No CMEG Promotion Anymore?

[Adamz 0]

I saw CMEG BBT offer as a way to finally take the leap, spent a good bit of time and resources only to find out its a no longer offered. I am in Sim and don't know what to do. I have a $5000 account and am trying to make a strategy based on as few of trades as possible, no partials, max 3 trades per day exe...  Feel like the bar just got moved 3 rungs higher

 

[Robert M NYC 3]

4 minutes ago, gonebeachtrades said:

I saw CMEG BBT offer as a way to finally take the leap, spent a good bit of time and resources only to find out its a no longer offered. I am in Sim and don't know what to do. I have a $5000 account and am trying to make a strategy based on as few of trades as possible, no partials, max 3 trades per day exe...  Feel like the bar just got moved 3 rungs higher

 

I mean it is possible if you have a good strategy with a high success rate. Do the math and see if it will work out for you:

3 trades/day is 6 tickets. That will cost you ~ $20 including ECN fees

With a $5000 account I wouldn't risk more than $25 per trade.

If you have one looser, your two winners need to be 2R trades.

If you have 2 loosers you winner needs to be 3R

So you either need a strategy with >66% success rate, or If lower, your winning trades should yield at least 3R

 

For me personally with a $5000 account its not worth it, spending a few hours per day to make $20 net

[Adamz 0]

19 minutes ago, peterB said:

with 5k you can easily do $10-$20 risk per trade

the disadvantage of CMEG is that the DAS payment they substract from your account credit so you need to fund your account monthly anyway until profitable

I think ultimately it will help my trading to be more disciplined, picky, in trade selection, keep me from overtrading. It is also keeping me in sim longer which can be all that bad. 

[Bailey Nevener 83]

"Now don't go telling me that opening up a small account with CMEG ain't a good idea son.

I've been chopping up my small account successfully in these here fields fer 'bout 40 years...  

Now why don't you take that critical thinking with you, and go'on git."

If you don't have enough cash on hand to fund a $25k account, be very cautious with opening up a CMEG account.

The implication is that you need the money if you can't open a $25k account. 

 

I've been there, multiple times.  It is a horrible psychological situation. 

If you like theatrics and you're the kind of person that loves reaching goals by the "skin of your teeth" then please use CMEG to grind your way to $25k. 

It is a masochist's dream. 

 

Here's a little peek into the average experience:

Step 1 -

Deposit $5k into CMEG to avoid PDT and get some "skin in the game" and "avoid risking a whopping 25k" (which is actually not the case, if you continue reading)

 

Step 2 -

Use your newly,

very-recently-acquired,

often-under-a-year-experienced,

people-fail-all-of-the-time-at-this-but-not-me, 

I-deposited-money-into-CMEG-so-I-inherently-don't-have-prudence-to-give-myself-the-best-odds-but-I'll-have-self-control-while-trading-somehow,

I-really-need-this-5k-to-get-bigger-because-I-need-financial-relief,

found trading skills, in a low balance, high leverage live account every morning at 09:30 EST. 

 

Step 3 -

Choose between your two new favorites:

• Low float stocks
  • High margin requirements (often can't use the 6x leverage)
  • No shares to short
  • Limited education provided about these on BBT, especially low ticket # strategies
  • Difficult to manage risk (spread / heavily manipulated / halts)
• Mid-cap / Large-cap stocks
  • Poor short inventory (gets so bad sometimes that you develop a long bias just to trade the open)
  • Lower % moves, so your account balance / commissions become a much more significant factor
  • If you throw risk management out of the window to avoid the account balance / commission chop, in which case, your psychology becomes a factor

 

However there is one other, IMO more important reason to just wait.  (AKA invest your way to $25k or swing trade with a commission free broker)

 

Once you have an IB account with a $25k balance or higher, they will not even let you initiate another trade if your unrealized balance drops below the $25,000 barrier. 

