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Day trading works by using short-term market volatility to reel in profits within a single day. Day traders purchase a stock and then sell out of the position before the market closes. If you are interested in this trading strategy then you will need to choose a platform that suits your needs and experience.  

In this guide, we’ll cover everything you need to know about day trading including the best day trading broker  to use in 2021.  

Best Day Trading Brokers 2021 List

If you want to start day trading you will need to choose a broker that suits your financial goals. As such, we have identified the top ten best day trading brokers available in 2021:

  1. eToroOverall Best Day Trading Broker   with 0% Commissions
  2. Capital.comBest Day Trading Broker for Beginners
  3. AvatradeTop Day Trading Platform with Low Fees  
  4. Libertex – Best for CFDs with Tight Spread  
  5. VantageFX – Top Platform with Market-Leading Spreads
  6. Pepperstone – Best for Spread Betting Forex
  7. TD Ameritrade – Best for Commission-free US Stock Trading
  8. Interactive brokers – Top-Rated Broker with Advanced Charting
  9. TradeStation – Best Day Trading with 100+ Technical Indicators  
  10. Robinhood – Best Low-Cost Day Trading Broker with No Account Minimums

Best Day Trading Forex Brokers

My Trade Size

€ 100 (0.001 lots)

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6 Providers that match your filters

