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Andrew Aziz

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Let's start with some answers to commonly asked questions:

 

Andrew, why do you prefer Interactive Brokers?

>>> As a Canadian, Interactive Brokers is the most inexpensive option available to me. Commissions can be as low as $1 per trade up to 400 share size. IB also has many stocks available for short. Note that Bear Bull Traders is not affiliated with IB--I am speaking as a customer.

 

Andrew, which broker do you currently recommend for Canadians? U.S. residents with $25k or more? U.S. residents with less than $25k? Traders outside of North America?

>>> For Canadians, Interactive Brokers is the most appealing option (SpeedTrader does not accept Canadian residents). PDT rules do not apply to Canadian residents.

 

>>> For U.S. residents with over $25,000, SpeedTrader is very attractive (PDT rule applies). I encourage you to discuss them in the forums here. Note that SpeedTrader minimum is now $30k.

 

>>> For U.S. residents with less than $25,000, CME Group is offering Bear Bull Traders members very low commission rates. They use Interactive Brokers for clearing and DAS as a platform. PDT rules do not apply. Please discuss in the forums here.

 

>>>Broker Comparison table:

Broker Compare

 

 

Andrew, how do commissions at Interactive Brokers compare with XYZ broker?

>>> Interactive Brokers has two commission structures: fixed and tiered. Both are very low compared to competitors. Fixed pricing is 0.005/share and includes all regulatory fees (SEC, FINRA, etc.). Tiered pricing is 0.0035/share but does not include those fees. Tiered gets even cheaper if you trade high volumes (as low as 0.0005/share). Generally, tiered works out to be cheaper in the end. Here is the link where you can compare the pricing models.

 

SpeedTrader is also very competitive at $2.95/trade, regardless of share size in your trade (with Bear Bull Traders promotion). I highly recommend it for U.S. residents with at least $25,000.

 

For off-shore brokers, CME Group is an inexpensive option. They are offering Bear Bull Traders members 0.005/share up to 1000 shares (discuss the broker and promotion here).

 

Andrew, is my money safe with off shore brokers like CME Group or SureTrader?

>>> Bear Bull Traders is not affiliated with any broker. That being said, I have a small account with CME Group and don't keep too much funds with them. Note that off-shore brokers are only subject to the laws governing the country where they are based. Also, account funds are most likely not protected to the same standards as SIPC or FDIC.

 

Andrew, why should I use DAS when my broker provides a platform for very low cost, or even free after commission rebates?

>>> Many brokers charge you for live market data in order to make use of their platforms. DAS Trader Pro comes with charting, execution, and real-time market data in one package.

 

Broker platforms are okay for swing trading or passive investment, but not so great for active day trading. For example, Interactive Brokers just added VWAP to the TWS platform in Dec, 2017! Bear Bull Traders is not affiliated with DAS--I am speaking as a customer. If a better platform is released, you will hear about it from me!

 

Andrew, I get that, but DAS costs $150 a month!

>>>  There is a reason why DAS Trader Pro is the only retail platform to be receive Platinum Partner status. Many professionals--the people you are trading against--use DAS to level the playing field with algorithms, proprietary trading firms and large institutions.

 

DAS has extremely fast execution since their servers are collocated with NASDAQ. This ensures direct access to the exchange. It really is best of breed in terms of retail day trading platforms.

 

Imagine training to become an F1 driver. Would you practice at the local arcade, or spend time on an expensive, state-of-the-art racing simulator? Both will teach you how to drive--but only one will prepare you for the fierce competition that awaits you.

 

Andrew, I already have ToS or XYZ platform. Can I still join and follow along in the class and chat?

>>> Absolutely! Many of our members use ThinkOrSwim and TradeStation. The concepts taught in class are very similar. However, there may be little in terms of community support since the majority of our members use DAS.

 

Andrew, do you trade cryptocurrencies? Can your strategies be applied to crypto trading? 

>>> No, I do not trade the cryptocurrency market since it is unregulated at the moment. Some day trading strategies may apply, but price volatility is much greater. Trade at your own risk.

 

Andrew, when should I use the 1-minute chart vs. the 5-minute chart?

>>> I try to watch both and make my overall decisions based off the 5-minute chart. The 1-minute chart sometimes can give better resolution, but often price movement is choppier. Engulfing patterns and higher-high/higher-lows hare meaningful on the 5-min chart, but are just noise on the 1-min.

