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Rankings updated October 2026

Best Stock Brokers For Day Trading 2026

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 6 Stock Brokers for Day Trading

Our comprehensive analysis of 143 brokers, conducted as of October 2026, reveals the following day trading platforms as the top choices for stock traders:

Tested with a live trading account Accepts traders from United States Your capital is at risk. Trade only with funds you can afford to lose.
  1. Our top pick in United States
    • Fractional Shares
    • Demo account
    • Min. deposit: $0
    • Demo account
    • Regulator: NFA, CFTC, CySEC
    • Automation
    • Fractional Shares
    • Demo account
    • Regulator: SEC, FINRA
    eToro USA LLC and eToro USA Securities Inc.; Investing involves risk, including loss of principal; Not a recommendation
    • Demo account
    • Regulator: NFA, CFTC
    • Platforms: WebTrader, Mobile, MT4, MT5, TradingView
    • Demo account
    • Platforms: MT4, MT5, TradeLocker
    • Min. deposit: $50
    • Fractional Shares
    • Demo account
    • Regulator: SEC, FINRA

Learn how we test brokers and why you can trust our ratings.

Why Are These Brokers the Best for Stock Trading?

Here is a quick overview of why we think these are the best stock brokers:

  1. Interactive Brokers is the best stock broker for day trading in 2026 4.3/5 IBKR provides access to an unparalleled array of equity products originating from 24 diverse countries. Whether seeking capital appreciation, dividends, or voting rights, you can directly invest in stocks. Alternatively, you can engage in speculative trading on price movements through CFDs, futures and more than 13,000 ETFs. IBKR also enhanced its European equity derivatives offering in 2024 by adding trading on CBOE Europe Derivatives (CEDX).
  2. NinjaTrader 4.5/5 Stocks can be traded by connecting the NinjaTrader platform to supporting brokers. The firm also provides access to a range of index futures via standard and micro contracts, including the E-Mini S&P 500 Index Futures and E-Mini Russell 2000 Index Futures.
  3. eToro USA 3.4/5 You can trade 3000+ popular US stocks and ETFs at eToro US, with zero commissions and fractional shares available. The broker remains an excellent choice for beginner stock traders, thanks to its comprehensive eToro Academy and user-friendly stock market research features.
  4. FOREX.com 4.3/5 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.
  5. Plexytrade 3.9/5 Plexytrade's range of 48 US stock CFDs trails most competitors, though the selection of 15 popular global indices (including S&P 500, Nasdaq 100, and Dow Jones) is reasonable. Still, the lack of stock market research tools like stock screeners and the minimum deposit requirement to access the economic calendar (a typically free feature at other stock brokers) is disappointing.
  6. TradeUp 3.5/5 In our tests across mobile, web and desktop, TradeUP delivered a strong stock-trading experience with basic market/limit/stop/stop-limit orders, 22 core indicators and 30+ drawing tools, reliable quotes/fills, and clean confirmations. Beyond mainstream U.S. equities, access extends to selected OTC names and 250+ Chinese ADRs (e.g., BABA, BIDU, NIO).

Best Stock Brokers For Day Trading 2026 Comparison

Uncover the top stock broker for your needs with our comparison of features essential for active stock traders:

Best Stock Brokers For Day Trading 2026 Comparison
BrokerStock FeeESG StocksSpot TradingFinancial Regulator
Interactive Brokers 0.003✔Yes✔YesSEC, FINRA, CFTC, NFA, CIRO, FCA, CBI, ASIC, SFC, SEBI, JFSA, MAS
NinjaTrader -✘No✔YesNFA, CFTC, CySEC
eToro USA $0✔Yes✘NoSEC, FINRA
FOREX.com 0.14✘No✔YesNFA, CFTC
Plexytrade 5✘No✘No-
TradeUp -✔Yes✔YesSEC, FINRA

How Safe Are These Stock Brokers?

How reliable are the top stock brokers and do they have tools that help protect your funds?

