Day trading…I have +150 pages of transactions…can I send the 1099 B substitute?
I have 3 trading accounts…the Tradeking account is easy…they have a Schedule D all filled out.
My other options account is simple because I started it in November of 07 and I can manually fill out a Schedule D.
Can I send Several Schedule D’s: one for TradeKing and another Schedule D for another brokerage account?
Now, my (former) day-trading account is complicated because I did thousands of transaction…I have the 1099 B, which lists the stock description, date, and NET PROCEEDS….but my Net proceeds come out to $88 million! and I am at a loss for the year so, it is not showing the net debit.
And this leaves me with my day trading account to deal with. I am just tempted to send the IRS all the broker-sent transactions on the 1099 (or even all the +150 pages of the actual transactions) and write a note saying I am at a loss for the year.
Will this idea work?
I have a similar idea, but this one WLL work:
In my tax software on the Schedule D, there is a line that says "Is a statement with stock sale detail being attached instead of entering detail?" "If yes, Form 8453 is required to be mailed to IRS when electronically filing."
That, my friend, is your solution!
I had tons of options, too, but just sucked it up. I sent it in early – if I did it again, I would just send in Form 8453 and call it a day! Otherwise it is WAY too much trouble and WAY too time-consuming! (As you know!)
Here is a PDF of the Form AND the instructions.
http://www.irs.gov/pub/irs-pdf/f8453.pdf
Regards!
Futures Account – Hard Credit Inquiry?
If you open a futures trading account at a brokerage, do they do a hard credit pull on you, a soft credit pull on you, or none at all?
If you already have a stock and options account with them, do they need to do another credit pull?
They never check your credit, and they allow accounts for foreigners who have no credit history at all. They just require sufficient deposit up front, which eliminates their risk.
What is the best online, easiest to use options trading broker that an 18 year old could use? Please help/advs?
I am 18 years old and for months now, I have been desperate to find a really good online options trading broker that is very easy to use that also has a demo account platform, and can be used in the UK? All help would be much appreciated. Thanks.
All the online brokers featured in the link below can be used in UK and have demo account platforms that are easy to use. See which one fulfills your need.
When I sell a put on E-Trade, are the proceeds deposited in my account immediately, or when the option expires
All brokerage firms in the United States follow the same rules and regulations and maintain their books and records as of the settlement date of the transaction.
US option settle the business following the date of trade, therefore the proceeds from the sale of option contracts are posted to and available in the account on the settlement date of the trade.
With a question like this, you should give very serious consideration to studying the markets and how they operate before you go any further with any type of trading,
Thinkorswim Options Trading Capital Requirement?
I want to open an account on thinkorswim in order to learn more about options trading but don’t have a lot of money to spare. I have about $500, would that do?
You can verify the minimum required to open the account with Thinkorswim by reviewing their website. but $500 is not sufficient to open a brokerage account with any one with the intention of trading.
One does not learn trading by doing actual trading. You should start paper trading and while doing that, read all you can about options
Before anyone starts trading and/or investing, there are four basic fundamentals that you should have in place.
1- A written sound trading/investment plan with rules that will not only help you but more importantly protect you, mostly from yourself.
2 – Sufficient trading/investment capital. Use your own money, there’s no need to go into debt so that you trade/invest.
3 – A written money management program in place.
4 – A full and complete understanding of the rules & regulations of the industry
Now that I preached to you, here are some websites that will get you some professional directions.
http://www.schaeffer.com/
http://www.zacks.com/
http://www.options-trading-advice.info/
http://www.optionseducation.org/
Good luck
Do I need to report every stock transaction of my Roth-IRA account?
I understand, I need to report every stock/option transaction during tax return of my brokerage account which I use to trade stock and options.
Will I have to do the same for my Roth-IRA account?
Transactions within an IRA, Roth or otherwise, aren’t reported.
My winning options trading strategy – what do u think?
Just like many others, i’ve wiped out my entire principle twice doing options trading in the past. In the process, i’ve found a simple technique that has helped me recover my money and make some…here’s how it works:
I follow a handful of stocks on a daily basis for few weeks and get a good sense of their upper and lower limits. I have $10,000 in my trading account. Once i see a stock get close to one end of these limits, I place my first bet (buy call or put) which is approx $500 (5% of my total). When my lots average price falls below approx 30% to 40% of current contract price, i buy more contracts to reduce the average. Basically i chase the moving stock price by averaging multiple times (only if it goes in the opposite direction) and stay in close proximity until it bounces back a tad bit and then i sell it all to a profit.
I did some math and discovered that based on my betting strategy, assuming that my first bet is 5% of my total cash reserves, i can literally chase the changing stock price by about 50% in the opposite direction and still make money. Ofcourse if the stock price goes beyond that point, i wont have any more funds to follow it – but that hasnt happened yet.
As simple and foolish this strategy might sound, i have money using this strategy in each of my last 18 trades – each time i had to average maximum 3 to 4 times before i made $ – and i turned $2000 to $10,000 within the last 2 months. Average $ per return was approx 30%.
If the stock moves in the direction of my investment (call or put) right away, then i sell for a 30% profit straight up – but since my first bet is small – the profit is small.
I would like you to critique this strategy and tell me if it will continue to work in the long run or not.
There are thousands of ways to lose your entire principle trading options. I think you have just found a third way.
Every successful options trader I know has learned how to limit risk. You are choosing to increase risk when a position moves against you. I believe that is about as sure a recipe for failure as you can find.
I am not a big fan of short-term trading, even though I do a little of it myself. One of the common principles of short-term trading is "Let your winners run and cut your losses." It appears you are doing just the opposite.
If you want to trade options successfully, I urge you to learn about using volatility and "the greeks" to choose your positions and lower your risk. These are not secrets. They are discussed in many very good books on options.
That will not be a quick process, and since you are already trading you may night have time to learn what you need to learn. Therefore I have one specific suggestion: Take half your money off the table now. If you started with $2,000 and you take $5,000 out of your account and use it for safe investments, you cannot hurt yourself as badly. If you can keep up the same results you will be back to $10,000 soon enough. If not, at least you will not have lost everything again.
Which online trading account is best for Option market with less brokerage?
I am having an offline DP account. I am doing Options, but my profits are not crossing the brokerage charges. So I am trying for some Online DP account, who are having less brkrage. I contacted Reliance Money, they told, they are having a flat brokerage rate of Rs. 500 for two months, Is that best?
Indiabulls is best
http://www.indiabulls.com/
All the best 
Best Online Option’s Trading Company?
What company has the best options trading platform?
When I say best, I mean in terms of its vast selection of options
you can trade. From options on Pork Bellies to IBM Stock.
Also, somebody with the easiest setup to fund your accounts.
Be it paypal, bank wire, check drafted, etc…
Interactivebrokers.com offers a wide range of vehicles, from futures, forex to international exchanges..
Easy to use point and click interface, cheap commisions.
I do not recommend them for novice investors, if you need hand holding or support of any kind, then IB is not for you.
Option trading price?
If I purchased VZ call32 Aug. and I paid for the premium .10. Now it’s $.15 but the stock is 30. Is it considered worthless because its below the strike price or will I be able to sell the option contract for the premium? (In my brokerage account it says its value is above then what i paid)
Don’t buy any investment unless you fully understand it.
A good way to start with Options is to understand the "greeks".
Buying an "out of the money" option is a typical novice move. Although there are times it’s a good thing to do…. a novice tends to buy them because they’re "cheap". Learn the greeks. Buy some good
books on Options. They are….. very complicated & will take time to understand. Options are nowhere as "basic" as they appear to you right now.