Perhaps one of the most important aspects is the need for high quality trading software so as to carry out the aforementioned technical analysis while ensuring efficient executions. Trading software encompasses the tools with which he/she goes to work. Just like a carpenter needs all tools in good working order, a day trader often needs high end trading software that is both easy to use and gets the job done.
In this article I will explain what trading software is and verse US day traders on the specifics they need to look out for when choosing trading software and then look at some of the benefits of the different trading software types offered by TradeZero America.
What Is Trading Software?
Trading software is defined by Investopedia as software that facilitates the trading and analysis of financial products such as stocks.
Basically the software is the medium through which the broker/dealer allows the day trader to electronically trade the stocks they choose.
Direct Access Trading Software
TradeZero has established for certain exchanges and market makers that it routes to, direct access routing which allows it to route client order flow directly to these venues for execution, depending on the time of day, order type and other order and market variables.
Access to trading software with direct access capabilities is, in my opinion, a must for day traders who wish to give themselves every chance of success.
TradeZero America also offers the ability for the trader to choose their route for accounts maintaining a balance at or over $30,000 USD. From 4am EST to 8pm EST, the day trader can select where their order is routed. Depending on each venues rebate policies for adding or removing liquidity, TradeZero America effectively passes the rebate along to the trader, offsetting some or all of the per share cost, potentially creating a net credit to the trader’s account. See a list of routes and fees here.
Easy To Use Yet Advanced Charting
As day traders we want to learn how our trading software works as fast as possible. We want user friendly yet technologically advanced. I recommend that indicators such as VWAP and EMA’s are available as well as the option to draw trendlines and add personal notes to saved charts. My own favorite charting is the TradeZero platform: ZeroPro. It is easy to use and allows me to go in-depth in my technical analysis.
(ZeroPro Charts . Technical Analysis 09/14/2022)
Does The Trading Software Have Live Data?
In addition to live charts informing day traders how stocks are moving, extra live data such as Level 2 can give day traders an added edge. Level 2 is a feature of trading software that provides real time access to a stock exchange's order book by showing bid prices and ask prices. This information provides additional market depth and can help day traders to understand market flow and to predict the direction of future momentum.
Does the Software Allow Fundamental Analysis?
Fundamental analysis involves examining the related economic and financial factors that contribute to a company's intrinsic value. Trading software that offers fundamental analysis will typically offer notification of earnings, offerings and any news related to the company.
Below is an example of the news window on the trading software ZeroPro. From the below ticker search you can see the keyword ‘earnings’ included as an additional search component. Immediately a whole list of articles related to earnings are at my disposal. This is an incredibly useful and efficient feature.
(ZeroPro News : 09/14/2022)
Choose A Broker/Dealer That Has Good Customer Service
I can’t recommend this enough. Even for day traders who are tech savvy, learning how trading software works can still be tricky. It takes time and to have a readily available helping hand from your broker/dealer is always assuring. Users of TradeZero America need have no worries in this regard as it has been my experience that their customer service is exceptional with all of my queries and questions delta with immediately.
Trading Software Offered By TradeZero America
TradeZero America offer four trading platforms to choose from:
- ZeroMobile is perfect for both beginner traders learning the ropes and those with more experience who are on the move and often away from their desktop.
- ZeroFree is a completely free, browser based trading software that more than does the job for new and intermediate traders.
- ZeroWeb is an incredibly efficient and user-friendly trading software suitable for traders of all levels.
- ZeroPro is a state of the art, dynamic and feature rich trading software.
Conclusion
Reliable and high quality trading software is an essential tool for US day traders. Among the most important factors I recommend when considering the best trading software are the need for direct access trading software, charting that is advanced and user friendly, reliable live data, the necessary tools to undergo fundamental analysis and a broker/dealer that has good customer service to answer any queries.
Disclaimer
This content (“Content”) is produced by John Maher. The Content represents only the views and opinions of Mr. Maher. Mr. Maher’s trading experiences and accomplishments are unique, and your trading results may vary substantially. TradeZero does not endorse the Content and makes no representations or warranties with respect to the accuracy of the Content or information available through any linked third party sites. The Content has been made available for informational and educational purposes only and should not be considered trading or investment advice or a recommendation as to any security. Trading securities can involve high risk and potential loss of funds. Mr. Maher is compensated by TradeZero for producing the Content and may also receive compensation for customers he introduces to TradeZero.
TradeZero America, Inc. (“TZA”), a subsidiary of TradeZero Holding Corp., is a United States broker dealer, registered with the SEC and member of FINRA and SIPC, that offers self-directed electronic securities trading to its customers. TZA does not provide financial or trading advice and does not make investment recommendations to its customers. This communication does not constitute an offer to sell or a solicitation to buy any security or instrument which it may reference. There is a risk of loss in online trading of securities including equities and options. Trading on margin is for experienced investors only as the amount you may lose can be greater than your initial investment. Likewise, short selling as a securities trading strategy is extremely risky and can lead to potentially unlimited losses. If you have any specific questions, please reach out to TZA directly at support@tradezero.us.
Sources
TradeZero - Homepage (October 20th, 2022)
https://us.tradezero.co/
Investopedia - Trading Software by Cory Mitchell (Updated July 19th, 2022)
https://www.investopedia.com/terms/t/trading-software.asp
TradeZero – ZeroMobile (October 20th, 2022)
https://us.tradezero.co/zeromobile
TradeZero – ZeroFree (October 20th, 2022)
https://us.tradezero.co/zerofree
TradeZero - ZeroWeb (October 20th, 2022)
https://us.tradezero.co/zeroweb
TradeZero – ZeroPro (October 20th, 2022)
https://us.tradezero.co/zeropro
TradeZero – Direct Routing (October 21, 2022)
https://us.tradezero.co/pricing/directrouting