As the moderator of MarketSmith, one of the net’s top real-time, live, chat room dedicated to stock trading, I receive many requests and questions on a daily basis. Something a lot of people inquire about is “What stock trading software do I use, and what other resources do I recommend?” Many subscribers want to know what broker to use, what kind of computer, how many monitors etc., etc.

I figured I would answer a few of these questions in a public form so hopefully I wont have to answer them repeatedly.

Brokers: There are only one or two investing programs that I really feel that I can strongly back: MBTrading or CyberTrader, with a strong personal bias for MBTrading. My bias is based simply on past experience. Keep in mind we are talking day trading here, not investing. For day trading, fast execution and customer service are the two most important considerations on which you need to base your decision. Many people are really concerned with commissions, but that train of thought can cost you in the end. These companies are very competitive now, and the fee structures are not that varied any longer. Poor execution and inadequate customer service can cost you many times more than the savings you might realize by using the wrong broker.

For a long time I’ve been telling people that when you attempt to trade stocks intraday with software that isn’t fast and simple is like trying to win a marathon as a person with no limbs. The other thing you need to be cautious of is people recommending “their own” discount broker. Most have never even seen an MBTrading or CyberTrader system. Suffice to say, the differences are drastic.

Quotes and Data Feed: Depending on which broker you choose, you may also need a stand-alone quote/data feed. I suggest you ask the broker you choose to make a recommendation here. It’s likely that they have had experience with a lot of different data feeds and know what works best with their system. However, who ever you do choose, make sure you have real time charting, Level II quotes for both the NASDAQ “and” the Dow listed stocks.