Deposit Methods

Trading Platforms

Regulated by

Additional Features

Min. Deposit

€500

Min. Spread

2

Max. Leverage

2:1

Currency Pairs

1+

Rating

1 or better

Mobile App

1 or better
Recommended Broker
302 New users today
eToro

Rating

Total Cost

€0.01

Mobile App
10/10

Min. Deposit

€50

Min. Spread

1 pips

Max. Leverage

50:1

Currency Pairs

52

Trading Platforms

Demo
WebTrader
CopyTrading

Deposit Methods

Bank TransferCredit Card

Regulated by

FCA, CySEC, ASIC, CFTC, NFA, BAFIN

What you can trade

Forex

Indices

Actions

Cryptocurrencies

Raw Materials

ETFs

Average spread

EUR/GBP

2.5

EUR/USD

1

EUR/JPY

2

EUR/CHF

5

GBP/USD

2

GBP/JPY

3

GBP/CHF

4

USD/JPY

1

USD/CHF

1.5

JPY/CHF

2.7

Additional Fees

Rolling fee

0

Conversion

0

Leveraged

30:1

FCA

30:1

CySEC

30:1

ASIC

30:1

CFTC

30:1

NFA

30:1

BAFIN

Libertex

Rating

Total Cost

€0.12

Mobile App
9/10

Min. Deposit

€0

Min. Spread

0.9 pips

Max. Leverage

2:1

Currency Pairs

50

Trading Platforms

Demo
WebTrader
MT4
STP/DMA

Deposit Methods

Bank TransferCredit CardGiropayNetellerPaypalSkrillSofort

Regulated by

FCA, CySEC, ASIC, CFTC, NFA, BAFIN

What you can trade

Forex

Indices

Actions

Cryptocurrencies

Raw Materials

ETFs

Average spread

EUR/GBP

1.4

EUR/USD

0.9

EUR/JPY

1.8

EUR/CHF

2.1

GBP/USD

1.2

GBP/JPY

1.9

GBP/CHF

2.2

USD/JPY

1.2

USD/CHF

1.1

JPY/CHF

2.7

Additional Fees

Rolling fee

Conversion

Leveraged

30:1

FCA

30:1

CySEC

30:1

ASIC

30:1

CFTC

30:1

NFA

30:1

BAFIN

Your capital is at risk

Capital.com

Rating

Total Cost

€0.01

Mobile App
9/10

Min. Deposit

€20

Min. Spread

0.6 pips

Max. Leverage

20:1

Currency Pairs

100

Trading Platforms

Demo
WebTrader
MT4
MT5

Deposit Methods

Bank TransferCredit CardNetellerSepa TransferSkrill

Regulated by

FCA, CySEC, ASIC, CFTC, NFA, BAFIN

What you can trade

Forex

Indices

Actions

Cryptocurrencies

Raw Materials

Average spread

EUR/GBP

1.4

EUR/USD

0.6

EUR/JPY

1.5

EUR/CHF

2.2

GBP/USD

0.8

GBP/JPY

1.9

GBP/CHF

2.4

USD/JPY

1.3

USD/CHF

1.3

JPY/CHF

2.6

Additional Fees

Rolling fee

0

Conversion

0.0

Leveraged

30:1

FCA

500:1

CySEC

30:1

ASIC

30:1

CFTC

30:1

NFA

30:1

BAFIN

Find the Best Day Trading Forex Brokers – Comparison

Recommended Broker
eToro
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Forex.com
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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Libertex
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Rating
5.00
5.00
5.00
4.80
4.80
4.80
Mobile App Rating
10/10
10/10
10/10
9/10
10/10
8/10
Regulation
FCA, CySEC, ASIC, CFTC, NFA, BAFINFCA, CySEC, ASIC, CFTC, NFA, BAFINFCA, CySEC, ASIC, CFTC, NFA, BAFINFCA, CySEC, ASIC, CFTC, NFA, BAFINFCA, CySEC, ASIC, CFTC, NFA, BAFINFCA, CySEC, ASIC, CFTC, NFA, BAFIN
Min. Deposit
€50€100€200€0€0€100
Min. Spread
111.10.911
Max. Leverage
50:1100:1200:12:12:1100:1
FX Pairs
525040506270
EUR/GBP
2.51.41.31.41.31.3
EUR/USD
111.10.911
EUR/JPY
21.81.51.81.41.4
EUR/CHF
52.31.72.11.91.7
GBP/USD
21.11.11.21.11.1
GBP/JPY
31.91.71.91.71.6
GBP/CHF
42.522.222.2
USD/JPY
11.21.21.21.11.2
USD/CHF
1.51.11.11.11.21.1
JPY/CHF
2.72.82.62.72.72.5
Rolling fee
0N/AN/AN/AN/AN/A
Conversion Fee
0N/AN/AN/AN/A0.7
Demo
WebTrader
CopyTrading
MT4
MT5
STP/DMA
cTrader
FCA
30:130:130:130:130:130:1
CySEC
30:130:130:130:130:130:1
ASIC
30:130:130:130:130:130:1
CFTC
30:130:130:130:130:130:1
NFA
30:130:130:130:130:130:1
BAFIN
30:130:130:130:130:130:1
Forex
Indices
Actions
Cryptocurrencies
Raw Materials
ETFs
Islamic Account
Education & Webinars
Charts & Tools
Scalping
Free Forex Signals
Spread Betting
Bank Transfer
Credit Card
Neteller
Skrill
Giropay
Paypal
Sofort

Best Day Trading Brokers Reviewed

With so many options out there, how do you choose the best broker for day trading?

Day traders prioritise quick trade execution, accuracy, and low costs when selecting an online broker. Day traders, who typically start a trading day with no positions in their portfolios, make many transactions, then close all of those positions, don’t need features built for long-term investing strategies.

1. eToro – Overall Best Day Trading Broker with 0% Commissions

etoro broker

eToro is the best day trading platform in 2021 as it offers 0% commission on heaps of markets including stocks  and ETFs, and is designed specifically for beginners. Launched in 2006, eToro is now home to more than 20 million traders and offers a ton of convenient and innovative trading features.  

What assets do day traders buy and sell?

Day traders capitalize on financial products with high liquidity and trade volume. In other words, they look for assets that are being bought and sold frequently and in high numbers. High trading volume gives you the benefit of being able to open and close a trade quickly. Liquidity simply means that there are prospective sellers and buyers ready to make a trade.  

eToro Trade Markets

As such, day traders will be happy to learn that eToro offers access to forex trading, stock trading across 17 international exchanges, cryptocurrencies, commodities, ETFs, and indices. In particular, the forex market is the largest financial market in the world, with an average daily trading volume of $5 trillion. Additionally, the foreign currency exchange market is notorious for being a highly volatile market, with price movements rising and falling within seconds. eToro also allows you to invest in fractional shares with as little as $50.        

