Discount Stock Brokers Getting Analytical

By Jobman, Darrell; Bisset, Susan | Modern Trader, October 2002 | Go to article overview

Discount Stock Brokers Getting Analytical


Jobman, Darrell, Bisset, Susan, Modern Trader


SOFTWARE REVIEW

As more traders do their own analysis, online brokers are adding analytical tools, often provided by a partner, and software firms are getting into the brokerage business. Here's a look at some technical analysis packages offered by stock discount brokers.

If you are a trader or investor who has survived the stock market downturn of the last two years, you probably are more interested in doing your own market analysis today than you were in the go-go days when all you had to do was buy and hang on.

As stock market values deteriorated, skepticism about the barrage of buy recommendations from brokerage firm analysts increased following several highly publicized incidents. More traders became convinced they couldn't do worse on their own, prompting demand for information, data and tools to analyze the markets.

At the same time, day-trading became less attractive, reducing volumes for discount retail brokerage firms. To stay competitive, several firms merged and began to look beyond commissions, which were already at rock-bottom levels, to take advantage of technology advances to attract and keep customers.

MAKING A DIFFERENCE

In the early days of the Internet and the stock market surge, it was enough to provide fast trade executions at tow rates. First came Web-based order-- entry in which e-mailed orders, sent via forms on brokerages' Web sites, essentially replaced telephone service. Then came direct-access order entry into exchange trading platforms via the broker. Now, traders can evaluate bids, offers and market depth as well as route their orders automatically to the exchange or electronic communication network (ECN) with the best price at the moment of execution.

Most discount firms now provide an order-entry process that is fast and efficient. Aside from services such as support, backup systems, etc., the key difference among firms in the order-entry area is commission rates.

So, to gain an edge in selling themselves to traders, stock discount brokerage firms now offer more and better analytical services to their customers. First, they are offering ever more complex screening or scanning methods to help select stocks to trade, depending on the criteria you choose. Then they are providing more sophisticated charts, longer lists of technical indicators and larger databases to analyze those stocks.

Some are adding the capability to trade popular electronic stock index futures contracts and will offer security futures when they become available. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited article

Discount Stock Brokers Getting Analytical
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this article
  • Highlights & Notes
  • Citations
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.