Best Stock Brokers For Day Trading
Want to buy shares or speculate on stock prices but don’t know which brokerage to use? We’ve reviewed, compared and rated the best stock brokers and platforms for day trading stocks.
Top 5 Stock Brokers for Day Trading
Our comprehensive analysis of over 490 brokers, conducted as of April 2024, reveals the following day trading platforms as the top choices for stock traders. Every stock broker listed we evaluated using a real money or test account.
- AvaTrade - AvaTrade offers hundreds of shares on leading exchanges including the NYSE and FTSE. You can take positions on leading tech firms like Tesla, Apple and Microsoft with no restrictions and 24/5 support. There is also an above-average selection of 45+ indices and 60+ ETFs.
- RoboForex - RoboForex provides one of the broadest selections of real equities and stock CFDs spanning the US and 14 regional European markets, including direct access to the NASDAQ. It’s also one of the few brokers to offer a dedicated platform for stock trading, sporting leverage up to 1:20 and a robot builder that enables traders to automate and backtest stock trading strategies.
- InstaForex - There are hundreds of major global shares and indices available. You can also trade IPO shares and ETFs in the MT4 platform, depending on jurisdiction. You can expect a reasonable commission on US shares, plus a range of analysis features to help you stay ahead of stock market news.
- FOREX.com - FOREX.com provides access to a wide array of US, EU, and UK stock CFDs, featuring spreads as narrow as 1 point. This enables you to speculate on established household names and emerging IPOs, fostering ample opportunities for diversification within stock portfolios. US stocks are accessible from as low as 1.8 cents per share.
- XM - You can trade hundreds of shares in major markets, including the US, UK, Europe and Asia. Commissions are as low as $1 per transaction while fractional shares reduce the entry barrier for beginners. There's also a dedicated stock market analysis section on the broker's website.
Best Stock Brokers For Day Trading Comparison
| Broker | Minimum Deposit | Stock Trading App | Stock Fee | Extended Hours | Financial Regulator | Visit |
|---|---|---|---|---|---|---|
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- | iOS & Android | 0.13 | ✘ | ASIC, CySEC, FSCA, ISA, CBol, FSA, FSRA, BVI, ADGM | Visit |
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$10 | iOS & Android, R StocksTrader | 0.01 | ✘ | IFSC | Visit |
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- | iOS and Android + browser based platform | Commissions as low as 0.1% | ✘ | - | Visit |
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$100 | iOS & Android | 0.14 | ✘ | NFA, CFTC, CIRO, FCA, CYSEC, ASIC, SFC, FSA, MAS, CIMA | Visit |
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$5 | iOS, Android & Windows | 0.002 | ✘ | ASIC, CySEC, DFSA, FSC, FSCA | Visit |
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$100 | iOS & Android | 0.03 (Apple Inc) | ✘ | ASIC, FCA, xCySEC, SCB | Visit |
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$50 | iOS & Android | 0.57 (Apple) | ✔ | FCA, ASIC, CySEC, FSA, FSRA, MFSA | Visit |
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$100 | iOS & Android | Variable | ✘ | FCA, CySEC, FSCA, SCB, FSC | Visit |
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$0 | iOS & Android | NA | ✘ | CySEC | Visit |
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$100 | iOS, Android & Windows | 0.08 | ✘ | FCA, ASIC, CySEC, DFSA, MAS, FSA, FSCA, FMA, EFSA | Visit |
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$100 | iOS, Android | 4 pips | ✘ | FCA, CySEC, ASIC, FSCA, FSC | Visit |
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$0 | iOS & Android | 0.003 | ✔ | FCA, SEC, FINRA, CFTC, CBI, CIRO, SFC, MAS, MNB | Visit |
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$0 | iOS & Android | Variable | ✘ | FCA, ASIC, DFSA, FMA | Visit |
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$0 | iOS & Android | 0.02 | ✔ | FCA, ASIC, NFA, CFTC, DFSA, BaFin, MAS, FSCA | Visit |
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$5 | iOS, Android | - | ✘ | MGA, SC | Visit |
#1 - AvaTrade
Why We Chose AvaTrade
AvaTrade offers hundreds of shares on leading exchanges including the NYSE and FTSE. You can take positions on leading tech firms like Tesla, Apple and Microsoft with no restrictions and 24/5 support. There is also an above-average selection of 45+ indices and 60+ ETFs.