What leverage does eToro offer on stocks and forex?  

Since the forex and stock markets are such volatile markets, with bear and bull trends running wild, day traders are often very active, occasionally opening and closing positions within a matter of minutes. Price movements in forex are measured in pips and sometimes need large amounts of money to create noticeable profits. Because of this, eToro offers leverage of up to 30:1 on forex CFD trades and 5:1 on stock CFD trades.  

What technical indicators does eToro offer and what are the benefits of ProCharts?

eToro’s new ProCharts is a user-friendly toolkit designed from the ground up with active traders in mind. To begin with, it’s faster than the previous chart tool because it was built from the ground up. Furthermore, its analysis functionality is second to none. The use of multi charts is the most important addition to charting on eToro, which means you may modify your chart display using a range of layouts for displaying multiple charts at the same time.  

eToro ProCharts

ProCharts also allows you to customize your charts and save them so that you can analyze the markets whenever you want. When you launch ProCharts by default it will show whatever financial instruments you have on your watchlist.  

Day traders need technical indicators and responsive charts to help them make quick decisions in short amounts of time. As such, eToro’s ProCharts offers heaps of charting analysis tools and technical analysis such as five different chart types, periodicity ranging from 1 minute to 1 week, an array of charting tools such as Fibonacci, technical indicators including Bollinger Bands and MACD. You can also change the timezone to suit your trading strategy. Moreover, you can compare markets on the same chart.  

What are the main fees and commissions?  

Fee Charge
Stock trading fee 0% Commission, invest in Amazon stock with as little as $50  
Forex trading fee 0% commission, Spread of 2 pips for GBP/USD
Crypto trading fee Spread, 0.75% for Bitcoin
Inactivity fee $10 a month after one year
Withdrawal fee $5
Deposit fee None
Account fee None
Platforms Web trading platform, Mobile app
Available day trading tools Fully customizable ProCharts, trend lines, heaps of technical indicators such as MACD, Bollinger bands and more. Economic calendar, social feed, price alerts and push notifications, low-fees, copy trading, tons of educational materials and educational resources, free demo trading account with $100,000 of paper funds

What about payment methods?  

As we have already mentioned eToro does not charge deposit fees, and there are multiple ways you can deposit funds into your account such as PayPal, Skrill, Neteller, bank transfer, and debit/credit cards.  

Is eToro safe?

eToro is fully authorized and regulated by the UK’s Financial Conduct Authority, the Cyprus Securities and Exchange Commission, and the Australian Securities and Investments Commission.  

Furthermore, your funds are held in segregated bank accounts or segregated accounts with another third-party regulated company, often an affiliate. eToro also offers negative balance protection, and UK-based clients are protected by the Financial Services Compensation Scheme (FSCS) which covers up to £85,000 should the broker go into insolvency.  

Pros:

  • Regulated by FCA, CySEC, ASIC and serves more than 20 million traders
  • Commission-free stock and ETF trading
  • User-friendly & fully customizable charts
  • Advanced ProCharts with heaps of tools for technical analysis
  • Wide range of payment methods: debit/credit cards, bank transfers, and e-wallets
  • Copy Trading features including CopyTrader and CopyPortfolio
  • Market-leading spreads
  • Top-rated customer support
  • Fast order execution

Cons:

  • $10 inactivity fee after 12 months

67% of retail investor accounts lose money when trading CFDs with this provider.

2. Capital.com – Best Day Trading Broker for Beginners

capital.com reviewIf you want to start day trading but have no experience using technical indicators, fundamental analysis, charts, and advanced order types, Capital.com is likely to be an ideal choice for you. Capital.com is a popular CFD and forex trading platform that was launched in 2016 and is fully regulated by multiple financial authorities including the UK’s FCA.  

