Can anyone tell me if schwab are good company for trading OTC's?

Yeah, also on nasdaq stocks, one of my brokers lets you modify using three digits. You can't put the initial order in using three digits, but you can modify.

Learn to place limit orders and put them in before the
bell. I find I can modify an order as fast or faster than I
can originate one from scratch. They are subject to the
broker approval but I have never had a problem with that.

If you truly believe that a stock will go up (say on excellent news release)you need to buy it on the ask otherwise it will not execute. Or, you can wait for the first run to be over, put in your buy order lower in advance and hope when it takes its' first dip it fills.

I don't think it is, but it depends on what you are trading and at what capacity you are trading. To do what I do, you need to be in front of the computer all day. I have had times where I went to make a sandwich and when I came back I missed an opportunity to sell or buy something. When you say "trade" I am not sure what frequency you are talking about. If it is just a trade here and there you can do it.

If you believe that a stock will rise fast at the open bell, should you try to buy at the ask price to avoid having to chase it, or should you stick with the bid price? any help would be appreciated.

Is it possible to work a 9-5 and still trade successfully?

Yea that's why I was considering holding stocks until I can get weekly income before I go back to penny's. I had had sji for 22 years doing good with it. In a way I'm hoping when oil spikes again natural gas follows lt. I used to trade with Scott trade but have not been happy lately with them so I'm thinking about switching to etrade. I don't trust local brokers to manage my money. Hear different story's that they survive on commission so they want you to trade often and a lot of brokers I hear won't suggest a good stock until it crashes. When a stock is going to go higher I hear they try to convince you into selling so then can load up. And when the lose value they convince you too buy who knows though just hear so many storys from different people that has a firm handle there money so I'm trying to stick with online and penny's always worked good for me until I lost most of my income.

I have been trading them for many years and I would highly suggest that even if you found a broker who allowed you to trade them on margin, don't be doing it if you are unemployed.

Yea that sucks befor I got laid off I was doing good on penny playing them every week now I can't do as much now that I don't get a paycheck every week

http://investorshub.advfn.com/boards/board.aspx?board_id=15280
http://investorshub.advfn.com/boards/board.aspx?board_id=21789
http://investorshub.advfn.com/boards/board.aspx?board_id=17558

As I mentioned before, I did trade pennies at one time using margin but I did have a good amount of money in blue chips in the same account. This was over five years ago and I don't know what they allow nowadays because I don't trade using margin anymore. I guess it is up to the broker but you can read about it here:

Not all stocks qualify to be bought on margin. The Federal Reserve Board regulates which stocks are marginable. As a rule of thumb, brokers will not allow customers to purchase penny stocks, over-the-counter Bulletin Board (OTCBB) securities or initial public offerings (IPOs) on margin because of the day-to-day risks involved with these types of stocks. Individual brokerages can also decide not to margin certain stocks, so check with them to see what restrictions exist on your margin account.

Read more: http://www.investopedia.com/university/margin/margin1.asp#ixzz1nQziaibe

I thought u could because on the avew I think it was ran from .25-1.39 n on that board few people were talking about there margins they were using to trade it

Does anybody here know if IHub has a board for insider trading??

First off, you can forget about both borrowing money on margin and shorting for penny stocks on Etrade. Etrade will not let you borrow money on margin for penny stocks with an account of 2k nor will they allow you to short penny stocks. Some people claim that brokers don't allow you to use margin for any penny stocks. I can tell you that years ago I bought penny stocks on margin (borrowed money), BUT I also had over 20k in equity of blue chip stocks in my account and this is why I think they allowed me to do it.

Now, let me explain how the margin account works because I don't think you are understanding it correctly. Your account will have a CASH balance. That cash balance is what will be used for your trading (same way it does with the cash account). Anything you trade beyond that amount will be on margin. So, say you have 5k in your account. You want to buy 1k shares of a stock that is trading at 8 bucks. 8 x 1000 = 8000
So you need 8k but you only have 5k cash in your account. When you make the trade your cash account will now total a negative 3k. That amount will change each time you trade. If you sell something else and say the gross proceeds equal 2k, your account balance would now be a negative 1k. Or if you sold something with gross proceeds of say 5k, your balance would then be positive again at 2k. It is basically a credit/debit process. If you go beyond your cash balance you go into the negative. The fee for the interest they charge you for borrowing those funds you don't have gets charged at the end of the month.