"AvaTrade offers the full package for short-term traders. There is powerful charting software, reliable execution, transparent fees, and fast account opening with a low minimum deposit."
- DayTrading Review Team
- Demo Account: Yes
- Regulator: ASIC, CySEC, FSCA, ISA, CBol, FSA, FSRA, BVI, ADGM
- Platforms: WebTrader, AvaTradeGO, AvaOptions, MT4, MT5, AlgoTrader, TradingCentral, DupliTrade
- Automation: Yes
- Bonus: None
About AvaTrade
AvaTrade is a leading forex and CFD broker, established in 2006 and regulated across 9 jurisdictions. Over 400,000 users have signed up with the broker which processes over 2 million trades each month. The firm offers multiple trading platforms, including MT4, MT5, and a proprietary WebTrader. 1250+ financial instruments are available for day trading, alongside a comprehensive education center and multilingual customer support.
Pros
- WebTrader is well-suited to beginners and features a strong suite of technical analysis tools and market research for day traders
- There's a great range of fee-free deposit methods, including bank wire, credit cards and popular e-wallets like Skrill
- Automated trading is supported through MetaTrader Expert Advisors (EAs), as well as the AvaSocial and DupliTrade tools
Cons
- A high $2000 minimum investment is required to use DupliTrade, which will be out of reach for many beginners
- Traders from the US are not accepted
- It’s a shame that there are no rebate schemes for serious traders looking for additional perks - CMC Markets would be a better choice here
#2 - RoboForex
Why We Chose RoboForex
RoboForex provides one of the broadest selections of real equities and stock CFDs spanning the US and 14 regional European markets, including direct access to the NASDAQ. It’s also one of the few brokers to offer a dedicated platform for stock trading, sporting leverage up to 1:20 and a robot builder that enables traders to automate and backtest stock trading strategies.
"RoboForex is great if you want a vast range of 12,000+ day trading markets with ECN accounts, powerful charting and loyalty promotions. It also stands out for stock traders with its user-friendly R StocksTrader platform, featuring 3,000+ shares, fees from $0.01 and sophisticated watchlists."
- DayTrading Review Team
- Demo Account: Yes
- Regulator: IFSC
- Platforms: R StocksTrader, MT4, MT5, TradingView
- Minimum Deposit: $10
- Automation: Yes
- Bonus: $30 No Deposit Bonus
About RoboForex
RoboForex is an online broker, established in 2009 and registered with the IFSC in Belize. Traders can choose from five accounts (Prime, ECN, R StocksTrader, ProCent, Pro) catering to different needs with trades from 0.01 lots and spreads from 0 pips. RoboForex has also enhanced its offering over the years, adding CFD instruments and launching its stock trading platform, plus the CopyFX system.
Pros
- RoboForex offers over 12,000 instruments, providing more short-term trading opportunities than the vast majority of online brokers, with forex, stocks, indices, ETFs, commodities, and futures.
- The broker offers two commission-free withdrawals each month in the Free Funds Withdrawal program, helping day traders to minimize transaction costs.
- RoboForex is known for its tight spreads starting from 0 pips and low minimum deposits from $10, making it accessible to those on a budget. The ability to trade with micro lots further lowers the barrier to entry for new traders.
Cons
- While RoboForex offers competitive spreads, some of its account types come with high trading commissions up to $20 per lot, trailing the cheapest brokers, such as IC Markets.