Capital.com provides access to forex trading and CFD trading. This includes 3,418 share CFDs, 26 indices CFDs, 34 commodities CFDs, 138 forex pairs, as well as cryptocurrency CFD derivatives.  

Capital.com markets

Perhaps one of Capital.com’s best selling points is that all supported assets can be traded on a 100% commission-free basis. From shares CFDs to forex pairs you can participate in a range of financial markets on a low-cost basis which is great for beginners. Furthermore, this is perfect for day trading as you can use leverage, and pick between either long or short orders.  

What charting features and analysis tools does Capital.com offer?    

Capital.com gives you access to trading ideas via the third-party research platform Trading Central. Trading ideas are mainly based on technical analysis and cover the most popular securities such as forex pairs and stocks.  

Capital.com charts

In terms of fundamental data, you can research key financial statistics including earnings, P/E ratios, profit margins and much more with the Capital.com web platform. Moreover, you can pinpoint unique trading opportunities with over 75 technical indicators and chart tools.  

You can also access trending financial news in real-time via the News section on the Capital.com website, in addition to registering for weekly webinars to help you practice your day trading strategies with expert-based trading insights from experienced traders. Beginner traders will also appreciate the paper trading account, which allows you to learn the ins and outs of the trading platform as well as practice your day trading strategies in a risk-free simulated online environment.  

Capital.com Fees  

Fee Charge
Stock trading fee 0% Commission, Spread on AMZN stock = 27.17 pips
Forex trading fee 0% commission, Spread of 0.00013 pips for GBP/USD
Crypto trading fee Spread, 0.00060 pips for ETH/BTC CFD
Inactivity fee None
Withdrawal fee None
Deposit fee None
Account fee None
Platforms Web trading platform, Mobile trading apps, MetaTrader 4, Investmate, Spread betting, TradingView
Available day trading tools Fully customizable charts, 75+ technical indicators such as MACD, Bollinger bands and more. Economic calendar, price alerts, low-fees, Investmate, tons of educational materials, free demo trading account, webinars, news and features, courses, trading strategies guide

Is Capital.com safe?  

Capital.com is regulated by top-tier financial institutions such as the UK’s Financial Conduct Authority and the Cyprus Securities and Exchange Commission. Should the broker go bankrupt, UK-based clients are covered up to £85,000, while EU-based clients are covered up to €20,000.

Capital.com also holds all clients’ funds in segregated bank accounts and provides negative balance protection.

Pros

  • Access thousands of CFDs with 0% commission and tight spreads
  • Fully regulated by the FCA, CySEC
  • Practice your day trading strategies with Demo account  
  • Uncover unique trading opportunities with 75+ technical indicators
  • Wide range of payment options such as debit/credit cards, Apple Pay

Cons

  • Only offers CFD trading

76.25% of retail investor accounts lose money when trading spread bets and/or CFDs with this provider.

3. Avatrade – Top Day Trading Broker with Low Fees  

avatrade brokerAvaTrade is a trusted FX and CFD broker that was founded in 2006 and is authorised by several financial regulators, including the Australian Securities and Investments Commission (ASIC) and the Central Bank of Ireland (CBI). Users have access to forex, CFDs, options trading, and cryptocurrencies with a competitive pricing model.

UK-based clients can download the top-rated MetaTrader 4 and MetaTrader 5 platforms for Windows and iOS operating systems, as well as a Web-based version and a mobile trading app for Apple and Android devices, to trade minor, major, and exotic currency pairs.

AvaTrade

AvaTrade Charting and Features  

AvaTrade gives you access to trading ideas sourced from the research provider Trading Central. All the trading ideas are based on technical analysis and are mainly focused on currency pairs and stock indices. You can access fundamental data via the economic calendar by clicking on the Trading Info tab. Economic calendars show regular financial macroeconomic events that influence the financial markets. Experienced day traders use economic indicators such as the NFP (non-farm payrolls) report to plan their trading strategies accordingly.  