How Safe Are These Stock Brokers?
BrokerTrust RatingGuaranteed Stop LossNegative Balance ProtectionSegregated Accounts
Interactive Brokers 4.5 / 5✘No✘No✔Yes
NinjaTrader 4.1 / 5✘No✘No✔Yes
eToro USA 4.0 / 5✘No✘No✔Yes
FOREX.com 4.5 / 5✘No✘No✔Yes
Plexytrade 2.8 / 5✘No✔Yes✔Yes
TradeUp 3.0 / 5✘No✘No✔Yes

Mobile Stock Trading Comparison

Are these brokers good for stock trading on mobile?

Mobile Stock Trading Comparison
BrokerMobile AppsiOS RatingAndroid RatingSmart Watch App
Interactive Brokers iOS & Android4.3 / 54.5 / 5✔Yes
NinjaTrader iOS & Android3.0 / 53.2 / 5✘No
eToro USA iOS & Android4.3 / 54.0 / 5✘No
FOREX.com iOS & Android3.6 / 53.8 / 5✘No
Plexytrade iOS & Android4.8 / 54.7 / 5✘No
TradeUp iOS & Android3.9 / 54.2 / 5✘No

Are the Top Stock Brokers Good for Beginners?

Stock trading beginners should use providers that provide trading with virtual money (demo accounts) and have other features that new traders need.

Are the Top Stock Brokers Good for Beginners?
BrokerDemo AccountMinimum DepositMinimum TradeEducation RatingSupport Rating
Interactive Brokers ✔Yes$0$14.3 / 53.0 / 5
NinjaTrader ✔Yes$0 (live trades must meet intraday margin minimums, e.g., $50 to trade micro contracts)1 contract4.0 / 54.0 / 5
eToro USA ✔Yes$50$103.0 / 53.0 / 5
FOREX.com ✔Yes$1000.01 Lots3.9 / 53.9 / 5
Plexytrade ✔Yes$500.013.5 / 53.8 / 5
TradeUp ✔Yes$0.01$12.5 / 53.0 / 5

Compare Advanced Stock Trader Features

Are these stock trading platforms good for advanced traders?

Compare Advanced Stock Trader Features
BrokerAutomated TradingVPSAIPro AccountLeverageLow LatencyExtended Hours
Interactive Brokers TWS API✘No✔Yes✘No1:50 (major forex pairs), 1:2-1:4 (equities)✔Yes✔Yes
NinjaTrader NinjaScript or via Automated Trading Interface✘No✘No✘No$50 intraday margins for Micro contracts and $500 for popular E-mini contracts✔Yes✘No
eToro USA ✘No✘No✔Yes✘No-✔Yes✔Yes
FOREX.com Expert Advisors (EAs) on MetaTrader✔Yes✔Yes✘No1:50✔Yes✘No
Plexytrade Expert Advisors (EAs) on MetaTrader✔Yes✘No✘No1:2000✔Yes✘No
TradeUp -✘No✘No✘No-✘No✔Yes

Compare the Ratings of Top Stock Brokers

Find out how the top stock brokers score in all core areas following our hands-on tests.

Compare the Ratings of Top Stock Brokers
BrokerTrustPlatformsAssetsMobileFeesAccountsResearchEducationSupport
Interactive Brokers 4.5 / 53.3 / 54.7 / 54.4 / 54.3 / 53.5 / 54.4 / 54.3 / 53.0 / 5
NinjaTrader 4.1 / 54.5 / 53.5 / 53.1 / 54.3 / 53.3 / 54.0 / 54.0 / 54.0 / 5
eToro USA 4.0 / 53.5 / 52.9 / 54.2 / 53.4 / 53.0 / 53.5 / 53.0 / 53.0 / 5
FOREX.com 4.5 / 54.6 / 54.0 / 53.7 / 54.2 / 54.0 / 54.8 / 53.9 / 53.9 / 5
Plexytrade 2.8 / 54.0 / 53.5 / 54.8 / 53.5 / 53.3 / 52.8 / 53.5 / 53.8 / 5
TradeUp 3.0 / 53.0 / 53.8 / 54.1 / 53.8 / 53.0 / 52.8 / 52.5 / 53.0 / 5

Compare Stock Trading Fees

The cost of trading stocks with a brokerage may have a large impact over time:

Compare Stock Trading Fees
BrokerCost RatingFixed SpreadsInactivity Fee
Interactive Brokers 4.3 / 5✘No$0
NinjaTrader 4.3 / 5✘No$35
eToro USA 3.4 / 5✔Yes$10
FOREX.com 4.2 / 5✘No$15
Plexytrade 3.5 / 5✘No-
TradeUp 3.8 / 5✘No$0

Community Sentiment

See how users rate these brokers based on the average customer ratings submitted on DayTrading.com, plus ratings from Trustpilot, the Apple App Store and Google Play.

