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Fastest Way to Trade Stock on Tastyworks | Active Trader Tutorial for Day Trading
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Dec 17, 2022
In today’s video we’re going to learn how to use the active trader on the tastyworks platform. This tool is probably the fastest way to trade stock and futures, so for those of you day traders out there, you may find this useful. ➤ Open a tastyworks account: https://start.tastyworks.com/#/login?referralCode=PKSKCFVD2J ➤ Start Investing with M1 Finance: https://m1finance.8bxp97.net/151KXm Disclaimer: Some of these links go to one of my websites and some are affiliate links where I'll earn a small commission if you make a purchase at no additional cost to you.
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Hey everyone, welcome back to the Tastyworks tutorial series. In today's video, we're going
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to learn how to use the Active Trader tool on the Tastyworks platform. Now, for those of you
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not familiar with this tool, it is probably the fastest way to trade both stock and futures in
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the Tastyworks platform. So for those of you day traders or scalpers out there, you guys might find
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this tool incredibly helpful. So jumping right into the tutorial, in order to actually access
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this tab, we simply need to come up here to the trade page, second tab at the top. From there
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you simply need to make sure you've got the active trader tab selected up there at the top
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Once you've got it opened up, you're going to see a page that looks a whole lot like this
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And breaking it down from left to right, you're first going to see a tools menu there on the left
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hand side. Just to the right of that, you're going to see a long list of companies, which is just the
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current watch list that we have selected. To the right of each of those symbols, you're going to
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see a column marked position, which just tells us do we have a current position and how many shares
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or contracts do we hold. To the right of that is the basis column, just telling us what price we
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actually hold these contracts or shares that. And then to the right of that, we can see the net
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change column telling us how much these contracts or stock are up or down for the day. And then the
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current bid and asking price for those shares. Also, it's important to mention that whenever you
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want to buy or sell shares or contracts using this tool, you need to use the bid or ask columns
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Whenever you click on those, that's how you generate an order ticket. So looking at Corsair
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here, you can see it is up 75 cents today. And if I were to click on the current asking price
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$2,206, it generates a buy ticket. If I were to click on the bid price, it generates a sell ticket
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But don't worry, we're going to go through plenty of examples to make sure you guys get the hang of
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this, but we'll go ahead and clear this out for now. And starting with the watch list itself
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in order to change the companies that we're looking at or the future symbols we're looking
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at, you simply need to come up here to the upper right-hand corner where it currently says watch
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list. From there, you're going to see a drop-down menu, and right now I've got the options watch
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list selected, but if I were to click on that, you can see all of the other watch lists that
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are possible for us to use. That's going to include the ones that Tastyworks has made for us
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as well as ours down here at the very bottom. To change this thing, all you have to do is find the
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one you want to go to, click on it, and now I've got a long list of future symbols that I could
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trade. If I wanted to go back to my watch list, we're just going to come back up here and click
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on options once again, and now I've got my list of companies down below. Moving on from that
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if we come over here to the left hand side, this little side panel of tools, this is where we're
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going to set up a lot of the defaults in terms of the order types that we get sent out here
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Now, starting at the top here where you currently see safety and right now it's got on right below
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that. When you've got on selected, that simply means we are still getting order confirmations
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If you were to turn this off, anytime we actually click on the bid or ask in this column on the
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right hand side, an order ticket would be instantly submitted. So I definitely would
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leave the safety turned on until you are incredibly comfortable with this tool, until you know exactly
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how it works But once you get the hang of it and you want to get in and out of stock or futures very very quickly turning off the safety feature will make getting in and out much more quick But again the safety feature just turns on or off order confirmations
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Right below that, you can see the order type that we currently have selected, and right now limit is currently selected
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And that simply means anytime we were to click on the bid or ask column, a limit order is going to go out there
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So right now, if I were to look at AMD on the right here and click on the current asking price
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you can see a little box here that says limit price, which just means we are using a limit order. We only want this order to fill if we can get filled
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at this price or better. If we were to come over here to the left-hand side and change this from a
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limit order to a market order, that means we are no longer specifying a price. When we hit send
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that order is going to go out there and fill instantaneously. We are going to get filled at
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whatever the current price is for AMD. If we were to click on that again, you are going to see that
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we've got a couple other options as well, stop limit and stop market. If we wanted to get stopped
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out if things are going against us. We could always flip it to this, but we're going to talk
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about that here in a minute. I'm going to leave it set as a limit order for right now, and then the
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next one down is going to be the time and force box. So basically, how long and when do we want
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this order ticket good for? As of right now, we've got it set as a day order, which simply means we
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only want this order ticket good from 9.30 a.m. to 4 p.m. Eastern time. If it does not fill by 4 p.m.