AvaTrade charts

When it comes to charts, these are fully customizable and feature a well-designed and user-friendly interface. There are also over 80 technical indicators to choose from and implement into your charts. AvaTrade provides some of the most popular technical indicators such as Bollinger Bands, Exponential Moving Average, and MACD.  

AvaTrade Fees

Fee Charge
Stock trading fee 0% Commission, typical spread for Amazon Stocks is 0.13% and leverage up to 5:1
Forex trading fee 0% Commission, typical spread for GBP/USD is 1.6 pips and leverage up to 30:1  
Crypto trading fee Typical spread for Ethereum (ETH) is 0.28% Over-market
Inactivity fee $50 after 3 months of inactivity and a $100 administration fee after one year.
Withdrawal fee None
Deposit fee None
Account fee None
Platforms Web trading platform, Mobile trading apps, MetaTrader 4, MetaTrader 5, Automated Trading in UK, Mac Trading, AvaSocial, AvaTradeGo, Desktop platform  
Available day trading tools Fully customizable charts, 80+ technical indicators such as MACD, Bollinger bands and more. Economic calendar, price alerts, low-fees and tight spreads, AvaSocial, Heaps of educational resources, demo trading account, webinars, news and features, trading videos, trading rules, economic indicators, online trading strategies, eBook,  

Is AvaTrade safe?  

AvaTrade is regulated and authorized by the following top-tier financial regulators: the Australian Securities and Investments Commission (ASIC), the Financial Sector Conduct Authority in South Africa, Japan’s Financial Services Agency and the Financial Futures Association of Japan, the Abu Dhabi Global Markets Financial Regulatory Services Authority, CySEC, the Central Bank of Ireland, the B.V.I (British Virgin Islands) Financial Services Commission, and the Israel Securities Authority.    

According to AvaTrade, client funds and personal data are protected by:

  • 256-bit SSL encryption throughout the site
  • Implements McAfee Secure to combat credit card fraud and identity theft
  • Embedded True-Site identity assurance seal
  • Client funds are held in segregated bank accounts      

Pros

  • Low trading and non-trading fees
  • Heavily regulated by multiple financial regulators
  • Wide range of payment methods accepted
  • Access to 80+ technical indicators
  • Competitive spreads and 0% commissions

Cons

  • High inactivity fee

71% of retail investor accounts lose money when trading CFDs with this provider.

4. Libertex – Best Day Trading Broker with Tight Spread Offering

If you’re looking to trade CFD derivatives and want to speculate on the pricelibertex movements of popular securities including forex, cryptos, and more, then Libertex is a name that stands out from the rest. But is Libertex the right trading broker for your day trading needs?  

Launched in 1997, this top-rated broker has more than two decades of trading experience and is home to around 3 million traders worldwide, catering to both casual and experienced investors. Libertex allows users to trade with leverage of up to 30:1. This means that a £100 deposit could give you access to £3,000 in trading capital. Professional traders, on the other hand, can use maximum leverage of up to 500:1.  

What tradable assets can I access on Libertex?

At Libertex you can speculate on the underlying price of an asset such as forex, shares, ETFs, options and more. CFD trading has several advantages, including the flexibility to go long or short. This means that if you think the price of the underlying asset will rise, you should purchase, and if you think it will fall, you should sell.

Libertex trading assets

The most striking feature when it comes to Libertex’s trading fee rates is that there are tight spreads. This is very uncommon for CFD brokers, as online trading platforms are often compensated for their services through the spread, especially when it charges 0% commission.  

What about charting on the Libertex platform?  

Libertex clients have access to its proprietary trading platform, in addition to MT4 and MT5. Professional and experienced day traders are accustomed to the MetaTrader suite and the vast array of trading tools and features you can use.  

Libertex charts

All the charts are fully customizable and you can set the time interval between anything from 1 second to 1 month. In terms of technical indicators there are more than 40 to use such as Aroon, Choppiness Index, Ichimoku Cloud, MACD, Mass Index, Awesome Oscillator, and Balance of Power.  