 

It also depends on the speed of the trade. If you expect a big move or big drop that might take 10 mins or so (i.e, a reversal), then 5-min must be only decision making chart. However, if u scalp low-float stocks only for a few seconds, then 1-min must be used in addition to 5-min chart.

 

For example, when I go long low-float stocks I look at 1-min chart, but I never do this when stock is being heavily bearish on 5-min chart, even though it makes a 1-min high with good volume. I don't do it because 5 min is very bearish. Usually 1-min highs are a good signal, only when they are close and same as a new 5-min high. The 1-min must be in agreement with the larger trend on the 5-min.

 

Andrew, what position sizes do you take?

>>> For low-floats, usually around $10,000 worth of buying power. For mid-floats, around $40,000.

 

Andrew, what is a realistic daily profit goal?

Professional traders can expect to make on average 0.5% to 2% on their account size daily. You should choose a reasonable target based on your experience, trading style, risk tolerance, etc.

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Andrew, you wrote that "SpeedTrader is only for U.S. residents", but in their FAQ there are many countries listed as accepted foreign clients. Is there other reasons to not use them if I'm not from US?

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Andrew,

 

I'd love if you'd record your daily classes and start a video library on your website. I think it would add tremendous value to everyone about recent plays and how you actively use your teachings.

 

Because of my time, I can't make the live classes so having access to review the recorded version would add so much. Probably increase your sub base as well as I can't be the only one where the timing doesn't align.

 

-Dan

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Andrew, you wrote that “SpeedTrader is only for U.S. residents”, but in their FAQ there are many countries listed as accepted foreign clients. Is there other reasons to not use them if I’m not from US?

 

That was a typo. It has been edited to say "SpeedTrader does not accept Canadian residents."

 

 

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I’d love if you’d record your daily classes and start a video library on your website. I think it would add tremendous value to everyone about recent plays and how you actively use your teachings.

 

Dan, classes are recorded. Since the content doesn't change much, the recordings aren't weekly but every few months. On the left side of Members Area, you will see ‘Premium Resources’ with links to the different class videos. After clicking on a link, a page will load that has a video player on it that you can watch the full class.

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Hi Andrew, What is the difference between DasTrader paid Simulator and 14 days free trial?

DAS free trial has delayed data, except for NASDAQ stocks.

 

how do i change my equity from 25000 to 5000 Demo Acct.?

See this FORUM post in DAS Trader tips and tricks:

https://forums.bearbulltraders.com/topic/150-how-to-change-your-equity-and-buying-power-in-simulator/

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Andrew, what is your account size for your live trading in the chat room each morning?

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Andrew, what is your account size for your live trading in the chat room each morning?

I keep around $30k in my account and have about $110k buying power.

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Good evening Andrew,

 

Just had a quick question regarding my TFSA with IB. it states that I am unable to have a margin account within my TFSA and without margin abilities I cant short sell a stock. so I was wondering if I'm reading something wrong or when you short a stock, you are actually not using your TFSA account with IB and require to pay tax on your gains.

 

Thanks!

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Just had a quick question regarding my TFSA with IB. it states that I am unable to have a margin account within my TFSA and without margin abilities I cant short sell a stock. so I was wondering if I’m reading something wrong or when you short a stock, you are actually not using your TFSA account with IB and require to pay tax on your gains.

 

I have margin account with IB since you cannot short or use leverage in a TFSA or RRSP, and yes gains are taxable.

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Why does IB only request $10000 minimum deposit for individual account on their website posting? Any changes happened recently?

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"I have margin account with IB since you cannot short or use leverage in a TFSA or RRSP, and yes gains are taxable."

 

I hope you are enjoying your trip Andrew,

 

I just wanted to confirm that you have both your TFSA account (as you state in your book) as well as a margin account linked with your DAS. So you manually switch back and forth between the TFSA and margin account in DAS depending on if you are shorting or going long?

 

Do you sometimes accidentally forget to switch on your TFSA to go long on a stock?

 

Thanks and I hope you have a good weekend. looking forward to Monday morning!

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I just wanted to confirm that you have both your TFSA account (as you state in your book) as well as a margin account linked with your DAS. So you manually switch back and forth between the TFSA and margin account in DAS depending on if you are shorting or going long?

 

Do you sometimes accidentally forget to switch on your TFSA to go long on a stock?

 

Tym, I do not state this in my book? I only have margin account linked with DAS for all my day trading. CRA is cracking down on people trading inside TFSA. See this article.

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