The opinions expressed in these forums do not represent those of C2, and any discussion of profit/loss is not indicative of future performance or success. There is a substantial risk of loss in trading. You should therefore carefully consider whether such trading is suitable for you in light of your financial condition. You should read, understand, and consider the Risk Disclosure Statement that is provided by your broker before you consider trading. Most people who trade lose money.
Hi,
I just started a daytrading stocks system - Stocks Pro - , i am thinking to stick to “Long Only” positions so it can be traded in an IRA account - margin type - . What’s the importance of this step ? Are there many IRA accounts - bigger than $25k - in C2 ?
Thanks in advance .
I also use my IRA account to trade but I only trade futures.
In trading futures, there is no $25k minimum account size for the active day traders like stock traders have to have.
You can go long or short trading futures.
Much lower taxes: 60/40 rule.
Much simpler year-end accounting.
I trade e-mini S&P 500 futures. I experience no slippage when trading e-mini S&P. It is a very liquid market.
Unfortunately, I do not believe subscribers to your new trading system, Stocks Pro, will be able to trade it in any of their retirement accounts, whether or not they have more than $25,000 in them.
The reason is that, to the best of my knowledge, brokers will not allow daytrading in any retirement accounts. So it would not matter that you are only trading “Long only” positions either.
The $25,000 account balance comes into play for regular taxable accounts in which daytrades are made. So your subscribers could trade your system in a regular taxable account providing they maintain at least a $25,000 balance.
Good luck with Stocks Pro!
Regards,
Jim
Thanks Jim , IB allows daytrading in IRA account - margin type - if above $25 k , i think some other brokers allow it as well . Check this link .
But sadly most C2 subscribers are not ready to accept drawdowns associated with futures trading . Stocks systems can be scaled easily as they wish , it is more feasible for subscribers . Anyway to trade futures properly one needs more than $25k .
That is great news that IB allows daytrading in IRA accounts, as long as you maintain at least a $25,000 balance.
Thanks for pointing this out to everyone.
Jim
Yes , there are some conditions though , you need an IRA - margin type - account , and 25K , and you cant use unsettled funds to trade something that will settle before the initial unsettled trade , for example you cant use unsettled funds from a stocks trade to trade options - that’s my understanding - .
"-Cash proceeds from unsettled sales are available for trading as long as the subsequent purchase order does not settle prior to the sale order "
BTW re futures in an IRA account , i heard they lately - IB - have increased overnight margin requirements three folds .
