TradeStation vs. tastytrade Introduction
Are you looking for a futures, crypto, and securities broker with excellent trading software? If so, tastytrade and TradeStation should be high on your list. Read our comparison before deciding.
Comparison Table
Category 1: Tradable Products
TradeStation clients can trade a broad range of assets, including:
- Cryptocurrencies
- Options
- ETFs
- Closed-End Funds
- Mutual Funds
- Futures and Options on Futures
- Stocks, including OTC and foreign shares
- Bonds
tastytrade offers most of these except bonds, mutual funds, OTC stocks, and foreign shares. Both firms are entirely self-directed, with no managed accounts available.
Winner: TradeStation
Category 2: Mobile Platforms
Both firms’ mobile apps enable trading for securities and futures. TradeStation’s app provides an advanced order ticket, including:
- OCO
- OSO with Bracket
- Trailing Stop (% or $)
TradeStation’s charts include indicators, drawing tools, themes, and export options. However, a large bid-ask price box takes up a significant portion of the screen.
tastytrade’s app solves this issue with charts that can be displayed full-screen horizontally, though the lack of charting tools limits its functionality.
tastytrade’s order ticket lacks TradeStation’s advanced options but does include bracket orders. Digital currencies are tradable on the tastytrade app but require a mobile-enhanced site for TradeStation.
Winner: tastytrade
Category 3: Websites
TradeStation solves the display issue on its mobile charts with its web-based trading platform. It offers a straightforward yet powerful experience. Charts can be displayed full-screen, with a small ribbon at the top containing a settings menu and a trade button.
The trade button opens an order form with several advanced trade types. The platform also includes a trade ladder and integrated option spreads. Cryptocurrencies and options on futures are traded on separate platforms with unique tools.
tastytrade uses one browser platform for all asset classes. Switching between bullish and bearish trades is simple, and the trade ticket has multiple interfaces for different trading approaches. Additionally, tastylive provides live programming daily with over 25 personalities.
The main downside of tastytrade’s browser platform is its basic charting capabilities.
Winner: tastytrade
Category 4: Desktop Programs
Tastytrade’s desktop program delivers on charting. It includes over 200 technical studies, such as:
- CAM Indicator
- AlphaJensen
- Leavitt Convolution
Order entry is advanced, with multiple ticket interfaces, including:
- Table
- Curve
- Active
- Grid
- Crypto
- Pairs
The active trade ticket functions as a price ladder.
TradeStation’s desktop platform also offers advanced features, including over 200 indicators and unique widgets such as:
- Quick button trade ticket
- Time & Sales data
- OptionStation Pro
- Walk-Forward Optimizer
Winner: TradeStation
Promotions
Tastytrade:
Get $250 for each person you refer with this referral link.
TradeStation:
Get up to $3,500 for making a deposit at TradeStation.
Category 5: Margin
Both brokers offer margin accounts, but only tastytrade includes portfolio margin.
TradeStation charges between 12.75% and 11.75% for margin, depending on the balance, with negotiated rates above $500k. Tastytrade’s rates range from 10.25% to 7.25%.
Winner: tastytrade
Category 6: Swing Trading and Day Trading
Extended Hours: Both brokers offer pre-market and after-hours trading for stocks and ETFs. TradeStation provides longer trading hours. Cryptocurrencies can be traded 24/7.
Level II Quotes: Only available at TradeStation.
Direct Access Routing: TradeStation allows order routing to specific ECNs on all platforms. Tastytrade does not offer this feature.
Shorting: Both brokers support short positions, but TradeStation provides an equities desk to locate shares for shorting at no extra charge.
Routing Fees and Rebates: Offered by TradeStation.
Winner: TradeStation
Last Category: Extra Services
Banking Features: Neither broker offers significant cash management tools like check writing or debit cards.
Initial Public Offerings: Available through TradeStation via ClickIPO.
Dividend Reinvesting: Tastytrade supports reinvesting cash dividends as additional shares.
IRA Lineups: Both brokers offer IRAs and allow futures trading within them. TradeStation charges a $35 annual fee for securities IRAs, while tastytrade does not. Both have IRA closeout fees.
Fractional Shares: Neither broker offers fractional share trading for stocks or ETFs, though both support it for cryptocurrencies.
Winner: tastytrade
Promotions
Tastytrade:
Get $250 for each person you refer with this referral link.
TradeStation:
Get up to $3,500 for making a deposit at TradeStation.
Our Recommendations
Mutual Fund Investing: TradeStation, as mutual fund trades must be placed on the website.
Small Accounts: Choose tastytrade, as it has no recurring fees like TradeStation’s annual maintenance fee. Avoid both for small IRAs due to their IRA fees; consider Schwab instead.
Stock and ETF Trading: TradeStation’s desktop platform delivers the best experience.
Beginners: TradeStation’s platforms, with simulated trading options, are beginner-friendly. Tastylive’s educational content is another good resource.
Retirement Savings and Long-Term Investing: Neither broker specializes in retirement planning; Fidelity would be a better option.
TradeStation vs Tastytrade Summary
While both brokers excel in crypto, futures, and securities trading, tastytrade has an edge with better pricing overall.
Free Tastytrade Account
Open Tastytrade Account
Free TradeStation Account
Open Tradestation Account
Updated on 11/22/2024.
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