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Day Trading
Trade FrequencyProfit and RisksHistoryFinancial SettlementElectronic Communication NetworksTechniquesTrend followingContrarianRange tradingScalpingRebate TradingNews PlayingTrading EquipmentBrokerageCommissionSpreadMarket DataRegulations and restrictions
Trade FrequencyProfit and RisksHistoryFinancial SettlementElectronic Communication NetworksTechniquesTrend followingContrarianRange tradingScalpingRebate TradingNews PlayingTrading EquipmentBrokerageCommissionSpreadMarket DataRegulations and restrictions
Commission
Commissions for direct-access brokers are calculated based on volume. The more one trades, the cheaper the commission is. While a retail broker might charge $10 or more per trade regardless of the trade size, a typical direct-access broker may charge as little as $0.004 per share traded, or $0.25 per futures contract. A scalper can cover such costs with even a minimal gain.As for the calculation method, some use pro-rata to calculate commissions and charges, where each tier of volumes charge different commissions. Other brokers use a flat-rate, where all commissions charges are based on which volume threshold one reaches.