Community Sentiment
BrokerOur Users' RatingTrustpilot ScoreTrustpilot ReviewsiOS App RatingAndroid App Rating
Interactive Brokers 3.5 / 53.0 / 555324.3 / 54.5 / 5
NinjaTrader 4.0 / 53.8 / 512463.0 / 53.2 / 5
eToro USA 4.5 / 54.0 / 5322204.3 / 54.0 / 5
FOREX.com 4.0 / 54.6 / 525353.6 / 53.8 / 5
Plexytrade 3.0 / 54.2 / 5954.8 / 54.7 / 5
TradeUp -3.2 / 513.9 / 54.2 / 5

How Popular Are These Stock Brokers?

Some traders prefer the most popular stock brokers (those with the most signed up clients).

Why Trade Stocks With Interactive Brokers?

Interactive Brokers is one of the best brokers for advanced day traders, providing powerful charting platforms, real-time data, and customizable layouts, notably through the new IBKR Desktop application. Its superb pricing and advanced order options also make it highly attractive for day traders, while its diverse range of equities is still among the best in the industry.

Christian Harris Christian Harris, Reviewer

Interactive Brokers quick facts

Fractional Shares
✔Yes
Demo Account
✔Yes
Regulator
SEC, FINRA, CFTC, NFA, CIRO, FCA, CBI, ASIC, SFC, SEBI, JFSA, MAS
Platforms
Trader Workstation (TWS), IBKR Desktop, GlobalTrader, Mobile, Client Portal, AlgoTrader, OmniTrader, TradingView, eSignal, TradingCentral, ProRealTime, Quantower
Minimum Deposit
$0
Automation
✔Yes
Account Currencies
USD, EUR, GBP, CAD, AUD, INR, JPY, SEK, NOK, DKK, CHF, AED, HUF

Stock Exchanges

Interactive Brokers offers trading on 18 stock exchanges:

  • Abu Dhabi Securities Exchange
  • Borsa Italiana
  • CAC 40 Index France
  • Chicago Mercantile Exchange
  • Euronext
  • IBEX 35
  • Japan Exchange Group
  • Korea Exchange
  • London Metal Exchange
  • London Stock Exchange
  • Nairobi Securities Exchange
  • Nasdaq
  • Nasdaq Nordic & Baltics
  • New York Stock Exchange
  • Russell 2000
  • Shenzhen Stock Exchange
  • Tadawul
  • Toronto Stock Exchange

Pros

  • The TWS platform has clearly been built for intermediate and advanced traders and comes with over 100 order types and a reliable real-time market data feed that rarely goes offline.
  • The new IBKR Desktop platform takes the best of TWS while adding bespoke tools like Option Lattice and Screeners with MultiSort to create a genuinely impressive trading experience for day traders at every level.
  • While primarily geared towards experienced traders, IBKR has made moves to broaden its appeal in recent years, reducing its minimum deposit from $10,000 to $0.

Cons

  • TWS’s learning curve is steep, and beginners may find it challenging to navigate the platform and understand all the features.
  • Support can be slow and frustrating based on tests, so you might find it challenging to reach customer service representatives promptly or encounter delays in resolving issues.
  • You can only have one active session per account, so you can’t have your desktop program and mobile app running simultaneously, making for a sometimes frustrating trading experience.

Why Trade Stocks With NinjaTrader?

NinjaTrader continues to meet the demands of active futures traders looking for low fees and premium analysis tools. The platform hosts top-rate charting features including hundreds of indicators and 10+ chart types.