As far as shorting I think you have that a bit confused too. You don't put a short order in for any price. What you are basically doing when you short is you are selling a position you don't own at a certain price - you are borrowing the shares from your broker - you have to return the shares to your broker and you are hoping the stock goes down so when you return them they are cheaper. So say you short a stock at $10 for 1k shares - that's 10k you are short. So you want that stock to go down so that when you cover (return the borrowed shares) the price is less and you pocket the difference. If the stock goes down 2 bucks and you cover you are returning 8k instead of the 10k you borrowed - you get to keep the 2k.

So, once again, I doubt Etrade will let you margin or short penny stocks. But I do suggest that you get margin account anyhow because you will avoid the t+3 settlement rule. Even if you buy something with your own cash, if you have a margin account you don't have to wait 3 days for the proceeds to settle before using them again. But you do have to make sure you don't pattern day trade (4 or more daytrades in a 5 day period)if you have under 25k.

i have a question. not sure if this is right spot just seen investor help. I have been trading penny's for a year now, have been considering upgrading to a margin account. i know there more risk you could lose more then you deposited. my question is i want to make sure i did my math right on figuring out how the fees and all that stuff works. I'm going to use etrade as an example. I know you have to have a min. of $2,000 for a margin account.

just say utog is trading a .01 i buy in at.01 but i want 20,000 shares. thats $200. i use $100 of my money, and borrow $100. the stock goes up and i sell at .02 for $400.

so i deduct $100 i have to pay back that i borrowed, that brings me down to $300. minus the 8.44% interest rate of 100 i believe is $8.44 interest. plus $10 trade commission fee. i would owe $118.44 with a total profit i walk away with at $281.56 and it only cost me $100 of my own money so I'm up on a decent gain? am i correct?

also to pay off interest and fees do i pay that as soon as i sell the stock? or is it a monthly payment? di i have the option to just pay off my fees and owed money i had to borrow the day i sell?


also with shorting a stock I'm i am correct. is when a stock is on a decrease you sell it short. example if a stock was currently at .04 and dropping i put a short order in for .02 thats a double profit i take? on a paid promo if a stock is done its run at just say .0015 if I'm successful i can short it to .0009 but if it does not go that low i would owe a lot of money? I'm still learning on shorting, and would not jump into it right away until i get more familiar and comfortable with it. or is shorting just a back up plan if u jump in on utog for .01 and declines I'm losing money it goes down to .008 i can short sell it to cover my lose, and instead of losing that .01 i can short it down and i would profit that way? as long as its below my original buy price and giving the fact that its enough to profit after being hit with fees and money owed? i really appreciate the help.

Zecco.com

They're quite good with stock commission of only $4.95.

Admittedly I'm a medium term investor and I stay away from penny stocks and it's been great for what I need.

Worth a try.

Who? Which broker? Did you try Etrade or Ameritrade?

They say they don't accept OTC and or Physical Stock Certs

What do you mean you have yet to be successful? Are they refusing to let you open up an account and deposit it? If so, my guess would be that it might not be dtc eligible.

I have a Physical Stock Certificate for a company that is a Penny OTC Stock currently trading under 10 cents a share. Can anyone suggest a broker that I can put this Physical Stock Certificate on deposit with? I have called quite a few of them, and have yet to be successful.

Thanks

yes, that must be it

They have had the meatloaf.

rotf tell my kids that

I see you are still smart. People are lucky to have you about.

yes that happens and it is called "cross quotes" - not very often though - you might see something like that more often in premarket or in a volatile stock. I saw it today on lwlg premarket.

So it does happen. Now I know.
Thanks.

Saw another funny thing this am.
The ask lower than the bid.
Sat there for a while, too.

Hut, had a fill this morning where my order was with three others (2 listed above mine) and mine was filled first.

Ok, Cintrix.
Thanks for your response.
I appreciate it.

