Day trading brokerage a must

CSE Today wrote:For a steady & sustainable growth of the Market I suggest that the Brokerage should be applied on both ways on day trading too.

People who buy at low trying to cash it out even on a small profit which pave the way for throat cutting..even when the particular stock moves up and the buying pressure is building on it, the day traders obstruct the upward movement by placing their sell orders at 0.10 below each other which will become a reason for an upward movement possible stocks to refrain from further growth and reverse the trend...

I witnessed this situation is specially griming the fundamentally strong liquid counters but unfortunately when it comes to illiquid this throat cutting is not visible and each other places their bids/ask on upper ends

So if the regulators implement the brokerages++ on day tradig too then I guess this throat cutting will end as every one has to wait for a reasonable amount upward to cover the cost...

Whats the idea of MODERATORS...?

CSE Today wrote:For a steady & sustainable growth of the Market I suggest that the Brokerage should be applied on both ways on day trading too.

People who buy at low trying to cash it out even on a small profit which pave the way for throat cutting..even when the particular stock moves up and the buying pressure is building on it, the day traders obstruct the upward movement by placing their sell orders at 0.10 below each other which will become a reason for an upward movement possible stocks to refrain from further growth and reverse the trend...

I witnessed this situation is specially griming the fundamentally strong liquid counters but unfortunately when it comes to illiquid this throat cutting is not visible and each other places their bids/ask on upper ends

So if the regulators implement the brokerages++ on day tradig too then I guess this throat cutting will end as every one has to wait for a reasonable amount upward to cover the cost...

Whats the idea of MODERATORS...?

manike100 wrote:First of all I am not a moderator

According to me, your idea is partly correct.
The long term investors are responsible for the stability of the market while the short term investors are keeping the liquidity of the market. So both of them are very important for a live & active market.

If the day traders are exceeding the limit the regulators need to control them.There is nothing to argue about that.

Anyway I do not think they have exceeded the limit yet. Normally we can’t expect a continuous green market; it will be having some red periods.
So I do not think the current down tern is due to the uncontrolled day traders.
According to my understanding the power of day traders are very less when compared with investors.

mark wrote:

so my idea is this- both parties are very useful for healthy market,
traders for short term existence and investors for long term existence......
but i prefer chances should be given favor on traders,and SEC should closely monitor the manipulative actions carry on by some traders.........

milanka wrote:

mark wrote:

so my idea is this- both parties are very useful for healthy market,
traders for short term existence and investors for long term existence......
but i prefer chances should be given favor on traders,and SEC should closely monitor the manipulative actions carry on by some traders.........

Above covers my idea too. But as noted by Mark , Does SEC checks and monitor the manipulators ? . That’s the help everyone expects from them.

CSE Today wrote:For a steady & sustainable growth of the Market I suggest that the Brokerage should be applied on both ways on day trading too.

People who buy at low trying to cash it out even on a small profit which pave the way for throat cutting..even when the particular stock moves up and the buying pressure is building on it, the day traders obstruct the upward movement by placing their sell orders at 0.10 below each other which will become a reason for an upward movement possible stocks to refrain from further growth and reverse the trend...

I witnessed this situation is specially griming the fundamentally strong liquid counters but unfortunately when it comes to illiquid this throat cutting is not visible and each other places their bids/ask on upper ends

So if the regulators implement the brokerages++ on day tradig too then I guess this throat cutting will end as every one has to wait for a reasonable amount upward to cover the cost...

Whats the idea of MODERATORS...?

tubal wrote:What is really needed is a volume discount like you find in other countries. I am not a day trader but I am a short term trader. That means in some months my broker makes more money than I do because I need to pay brokerage twice.

Currently the SEC allows negotiated brokerages for large transactions. What the SEC needs to do is to provide for volume rebates. ie, someone who trades 50 million rupees a month should have the same benefits that an invest who does one transaction for 50 million in a month but does not buy or sell anything else has. The turnover for both the 50 million rupee investor and the 50 million rupee trader is the same, but the investor pays a small commision while the trader pays a high commision.