Christian Harris Christian Harris, Reviewer

NinjaTrader quick facts

Fractional Shares
✘No
Demo Account
✔Yes
Regulator
NFA, CFTC, CySEC
Platforms
NinjaTrader Desktop, Web & Mobile, eSignal
Minimum Deposit
$0 (live trades must meet intraday margin minimums, e.g., $50 to trade micro contracts)
Automation
✔Yes
Account Currencies
USD, EUR, GBP, CAD, AUD

Stock Exchanges

NinjaTrader offers trading on 2 stock exchanges:

  • Chicago Mercantile Exchange
  • New York Stock Exchange

Pros

  • NinjaTrader launched CME Group Single Stock futures in July 2026, allowing traders to express directional views in top U.S. companies like Nvidia, and Amazon without needing options
  • Nano contracts — one-hundredth the size of standard contracts — allow traders to size positions with precision and manage risk at a much smaller scale, a meaningful advantage for those building positions gradually
  • NinjaTrader's ecosystem gives traders access to thousands of add-ons and applications from developers across more than 150 countries, covering indicators, strategies, and custom tools that go well beyond what the platform ships with natively

Cons

  • Intraday margin requirements can spike by as much as four times in the 15 minutes leading up to major economic news releases, and may stay elevated for several minutes after volatility subsides — a detail that can catch underprepared traders off guard at exactly the wrong moment.
  • NinjaTrader was acquired by Kraken in May 2025, and while it continues to operate independently for now, traders who value long-term stability may have reservations about how the platform's direction and pricing could shift under new ownership.
  • NinjaTrader was fined $250k in 2025 for failing to implement an adequate anti-money laundering (AML) program and for supervisory failures.

Why Trade Stocks With eToro USA?

eToro remains a top pick for traders looking for leading social investing and copy trading services. With a low deposit, zero commissions and an intuitive platform, the broker will meet the needs of newer day traders.

Jemma Grist Jemma Grist, Reviewer

eToro USA quick facts

Fractional Shares
✔Yes
Demo Account
✔Yes
Regulator
SEC, FINRA
Platforms
eToro Trading Platform & CopyTrader
Minimum Deposit
$50
Automation
✔Yes
Account Currencies
USD

Stock Exchanges

eToro USA offers trading on 3 stock exchanges:

  • Dow Jones
  • New York Stock Exchange
  • S&P 500

Pros

  • Investors can access Smart Portfolios for a more hands-off approach, covering a range of sectors and markets such as renewable energy and artificial intelligence
  • eToro USA Securities is a trustworthy, SEC-regulated broker that is a member of FINRA and SIPC
  • The low minimum deposit and straightforward account opening process means beginners can get started quickly

Cons

  • eToro USA was fined $1.5 million by the SEC in 2024 related to unregistered crypto offerings
  • Average fees may cut into the profit margins of active traders
  • There's no MetaTrader 4 platform integration for traders who are accustomed to using third-party charting tools

Why Trade Stocks With FOREX.com?

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.

Christian Harris Christian Harris, Reviewer

FOREX.com quick facts

Fractional Shares
✘No
Demo Account
✔Yes
Regulator
NFA, CFTC
Platforms
WebTrader, Mobile, MT4, MT5, TradingView
Minimum Deposit
$100
Automation
✔Yes
Account Currencies
USD, EUR, GBP, CAD, AUD, JPY, CHF, PLN

Stock Exchanges

FOREX.com offers trading on 14 stock exchanges:

  • Australian Securities Exchange (ASX)
  • Borsa Italiana
  • CAC 40 Index France
  • DAX GER 40 Index
  • Dow Jones
  • Euronext
  • FTSE UK Index
  • Hang Seng
  • Hong Kong Stock Exchange
  • IBEX 35
  • Japan Exchange Group
  • Nasdaq
  • S&P 500
  • SIX Swiss Exchange

Pros

  • The in-house Web Trader continues to stand out 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.
  • FOREX.com offers industry-leading forex pricing starting from 0.0 pips, alongside competitive cashback rebates of up to 15% for serious day traders.

Cons

  • Demo accounts are frustratingly time-limited to 90 days, which doesn’t give you enough time to test day trading strategies effectively.
  • There’s no negative balance protection for US clients, so you may find yourself owing more money than your initial deposit into your account.
  • The group being FOREX.com, GAIN Capital Group LLC, had to pay a $700k fine to NFA for improperly handling some client accounts.

Why Trade Stocks With Plexytrade?