Don't use the aon unless you really are afraid that they will fill it in partials and you won't get the entire order filled. Sometimes if I want to sell something at the end of the day I will use one so that I know I either sell the whole thing or I can try selling it the next day.

In regards to your last question, they are supposed to fill in an orderly fashion and theoretically you should be filled first. But we all know that it doesn't always happen that way. And yes, I have been filled when there are more than one mm's on the ask and my mm was below the others.

I do get partials so it´s not AON. You´re right, it´s probably a default setting I never checked.
So anyway we know it isn´t because I´m using AON.

What you´re saying is, even though they move ahead of me on the L2 list I can still be filled, am supposed to be filled, in front of them?

That is not always the case the mm on the top. They are suppose to fill in an orderly fashion but it doesn't always happen. An AON can be a GTC or a day buy. What it does is it only fills your entire order where you want it - no partials. So if you choose to use it, they will only fill it if they can fill it entirely. Check your trading platform and make sure you don't have that option checked as a default. If you are getting partial fills then you aren't using AON.

They have moved off now without a fill so I won´t find out today. : )

Hmmm. Well now neither one of us has been filled yet so we´ll see but see my last message about the filling thing.

As for AON. I use MBtrading and that distinction is not apparent to me. I just place the order GTC or day.

As I have watched L2 over the years, the ask or bid at the top gets taken out first. I have never observed otherwise.

But does ETMM fill before you or do you just see him listed above say AUTO or whatever mm is representing you?

Yes. I see ETMM come in at the same price and placed ahead of me on level 2.

Are you saying that you are seeing the ETMM mm at the same price as you? How do you know they move in front? Are they getting filled in front of you? If so, are you using an AON order? That for one thing makes it a "special order" and regular orders will go in front of.

Hi all,

Wonderful that this board exists.
Here´s my question:

If I put an order in to sell at x and then one hour later etrade comes in with an order to sell at x, why does their order get pushed in front of mine? This happens with both GTC and day orders.

Appreciate any insight on this.

If you are talking about otc and pinks you need to know when it comes out on the Daily List: http://www.otcbb.com/asp/dailylist_detail.asp?d=01/20/2012&mkt_ctg=ALL
Once you see it there, it is official and it will happen the next trading day. Companies sometimes will release a proposed reverse split in a PRE14 - there is usually time before they come out with the official announcement (it could be weeks or months). But once it is on the Daily List it means it is official - the change will happen the next trading day. We post the reverse splits on this board: http://investorshub.advfn.com/boards/board.aspx?board_id=3017

when a CO announces a reverse split how much time does an investor have to buy or sell the stock at the pre split price

True...that's what I meant...I normally do more than 30 a month so I lose track

That's not right on Etrade - it is 30 trades per quarter not per month.

Thank you very much. You are a gentleman(woman) and a scholar.

streaming yes...L2 no...you need to be PRO status for that. 30 trades a month will get you PRO status

Nice, thanks for that.

Do all accounts have live streaming? Level 2? I am just working up my account right now and don't have a lot of money to play with at this point. I have been trying to learn as much as possible but think that it is time to have both these features.

No problem with sub pennies or order quantities?

Thanks again, you are being a big help.

Well I don't think you're gonna get stop losses on OTC with E*Trade either and they only allow limit purchase orders on OTC. They also don't let after hours trading with OTC. SInce everything under $5.00 is technically considered a penny stock I don't think this applies to all "penny stocks" For example...PEIX...can't buy it on margin but you can buy market orders and stop loss sell orders are ok.

I find they have most if not all of the tickers available for trade. They're commissions are $9.99 after your first FREE block of trades are up...usually 30 or 60 trades free depending on the promo. they have good L2 streaming charts, etc. Good tutorials, good customer service, etc.

Haha. Creepiest kid ever. I have tradeking and feel that it sux too. No sub penny trades, 10,000 share limit, no stop loss on pennies, terrible customer service, etc. they have a good commission rate, usually $4.95 cap on trades I have made.

If you have time could you, or, anyone give me your thoughts on how etrade compares. I am open to other suggestions apart from etrade as well.

Thanks

Because they have a baby that trades on a tablet and when his mommy takes it away he uses his android app. If that baby can do it...anybody can!