- Despite offering a range of platforms, RoboForex still doesn't support the increasingly popular cTrader. This might deter traders who prefer this specific platform for their day trading activities and is available at firms like Fusion Markets.
- RoboForex provides a variety of account types, which, while offering flexibility, can be overwhelming for newer traders trying to choose the most suitable option for their trading style. Alternatives, notably eToro, provide a smoother entry into online trading with one retail account.
#3 - InstaForex
Why We Chose InstaForex
There are hundreds of major global shares and indices available. You can also trade IPO shares and ETFs in the MT4 platform, depending on jurisdiction. You can expect a reasonable commission on US shares, plus a range of analysis features to help you stay ahead of stock market news.
"InstaForex maintains its position as a top forex broker, with more currency products than most rivals. The tight spreads and low minimum deposits make it accessible to all experience levels, especially those familiar with the MT4 and MT5 platforms."
- DayTrading Review Team
- Demo Account: Yes
- Platforms: MT4, MT5
- Automation: Yes
- Bonus: Choose between: Club Bonus, 30 %, 55 % and 100 % bonuses
About InstaForex
InstaForex is a forex and CFD broker founded in 2007. The broker offers diverse market coverage to over 7 million clients, spanning traditional assets like currencies and shares, as well as other interesting opportunities such as IPOs. Traders can also access copy trading services, PAMM accounts and investment opportunities. InstaForex is regulated by the BVI FSC.
Pros
- The broker is a particularly good pick for serious forex traders, with over 100 currency pairs, tight spreads from 0.0 pips and a market-leading selection of curated forex market resources
- InstaForex has a strong industry reputation, with a 15+ year history and serving over 7 million clients
- The broker is accessible for beginners, with low minimum deposits, Cent accounts (for global clients) and zero-commission trading available
Cons
- Market coverage and account conditions vary significantly between the global and EU entities - for example, only 300+ instruments are available for global clients, whilst European traders can access 2500+
- The broker’s global branch offers weaker regulation via the offshore jurisdiction of the British Virgin Islands, which means non-EU traders will receive limited safeguards
- The broker’s website and client cabinet feel outdated and difficult to navigate for newcomers
#4 - FOREX.com
Why We Chose FOREX.com
FOREX.com provides access to a wide array of US, EU, and UK stock CFDs, featuring spreads as narrow as 1 point. This enables you to speculate on established household names and emerging IPOs, fostering ample opportunities for diversification within stock portfolios. US stocks are accessible from as low as 1.8 cents per share.
"FOREX.com remains a best-in-class brokerage for active forex traders of all experience levels, with over 80 currency pairs, tight spreads from 0.0 pips and low commissions. The powerful charting platforms collectively offer over 100 technical indicators, as well as extensive research tools."
- DayTrading Review Team
- Demo Account: Yes
- Regulator: NFA, CFTC, CIRO, FCA, CYSEC, ASIC, SFC, FSA, MAS, CIMA
- Platforms: MT4, MT5, TradingView, eSignal, AutoChartist, TradingCentral
- Minimum Deposit: $100
- Automation: Yes
- Bonus: None
About FOREX.com
Founded in 1999, FOREX.com is now part of StoneX, a financial services organization serving over one million customers worldwide. Regulated in the US, UK, EU, Australia and beyond, the broker offers thousands of markets, not just forex, and provides excellent pricing on cutting-edge platforms.
Pros
- FOREX.com offers industry-leading forex pricing starting from 0.0 pips, alongside competitive cashback rebates of up to 15% for serious day traders.
- The in-house Web Trader continues to shine as one of the best-designed platforms for aspiring day traders with a slick design and over 80 technical indicators for market analysis.
- With over 20 years of experience, excellent regulatory oversight, and multiple accolades including runner-up in our 'Best Forex Broker' awards, FOREX.com boasts a global reputation as a trusted brokerage.
Cons
- Funding options are limited compared to leading alternatives like IC Markets and don’t include many popular e-wallets, notably UnionPay and POLi.
