TD Ameritrade Review
Tools: A
Ameritrade offers some of the best tools of any discount stock broker. Most notably, their charts provide great detail. They can be tailored to fit many forms including candlestick pattern. Valuable indicators such as Bollinger bands and moving averages can easily be drawn on the charts. For the technical trader, this is a must. Ameritrade Apex clients also receive level two quote-scope which is a program that allows the trader to see all orders placed in real time. To qualify for Apex service you must make either 100 trades per month or have an overall account balance of 100,000 dollars or more.
The stock screener within the TD Ameritrade platform is also very useful. It goes into more detail than many of the competing broker’s screeners do with regards to its screening categories. A quality stock screener helps to alert you to the latest stock trading opportunities.
Ameritrade’s market coverage section of their website is excellent compared to other brokers, and it can certainly help you decide what criteria to screen for. By analyzing each market sector individually and then providing options for a personalized comparative analysis, Ameritrade’s sector analysis tool makes it easy to decide what the next hot sector will be. The next step is to do a stock screen, technical and fundamental analysis, and you are ready to trade.
Commissions: C
After reviewing many discount stock brokers I have determined that Ameritrade is moderately priced. They charge a flat 9.99 dollars per trade and 75cent/option contract. They have a 1.25% margin interest rate and do not charge idle account fees. They also do not charge account transfer fees which can be extremely annoying.
Customer Service: A
The customer service side of Ameritrade is high-quality and I have never had any problems. They are available 24 hours a day by phone for troubleshooting. Customer service representatives are ready to answer any questions, but you can also research a topic on your own. They have a detailed help section that explains how to use their software and trading platform. Funding an account is also easy. With my individual account I funded by check and it only took two days before the money was ready to trade. Electronic funding is also available. Electronic funding enables you to electronically deposit cash into your TD AMERITRADE account directly from your checking or savings account via an Automated Clearing House transaction. This feature is useful for individuals trying to make a time sensitive trade.
Trade speed and reliability: A
Trade speed is one of the most important aspects to keep in mind when choosing a broker. A broker that cannot execute a trade on time will inevitably cost you dollars. Ameritrade has consistently had good trade speed and execution during the eight years I have had an account with them. In addition, they sometimes are able to get me a better-than-expected price on my stocks sales. This is always appreciated.
Registration: A
There happens to be a minimum amount of 2000 dollars necessary to open an account with TD Ameritrade. Once you establish that you have the required funds, you will need to make decisions such as whether or not to use margin. You also need to specify your desired options level clearance if you wish to trade options at all. Ameritrade will approve or disapprove your margin and options requests based on your income and net worth. Once you fill out all the standard registration information on the website you will receive a welcome e-mail. After you confirm your registration, you will be sent three forms to fill out and return to Ameritrade. You are now ready to fund the account.
Special Features:
***The New Ameritrade Pattern Matcher: A tool designed to scan the market looking for well-known chart patterns such as the head and shoulders, cup and handle, and the double bottom.
Ameritrade