Furthermore, you can compare and contrast different assets on the same chart by tapping on the ‘Compare’ button, as well as using a range of drawing tools to make the charts fit your trading expectations and goals.  

Libertex Fees

Fee Charge
Stock trading fee -0.034% Commission for Amazon Stocks and leverage up to 5:1
Forex trading fee Zero spreads, typical commission for GBP/USD is -0.008% and leverage up to 30:1  
Crypto trading fee Typical spread for Bitcoin (BTC) is -0.6%
Inactivity fee £10 for users with account balances lower than £10,000 that fail to place significant trades for six months.
Withdrawal fee PayPal and Skrill incur zero withdrawal fees, while credit/debit cards incur a withdrawal fee of 1 euro.  
Deposit fee None
Platforms Libertex web trading platform, Libertex mobile trading app, MetaTrader 4 and MetaTrader 5
Available day trading tools Fully customizable charts, 40+ technical indicators, economic calendar, price alerts, low-fees and tight spreads, AvaSocial, Heaps of educational resources, demo trading account, webinars, news and features

Is AvaTrade safe?  

Libertex is a trusted CFD broker regulated by CySEC and offers security features such as two-factor authentication to help protect your funds from illicit activity and online fraud. In terms of client fund protection, CySEC regulation requires providers to hold all clients’ funds in segregated accounts. Moreover, you are covered up to €20,000 by the investor protection scheme should Libertex go into liquidation.

Pros

  • Access to MetaTrader 4 and MetaTrader 5
  • Regulated by CySEC
  • Variety of supported payment methods
  • Access to 40+ technical indicators
  • CFD trading with zero spreads

Cons

  • Only offers CFD trading

83% of retail investor accounts lose money when trading CFDs with this provider.

5. Vantage FX – Top Forex Broker for Day Trading with Market-Leading Spreads

Vantage FXVantage FX is one of the best day trading brokers for traders of all experience levels. This is partly down to the fact that Vantage FX offers 300+ CFDs to trade across a range of asset classes. As such you can buy and sell over 40 currency pairs, stocks, indices, and much more.  

If you’re a day trader looking to leverage your positions, Vantage FX makes this easy. The forex broker allows you to trade major currency pairs with leverage of up to 500:1, while stocks can be bought and sold with leverage of up to 20:1.  

Vantage FX

What account types does Vantage FX offer?

Vantage FX offers three account types: the Standard STP account, the RAW ECN, and the PRO ECN accounts. The Standard STP account is perfect for beginner day traders who are searching for direct access to the financial markets with 0% commission and spreads starting from just 1.4 pips. RAW ECN and PRO ECN account holders benefit from zero spreads and commissions from $2 – $3 per lot per slide.  

What about payment methods?

You can open an account and deposit funds in eight base fiat currencies such as AUD, USD, EUR, GBP, NZD, SGD, JPY, and CAD. The available payment methods include credit/debit cards, wire transfers, e-wallets and e-payment services such as Skrill.  

Vantage FX charts

Vantage FX fees

Fee Charge
Stock trading fee 0% Commission and spreads from 1.4 pips with Standard STP account and leverage of up to 500:1.
Forex trading fee 0% Commission, typical spread for GBP/USD is 0.1 pips and leverage up to 500:1 for RAW ECN account holders.  
Inactivity fee None
Withdrawal fee None
Deposit fee None
Account fee None
Platforms Vantage FX App, MT4, MT5, Webtrader, Metaquotes Apps, social trading: ZuluTrade, MyFXBook Autotrade, DupliTrade  
Available day trading tools Fully customizable charts, technical indicators such as MACD, Bollinger bands, RSI and more. Economic calendar, price alerts, Market Watch, social trading, Copy trading, educational materials, demo trading account, educational webinars, daily market update, SmartTrader tools videos  

Is Vantage FX safe?

