Hey guys! Just wanted to pop in to tell everyone my thoughts on Robinhood!
I hear plenty of people, including Tim Sykes, bashing Robinhood. My thoughts? I don't blame them! Robinhood only offers after-hours trading a half hour before market open, and 2 hours after market closed, you can not short sell, their charting sucks, information seems inaccurate, delayed news, etc., etc. As long as you know what you are getting into, it's not that terrible, in my opinion.
In the stock market, someone that is said to hold a $20,000 account is said to have a "SMALL ACCOUNT." So how does lower class individuals start? Many brokerages make you start with a minimum amount. Most brokerages charge a commission per trade, and unless you are making that money to cover the commissions and profit, then I don't see how that's worth it. Yes, Robinhood sucks in multiple ways. But what if you want to start with $10? Go ahead and laugh! $10 bucks! Kind of how I started, and I kept adding more and more money as time went on, growing my account. I have also got a lot of people started on stocks with me through Robinhood, and they are learning and growing their accounts.
Learning is not a fast process, and when you don't have the money, and your account is that tiny, that minute, then I don't have issues with Robinhood when TD Ameritrade I believe costs $6.95 PER TRANSACTION, so if you buy a stock and sell a stock, you'd better make over $14 to make any profit! Using a brokerage like this can be tough if your account is just $100, meaning you would have to make at least 14% per trade, putting all your eggs in one basket, hoping for the best!
I have also found the trick to move around on Robinhood. Utilize other platforms, but don't trade with them. I have a TD AMERITRADE account that I utilize for news, charts, etc., I get Level ll trading through THINK OR SWIM, I use apps on my phone, I use FINVIZ and others that are FREE, allowing me to realistically "grow" my account. I cant short sell on Robinhood, but I think I'm ok with that at the moment as short selling scares the shit out of me, but someday I would love to learn.
My point is that I don't use Robinhood for anything else but to trade, during the trading session. Everyone's negative outlook is correct, in my opinion, on the fact that Robinhood does suck, but not enough to scare everyone away from it. If someone doesn't know where to start and wants to learn from level one, I'd suggest Robinhood!
They suck, yes, but I didn't start realizing that they sucked until I was months in my learning career, studying the stock market and gurus for roughly 10 to 12 hours a day! In other words, you won't even realize Robinhood sucks until you start getting a better understanding of the stock market and basics, which takes time. But for learning aspects, I think it's fantastic! Just use other sources for research, and you will be golden! Like Tim Sykes says, "study, study, study!"
I don't argue with the master very often, (sorry Timothy Sykes!) but I am very passionate about this one! Not one person I know says, "Hey, I have $15,000 saved up in my LIFE SAVINGS account. Let's learn and gamble all of that money on the stock market! I bet when its all gone ill understand!" I don't think that's how that works, and it shouldnt! Start with $100 to learn, add to it, keep building, and keep learning. But you really wouldn't be able to on any other platform but Robinhood at just $100!
So moral of the story! Robinhood away!
Get back to me with any of your comments or questions!
Also, if you want to check it out, you can sign up through my link I added below as a "REFERAL," both YOU and I will receive a FREE random stock from Robinhood, free money! Most stocks you get will be roughly $5, but I did receive one (JUST ONE) blue chip, which was an apple stock that (at the time) was valued at $220. That was a free $220 bucks! Not the reasoning for writing this but there it is anyhow :). GOOD LUCK WITH YOUR TRADING! Sorry Tim Sykes lol.