Page 29 - Trading #101 Course – Part One: Trading Basics
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TRADING #101 COURSE – PART ONE: TRADING BASICS /2017-10-06
If you are receiving free data through your broker, your broker is paying the fees to the
exchange for you. The commissions you pay to your broker indirectly cover the cost of
those fees. There’s no getting around it, like death and taxes, someone must pay for
the exchange fees.
If you desire to get multiple markets and exchanges, then you will need to pay multiple
fees. Depending on which markets you choose and how many markets you choose, it
can add up.
NOTE: For professional status (anyone that is a professional broker) the exchange fee
rates are sometimes quadruple what they are for non-professionals.
No better REALITY in the market than your data feed
Your data feed will give you live streaming information that will be delivered to you from
the market on which you decide to work. There is no greater reality in the universe than
your live market data.
It will tell you the current price and volume any minute, any day, and any year. There is
no middle man (other than your data provider) that will distort the data, no news
announcer on television to “interpret” the data for you by adding their own opinions to
the formula. Nope, your live streaming market data is the real thing. You’ll be able to lay
your eyes on the unaltered truth.
Use the following “Factors to Consider” checklist to lay out a “pros and cons” list for
each company and determine what you need to satisfy your trading goals.
Factors to Consider:
• Does the data feed provider offer all the markets I am interested in?
• Is there an end-of-day data feed that might be lower in cost?
• What is the monthly cost for the data service?
• What are the exchange fees for the markets I am interested in?
• Does the data feed plug into the charting platform I want to use?
• What kind of customer support is available – phone, email, etc.?
Data Feeds that we find to be excellent:
• eSignal
• TradeStation
• NinjaTrader
• Kinetick
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