Vantage FX is managed by Vantage Global Prime Pty Ltd. and is regulated and authorised in various jurisdictions globally. This includes the Cayman Islands Monetary Authority (CIMA), VFSC under Section 4 of the Financial Dealers Licensing Act, the Financial Conduct Authority (FCA), Australian Securities and Investments Commission (ASIC).  

Additionally, client funds are held in segregated accounts with an AA-rated Australian bank that has a market cap of around $94bn. Vantage FX also offers negative balance protection so if your account balance falls below zero you will be covered.  

Pros

  • Day Trade with MetaTrader 4 and MetaTrader 5
  • Regulated by FCA, CIMA, VFSC, and ASIC
  • Leverage of up to 500:1
  • Spreads from 0.0 pips and commission from $0 depending on the account type
  • Wide range of funding methods

Cons

  • Product selection limited to CFDs

Trading Forex and CFDs involves significant risk and can result in the loss of your invested capital.

How do Day Trading Forex Brokers work?  

Day traders buy and sell financial securities within the same day, as they are often searching for short movements in highly liquid and volatile markets. Day trading requires and involves thorough knowledge and understanding of the markets, financial news, technical analysis, and the use of an effective day trading strategy.  

How day trading platforms work with eToro as the prime example

Let’s take a look at a simplified example of how the best brokers for day trading work in 2021:

  • A trader opens an account with a top-rated day trading broker
  • He/she deposits funds with the available payment methods
  • They then choose an asset to buy and sell within the same day such as a major forex pair, or blue-chip US stock.  
  • The day trader chooses to go either long or short based on their speculations of the market movements
  • The position is closed before the market closes as day traders are searching for short movements in highly liquid and volatile markets.  

How to Pick the Best Day Trading Platform for Your Goals

There are various key metrics and features you need to consider when choosing the best day trading platform for your needs. While some online brokerages are better suited to experienced day traders, other trading brokers are ideal for beginners.  

Range of assets

Before you decide to start day trading, you need to choose which assets are under the spotlight and concentrate on them. With thousands of stocks, ETFs, forex pairs and other securities out there, it can be challenging to pinpoint the right assets to add to your radar. You should consider your budget, what type of day trading strategy you are going to adopt, and your risk tolerance.  

eToro range of assets for day trading

With that in mind, you will need to research and check that the trading broker offers the specific assets that you are looking to day trade.  

What are the most important Trading tools for day traders?

There are a number of essential tools that expert day traders use to profit from their trading strategies.  

  1. Real-time market news and data – For day trading, having access to real-time market data is crucial. Real-time market data and news enable traders to sift through the latest market data and use it to their advantage. Day traders typically spend a lot of capital to get access to real-time market data. Real-time market data can give traders accurate insights into potential bear and bull trends, as well as economic and political announcements that can impact market volatility and liquidity.  
  2. ECN accounts – Electronic Communication Networks are electronic systems that match the buy and sell orders between institutional and individual investors. The ECN finds the best buy and sell quotes enabling day traders to get the best bang for their buck.  
  3. Asset price charts – charts are so important when it comes to the technical analysis of stocks and other securities. Day trading is dependent upon charts to identify the best moment to open and then close the trade before the market closes for the day. For instance, candlestick charts offer a clear visual representation of the highs and lows, opening and closing prices, and bullish and bearish trends.  
  4. Technical indicators – When it comes to technical indicators, whether you’re day trading stocks, FX, or futures, it’s usually better to keep things simple. You might find that looking at only a couple of technical indicators to try and pick out entry and exit points is more convenient.

Platforms

If you’re looking to copy the trading strategies of other experienced day traders you will need to find platforms that offer copy trading features such as eToro. CopyTrader and CopyPortfolio are eToro’s go-to copy trading tools that allow you to browse through hundreds of public profiles and copy the trades of other experienced eToro day traders with the click of a button.  

eToro CopyTrader

67% of retail investor accounts lose money when trading CFDs with this provider.

On the other hand, if you are an experienced day trader interested in buying and selling forex pairs you may want to check if the broker of your choice supports MT4 and MT5.

