by Mark Douglas
Over the Lunar New Year festive period, I did a transaction cost analysis of my futures trades executed via the Moomoo trading platform.
I realized Moomoo was charging a platform fee of 1 USD per contract in a trade. For example, here is the breakdown of fees for buying 9 contracts of Micro AUD/USD Mar25 (M6AH5):
This is actually quite expensive for a single leg. Hence, I have decided to switch to Interactive Brokers (IBKR).
The benefits of using IBKR are multi-fold. One advantage is that unlike Moomoo, there is no limitation on the futures contracts available for trading on the platform. This means I can trade the various CME Micro FX futures, which gives me a more refined exposure per trade.
IBKR is also lauded for its strengths by various authoritative websites. For example, Investopedia rated IBKR as one of the best platforms for trading futures. [article]
The third advantage is that IBKR offers a desktop trading platform, while Moomoo only offers a mobile app interface. The tiny font size in the app is challenging for me. I prefer to see things more clearly on a PC/laptop screen.
I am withdrawing my funds from Moomoo over the next few days. Meanwhile, I will complete the registration for an IBKR account and post my margin. This transition also gives me a needed pause in my trading, especially after experiencing the 13 percent drawdown.
TMT
Hit stop-loss:
Four ZCH5 contracts sold at a price of 478.0.
This was my last holding. I’m completely out of the market. Currently facing a 13 percent drawdown.
Checklist:
Was it a planned trade? Yes.
Did I stick by my rules? Yes.
Am I back to a calm state? Yes.
Mind reset… Done. On to the next trade.
TMT
Hit stop-loss:
Twenty-two M6BH5 contracts bought at a price of 1.2377.
Checklist:
Was it a planned trade? Yes.
Did I stick by my rules? Yes.
Am I back to a calm state? Yes.
Mind reset… Done. On to the next trade.
TMT
Hit stop-loss:
Nine MCLH5 contracts sold at a price of 74.24.
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A promising trade turned into a loss. Sigh.
Checklist:
Was it a planned trade? Yes.
Did I stick by my rules? Yes.
Am I back to a calm state? Yes.
Mind reset… Done. On to the next trade.
TMT
TMT
Experienced a lot of whipsaws lately. This song came in handy to remind me of the important aspects of trend following.
TMT
Hit stop-loss:
Nine M6AH5 contracts bought at a price of 0.6275.
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Seriously, these FX futures trades are bleeding me out.
But as Yoda would say, follow the rules, I must.
Checklist:
Was it a planned trade? Yes.
Did I stick by my rules? Yes.
Am I back to a calm state? Yes.
Mind reset… Done. On to the next trade.
TMT
Hit stop-loss:
Four 6CH5 contracts bought at a price of 0.70025.
Checklist:
Was it a planned trade? Yes.
Did I stick by my rules? Yes.
Am I back to a calm state? Yes.
Mind reset… Done. On to the next trade.
TMT
Hit stop-loss:
Four M6EH5 contracts bought at a price of 1.0405.
Checklist:
Was it a planned trade? Yes.
Did I stick by my rules? Yes.
Am I back to a calm state? Yes.
Mind reset… Done. On to the next trade.
TMT
The Mechanical Trader 