Plexytrade is a newcomer in the brokerage scene with attention-grabbing features like 1:2000 leverage, zero spreads on select instruments and fast execution speeds of less than 46 milliseconds. However, the absence of regulation is a significant concern, while the non-existent research and educational tools place it far behind industry frontrunners.

Christian Harris Christian Harris, Reviewer

Plexytrade quick facts

Fractional Shares
✘No
Demo Account
✔Yes
Platforms
MT4, MT5, TradeLocker
Minimum Deposit
$50
Automation
✔Yes
Account Currencies
USD, EUR

Stock Exchanges

Plexytrade offers trading on 15 stock exchanges:

  • Australian Securities Exchange (ASX)
  • CAC 40 Index France
  • DAX GER 40 Index
  • Dow Jones
  • Euronext
  • FTSE UK Index
  • Hang Seng
  • Hong Kong Stock Exchange
  • IBEX 35
  • Japan Exchange Group
  • Nasdaq
  • New York Stock Exchange
  • Russell 2000
  • S&P 500
  • SIX Swiss Exchange

Pros

  • Sub 50ms execution speeds are fast enough for intraday trading setups.
  • The choice of accounts provides a solution for various trading styles, with Gold Raw appealing to day traders owing to its spreads from 0.0 pips.
  • There are various VPS packages starting from $50 per month, but they become complimentary once specific deposit thresholds are reached.

Cons

  • There are no social or copy trading features for inexperienced traders to replicate the trades of more experienced investors, trailing category leaders like eToro.
  • Plexytrade lacks regulation in major jurisdictions, significantly increasing the risks of opening an account and depositing funds.
  • With around 100 instruments, Plexytrade restricts the flexibility of investors who prefer to trade across various assets, especially compared to Blackbull with its 26,000 securities.

Why Trade Stocks With TradeUp?

TradeUp is best suited to budget-conscious day traders looking to trade U.S. and global markets (via ADRs) with zero commissions on a user-friendly mobile app. Its more than 250 Chinese American Depositary Receipts (ADRs), including Alibaba Group (BABA), also make it suitable for trading Chinese equities.

Christian Harris Christian Harris, Reviewer

TradeUp quick facts

Fractional Shares
✔Yes
Demo Account
✔Yes
Regulator
SEC, FINRA
Platforms
Desktop, Web, Mobile
Minimum Deposit
$0.01
Automation
✘No
Account Currencies
USD

Stock Exchanges

TradeUp offers trading on 4 stock exchanges:

  • Hong Kong Stock Exchange
  • Nasdaq
  • New York Stock Exchange
  • S&P 500

Pros

  • TradeUp runs an integrated and intuitive financial calendar that helps you track earnings, dividends, and IPOs relevant to your watchlist, enabling you to stay ahead of market-moving events.
  • TradeUp’s platforms work smoothly across multiple devices based on our tests, including mobile apps for iOS and Android, a desktop app for Windows and Mac, and a web-based platform. This allows active traders to switch between devices without losing continuity, whether you’re at home or on the go.
  • TradeUp offers commission-free trading on US stocks and ETFs, and support for fractional shares lets you buy portions of a share for as little as $1. This makes it a cost-effective choice for active day traders who want to minimize trading expenses.

Cons

  • TradeUp does not support popular third-party platforms like TradingView or cTrader, so traders who rely on those for advanced charting, automation, or community features won't find that flexibility.
  • A 2026 security incident left the personal and financial data of 26,985 users vulnerable, including their Social Security numbers, driver's licenses, passports, and medical information.
  • TradeUp's educational resources aren't kept updated, and were over 6 months old in our latest tests. While there are articles and tutorials aimed at newcomers, the content is somewhat limited and does not cover more advanced trading strategies or deeper topics.

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.

methodology for reviews

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.
Plus500 stock broking license on FCA register
Plus500 UK Ltd FCA License

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%).

 

Table showing stock trading fees at XTB
XTB Stock Trading Fees

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.
Shares available to trade on CMC Markets
CMC Markets Stocks and Shares

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.
eToro WebTrader showing stock chart
eToro Stock Trading Platform

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.

Michael MacKenzieMichael MacKenzieAuthor

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.