Fees

As we have already discussed, all the best brokers for day trading use fees and commissions in one way or another as compensation for offering their services. Trading and non-trading fees vary depending on the account type, and platform.  

Commissions and spreads

eToro Fees

When you buy and sell assets on eToro you do not pay a penny in commissions. Instead, you have to pay the difference between the bid and ask prices, otherwise referred to as the spread.  

For example:

  • Let’s say that you decided to buy the EUR/USD forex pair with a live eToro trading account
  • The social trading platform charges a commission of 0%
  • eToro charges a minimum spread of 1 pip for the EUR/USD pair
  • While you pay $0 in commissions, you will have to pay the spread

Why is security so important when it comes to day trading?

Financial regulators overlook and standardize online brokers and financial markets to safeguard traders from illegal activities such as money laundering and identity theft. As such, regulated brokers must segregate client funds from the business funds at all times. This means that if the broker goes bust, your funds are protected.  

All of the best brokers for day trading that have featured in this beginner’s guide are regulated by top-tier financial authorities such as the FCA and ASIC.  

How to Start Day Trading

Are you ready to start buying and selling various securities within a single day? Could you capitalize on short price movements in highly liquid and volatile markets?  

Day trading involves an in-depth study and analysis of financial markets, news, and an effective day trading strategy. All in all, we recommend eToro as the best day trading broker in 2021. So, to get started simply follow the steps below.  

Step 1: Open an Account

To start, simply visit the official eToro website and tap on the button marked ‘Join Now’ to get the account opening process started.  

etoro sign up

67% of retail investor accounts lose money when trading CFDs with this provider.

The sign-up process is fully digital and free, and you will need to provide your details such as name, email address and phone number.  

Step 2: Verify your Brokerage Account

As part of the KYC process, to open an account with eToro you will need to provide the following documents as proof of both address and identity.  

  • A valid passport, government-issued ID card, or driving license.
  • A recent utility bill or bank statement dated within the last three months.  

Step 3: Deposit Funds

Once you have successfully opened a trading account and it has been verified, you will be able to deposit funds. The minimum deposit is $50 for US-based clients and $200 for traders based in the UK.

Funding your eToro account is quick and easy. There are several payment options at your disposal such as debit/credit cards, bank transfers, PayPal, Skrill, Rapid Transfer, iDEAL, and more. There are no deposit fees and withdrawals incur a small fee of $5.  

Step 4: Search for an Asset to Day Trade

If you have a particular hot asset with high liquidity that you want to buy and sell within the same day, then you can use the search function at the top of the trading terminal and then click on trade from the drop-down list of relevant search results.  

eToro search for TSLA stocks with 0% commission

Otherwise, you can browse through heaps of securities by clicking on the ‘Trade Markets’ tab located in the left-hand sidebar.  

Step 5: Start Day Trading

Once you have picked the asset you want to day trade, you will need to choose between a buy or sell order. If you speculate that the price of the underlying asset will rise you need to open a buy order, on the other hand if you believe that the price will drop you need to open a sell order.  

eToro set order

You need to keep in mind that if you place a market order eToro will execute your position immediately. If you want your position to be opened at a specific market price you can place a limit order. You can also place stop-loss and take profit orders.  

Finally, to complete the 0% commission investment, just tap on the ‘Open Trade’ button.  

Best Day Trading Brokers – Expert Verdict  

In this beginner’s guide, we have reviewed the best brokers for day trading and have covered the key metrics you need to consider when starting out, such as charting, regulations, payments, fees, fundamental data, technical analysis, and tradable assets.  

Successful day trading relies on understanding trend, support, and resistance lines, as well as keeping up-to-date with the latest news surrounding your chosen market. In summary, we found that eToro is the best day trading platform in 2021 because it offers copy trading tools and ProCharts that equip day traders with everything they need to master this volatile trading strategy.  

eToro – Best Day Trading Broker with 0% Commission

etoro broker

67% of retail investor accounts lose money when trading CFDs with this provider.

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