- FOREX.com's MT4 platform offers approximately 600 instruments, significantly fewer than the over 5,500 available on its non-MetaTrader platforms.
- Despite increasing its range of instruments, FOREX.com's product portfolio is still limited to forex and CFDs, so there are no options to invest in real stocks, real ETFs or real cryptocurrencies.
#5 - XM
Why We Chose XM
You can trade hundreds of shares in major markets, including the US, UK, Europe and Asia. Commissions are as low as $1 per transaction while fractional shares reduce the entry barrier for beginners. There's also a dedicated stock market analysis section on the broker's website.
"XM is one of the best forex and CFD brokers we have tested. The flexible account types will suit a variety of short-term trading styles while the $5 minimum deposit and smooth sign-up process make it easy to start trading."
- DayTrading Review Team
- Demo Account: Yes
- Regulator: ASIC, CySEC, DFSA, FSC, FSCA
- Platforms: MT4, MT5
- Minimum Deposit: $5
- Automation: Yes
- Bonus: $30 No Deposit Bonus When You Register A Real Account
About XM
XM is a globally recognized forex and CFD broker with 10+ million clients in 190+ countries. Since 2009, this trusted broker has been known for its low fees on 1000+ instruments. XM is regulated by multiple financial bodies, including the ASIC and CySEC.
Pros
- XM is a hugely respected broker authorized by tier-one regulators
- The broker offers premium research including market sentiment, fundamental insights and strategy builders
- 1000+ instruments are available, including recently added thematic indices, providing exposure to emerging industries
Cons
- PayPal deposits are not supported
- There is weak regulatory oversight through the global entity
- There's $5 inactivity fee after only 3 months, though this won't affect active traders
How Did DayTrading.com Choose The Best Brokers For Day Trading Stocks?
We exhaustively evaluated each stock broker, assigning them an overall rating that served as the basis for our platform rankings. This rating is a culmination of:
- Quantitative metrics: We scrutinized over 200 data points across 8 core categories, carefully documented by our experts.
- Qualitative insights: Our extensive testing process yielded valuable observations that further informed our evaluation.
Below are the key considerations that shaped our stock broker ratings. We recommend you take these factors into account when choosing an online stock broker.
Regulation and Trust
We prioritized online stock brokers that are authorized by trusted financial regulators like the US Securities & Exchange Commission (SEC), UK Financial Conduct Authority (FCA), and Australian Securities & Investments Commission (ASIC).
That’s because top-tier regulators ensure stock brokerages provide measures that can help protect your capital from business failure. The UK’s Financial Services Compensation Scheme (FSCS), for example, protects investments up to £85,000.
Leading regulators also enforce restrictions on leveraged stock trading for retail investors, typically set at 1:5. Leveraged trading is particularly common among short-term traders and it’s regulated to curb potential losses, offering protection in case the stock markets move against you.
- Plus500 maintains its position as one of the most heavily regulated stock brokers (via CFDs) we’ve tested with real money, earning our trust with 7 licenses and a listing on the London Stock Exchange.
Stock Trading Fees
We chose brokers that offer low stock trading and non-trading fees, taking into account commissions on popular shares, margin fees, plus any deposit/withdrawal and inactivity charges.
Picking a brokerage account with low trading fees is especially important if you are day trading stocks, as a large volume of transaction fees can cut into profit margins.
- XTB continues to stand out for its low stock trading fees after introducing zero commissions on shares and charging a competitive 0.5% conversion fee. It’s also one of a limited number of stock brokers we’ve tested to offer high interest on uninvested cash (up to 4.9%).
Stock Market Access
We favored brokers with access to a wide range of stock exchanges, providing short-term trading opportunities across a selection of markets and industries.
Importantly, stock market trading is centralized, meaning that shares in most large companies are sold through national exchanges, such as the New York Stock Exchange (NYSE), National Association of Securities Dealers Automated Quotations (NASDAQ), and London Stock Exchange (LSE).
