trades a leveraged up $500k account for the firm, and only the firm is far different that the mom, pop, snot nozed 19 year olds, etc., trading $25k in their retail account.
Retail traders can odd lott. They don't trade size, and volume like the prop firm trader.
Prop traders cannot odd lot. They are considered professional, meaning they are MUCH more likely to have a trading "edge/knowledge" vs. the mom, pop, and snot nozed 19 year olds, etc., who are considered dimwits by the regulators. If prop traders could odd lot, they would have an unfair advantage over the retail guy, and a manipulated market.