In this article, you are going to find the best online trading brokerage for you. I discuss, in detail, the best online brokerage in this article: https://beststockstrategy.com/best-online-brokerage/
A few quick things to keep in mind:
1. Almost all of the brokerages are the same
2. You should look for online sign up bonuses
This is especially true if you have a larger account.
They can oftentimes offer you thousands of dollars, just for enrolling and signing up with that specific brokerage.
I found this link helpful: https://wallethacks.com/best-new-brokerage-account-promotions, which you can use to find which brokerages offer the highest sign up bonuses.
3. Negotiate
Especially if you have a larger account, you should be able to get your commissions down to virtually zero.
I pay $0.10 for every contract, whereas 7 years ago, I was paying about $9.00 commissions for every trade plus $0.50 a contract.
As a result, I pay about 3% of what I paid previously to trade.
The more money you save in commissions, the more money directly goes into your pocket.
4. Request Level 4 Trading
This enables you to sell naked calls and puts (although we rarely ever trade naked).
Tastytrade is the best for this because when you enroll in their “The Works” product, it’s extremely easy to get approved for Level 4 trading.
5. Apply for Portfolio Margin.
Especially if you have an account that’s over $150,000.
With some brokerages, it’s $125,000, with other brokerages, it’s around $175,000.
If you have a larger account of over $100,000 dollars, try to enroll in Portfolio Margin.
Power E*Trade App versus Tastytrade
Overall, I prefer the Power E*Trade App.
I make every single trade from my phone.
As for Tastytrade, I really do hate their user interface (“UI”); it’s annoying to make a trade - and usually requires about ~10 taps to make a trade, whereas other brokerages require only ~5.
Even so, I like Tastytrade because it is easy to get approved for Level 4 trading.
Conclusion
My overall recommendation is that, if you have a smaller account, you should go with Tastytrade.
If you have an account with over $10 000, use the Power E*Trade App.
If you’re international, use Interactive Brokers.
I would also definitely stay away from Robinhood or Webull.
I feel that those brokerages are not trustworthy.
While I give Robinhood credit for lowering overall commissions in the online trading industry, I still don’t believe it’s a good product for retail traders to use.
To learn more about trading options, visit https://BestStockStrategy.com and enter your email to receive over $400 of valuable free options trading materials.
Click here to learn about the 3 best option trading strategies.Frequently Asked Questions (FAQs)
Where can I find the best online stock and option brokerage?
In general, they're all very similar. A few great choices are (in no particular order:)
- Tastytrade
- TD Ameritrade
- E*Trade
- Interactive Brokers
Is there a new account bonus for opening a trading account?
Yes, please check this link: https://wallethacks.com/best-new-brokerage-account-promotions
Also, you can receive one free week of option trade alerts if you enroll in Tastytrade and enroll using this link: https://start.tastytrade.com/#/login?referralCode=7R6QHPKFNC