Companies will not be listed on all exchanges, therefore, you should look for a broker with a global reach, especially if you want to build a diverse portfolio.
Also, some brokers specialize in buying and selling company shares directly, while others only allow you to speculate on stocks as the underlying assets using products like CFDs. These derivatives can be an excellent option for day traders looking for leveraged vehicles to profit from shorter-term price movements.
- Year after year, we’ve been impressed with CMC Markets, which offers an almost unrivalled suite of 10,000+ shares including major stocks in technology, banking, finance, plus consumer and retail sectors.
Stock Trading Platforms and Apps
We selected brokers with excellent stock trading platforms and apps that have clearly been designed with ease of use in mind for beginner traders, alongside helpful stock screeners and sophisticated analysis tools for advanced investors.
That’s because a user-friendly platform ensures smooth navigation, timely execution of trades, and provides valuable tools and insights to inform stock trading decisions.
- eToro’s stock trading platform and app stood out during testing for its simple interface that will appeal to new traders. It also provides intuitive charting and in-built indicators that will serve day traders, as well as integrated research and news feeds, trading calendars and expert commentary.
What Is A Stock Broker?
An online stock broker allows you to purchase company stocks and shares, or trade related derivatives like CFDs, via a website, desktop platform or mobile app, using just the internet.
These brokers will have connections to the stock market and will purchase the stock on your behalf. Trades can be executed at the click of a button, in real-time via their online platforms.
How Do Stock Brokers Make Money?
Stock brokers make money through several avenues. Often you will pay a commission, which is a flat fee per transaction. That said, we’re increasingly seeing online stock brokers, such as XTB, move to commission-free models.
In these instances, stock brokers may make money through a markup on the spread, which is the difference between the price a buyer is willing to pay (bid) and the price a seller is willing to accept (ask) for a particular stock, representing the transaction cost and liquidity in the market.
Some stock brokers are also market makers meaning they create liquidity by taking the other side of your trade. Sometimes, brokers can make money this way if a stock trader makes a loss.
How Do I Start Trading Stocks?
The first step is to open an account with a stock brokerage.
You will find a wide assortment of online stock brokers and trading platforms available online, but choosing the best one for you depends on the stocks you want to trade, your trading strategy and your personal preferences.
You will then need to deposit the minimum amount, which typically ranges from $0 to $500. We’ve learned that depositing more upfront can often provide access to better quality stock trading tools and market research.
After that, you can log into the stock trading platform or app to find opportunities and place trades.
If you are new to stock trading, I recommend starting with a demo account. They simulate real-life market conditions, but any orders placed are with ‘paper money’. This means you can explore a platform and practice day trading stocks before risking real money.
FAQ
Are Online Stock Brokers Safe?
The best way to stay safe is to choose a trustworthy stock broker. The most reliable sign of a trustworthy stock broker is authorization from one or more respected regulators, such as the SEC in the US, the ASIC in Australia, the FCA in the UK, or the CySEC in Europe.
We regularly verify the licenses of our recommended stock brokers on the respective regulator’s database to ensure they are authorized by the financial bodies they claim to be.
Our team is also comprised of industry experts who keep abreast of major security incidents and unfair trading practices – marking such stock brokerages down where appropriate. This was the case with Robinhood when its trading practices were found to be harmful to retail investors.
Which Is The Best Stock Broker For Beginners?
Pepperstone, XTB and eToro are our top picks for beginner day traders. They all have minimum deposits of <$10, free demo accounts so you can practice stock trading, and useful educational materials that we’ve explored ourselves.
Both XTB and eToro also offer fractional shares, lowering the entry barrier on high-value stocks.
Which Is The Best Stock Broker For Advanced Traders?
Interactive Brokers, IG and City Index are our top picks for advanced day traders. They offer a huge range of stocks with professional-grade platforms for market analysis, excellent research and reliable execution.