(Versus CMEG where you can lose every last dime of that $5k in a couple bad trades or a few choppy weeks) 

 

So while you are trading with IB, unless you are in an insanely leveraged position with no risk controls, you pretty much have a solid net there waiting for you at $25k.

This makes using a $25k account a psychological cake walk compared to a $5k account with CMEG. 

 

Just deposit $25k, plus a buffer of say, $1k, and trade like you are using $5k. 

Then you just replenish your account for every $1k that you lose.

 

Unless you are just raking in dough on your sim trades and know for-a-fact that you have A-MAZ-ING R:R on a high win % strategy, I would very seriously consider just investing/swing trading to $25k.

The commission structure at CMEG does make considerably more difficult to successfully exercise a strategy with a low account balance.

If you need the money please avoid using CMEG.

 

"Now what did I just tell you boy?!  Go'on gitttt!!!"

[Robert M NYC 3]

Is anyone else seeing reduced commissions since mid or end of September in CMEG?

I remember BBT was trying to get a discount again for members. There was a link to sign up in discord a while ago.

Haven't gotten any updates so far. CMEG is still posting $2.95/ticket in their FAQ's

 

[Adamz 0]

Just filled out a form for them to attempt to get reduced commissions on my behalf for cmeg. It said no promises but they would try.

[danielmckenna 1]

 

On 1/25/2022 at 7:12 PM, Adamz said:

Just filled out a form for them to attempt to get reduced commissions on my behalf for cmeg. It said no promises but they would try.

Hey, how did you get on with this? Did you get your promotion applied to your cmeg account?

Edited February 18, 2022 by danielmckenna

[Adamz 0]

No reduced commissions unfortunately. Haven’t heard from BBT or CMEG about it. I’m assuming it’s a no go but we’ll see. I would go ahead and fill out he form from BBT and see if it can work for you

.

 

Edited February 19, 2022 by Adamz

[FL 5]

On 2/19/2022 at 6:49 AM, Adamz said:

No reduced commissions unfortunately. Haven’t heard from BBT or CMEG about it. I’m assuming it’s a no go but we’ll see. I would go ahead and fill out he form from BBT and see if it can work for you

.

 

Hi guys, I was looking in forums and couldn't find the form that you're speaking about here. Highly appreciate it if anyone is willing to drop a link to it. Thank you!

[danielmckenna 1]

Hi, yes there’s a Google form linked below. I completed it after posting above and haven’t had any response yet, I’m remaining hopeful as commissions are steep for a new trader risking $10. 
 

https://bit.ly/3ketfOE

[FL 5]

Thanks a lot, contacted CMEG, just giving it a shot.

[FL 5]

Just to confirm that there are no discounts for BBT at CMEG anymore.

Here is the answer from CMEG that I've got:

We confirm that we have discontinued the use of discount/promo codes as of April 2, 2021. Our new commission structure is $2.95/tkt.
The commission is now charged at a rate of $2.95 per tkt. This means that you are charged per buy and per sell; a round trip will total $5.90.
 

[Adamz 0]

There is an alternative to CMEG and their high commissions/PDT work around since the "special promotion" pushed by BBT is over. Futures markets have much cheaper commissions and cheaper platform fees (with way better software than DAS). NO PDT. Plenty of dynamic opportunities in the futures contracts for the indices. For those stuck under PTD this may work for you. I am happy to answer any questions.

[Johnny_Guinness 1]

I probably should have looked here and the commission fees on CMEG's website first. All the Bear Bull Trader videos I looked at on YouTube still mention the lower commissions for CMEG. There doesn't seem to be many options for traders starting less than 25K. We need to either be super spot on in our trades as it costs 2.95 per ticket, or save up 25K and open an account with IB.

I already have my account set up with CMEG, I just didn't do a good job doing all my research and seeing all the warning signs.

[mortforshort 3]

along with the higher commission you get hit with the monthly fee for das.. its like taking a extra 25 trades