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just go ahead and cancel the order. If you wanted to change that, you simply need to click on the
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word day here and you're going to see a drop down menu with our other options like good until
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canceled which means try every single day until it fills 9 30 a.m to 4 p.m right below that you've
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got good till date which is very similar to good until canceled except you set kind of like an end
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date for it if it hasn't happened by let's say february 15th just go ahead and cancel it that'd
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be a good until date order now the last one below that is an ext order or an extended session order
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that simply means it's going to be good for the pre-market and post-market as well for this one
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we'll just leave it as a day order and then the next box down which right now says quantity tick
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and right now I've got one in there that simply means how much we want to change the quantity by
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every time we hit the little up or down arrow over here on the right hand side of the order ticket
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right now with my quantity tick being set as one that simply means anytime I hit the up arrow it's
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changing it by one share at a time if I hit the down arrow it's changing it by one share at a time
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if I were to change that quantity tick to let's say 100 if I were to hit the up arrow it's going
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to change it by 100 share increments. If I were to change it from 100 to 200, it's going to change
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it by 200 share increments. The next one down price tick is pretty much exactly the same, but now it's
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intended for price. So at the moment, I currently have a one set offset right there. So if I were to
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come over here to the current price for AMD, and if I were to hit this up arrow, you see it changes
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by one penny increments. If I were to change that price tick box to let's say five cents, when I hit
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the up arrow it's going to change it by five cent increments. Now the last one down at the bottom
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there that says PR off that the price offset So as of right now you can see my current price offset is So if we were to let say clear out the order on AMD here and let instead look at
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Disney. In this case, you can see Disney right now is trading for $1.52.81 by $1.52.85. If I were
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to click on the current asking price right now and enter a buy ticket, the price that opens up
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in this box is going to be $0.05 below this price, and that's because we currently have a $0.05 offset
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If I were to change that offset to, let's say, a whole dollar, you can now see the limit price in
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this box is $1 below the current asking price. Now, that would be exactly the same if I were to click
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on the bid price. It's going to be a $1 offset. In this case, you can see the limit price offset
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is going to be $1 above since we're selling this time. If I were to change that back to $0.05 and
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let's instead go to Corsair, you can see the current price is $2,206. Again, if I were to click
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on this, the box should say $2,201. And you can see it does right here. $2,201, $0.05 below the
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current asking price. Now moving on from that, let's actually place a couple trades here just
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so you guys get the hang of how to do it in here. For this first one, let's say we were looking at
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Palantir. And down here below, you can see I've got one share of Palantir that I bought for $14.05
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a share. In this first example, let's just say I wanted to buy one additional share of Palantir
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So we're going to come over here to the right, click on the current asking price, $1,407. From
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From there, you can see the order ticket pops up. And right now it says I want to buy one share of Palantir at $14.07, now $0.06
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If I wanted to change the price I wanted to buy it for, of course, I could always use this little up or down arrow
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And right now my price ticket is sent to $0.05, so let's change that back to a penny
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And now when I come over here to the arrows, I could always drop this down if I wanted to
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Or I could, of course, highlight it and just type in a number that I was willing to pay
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In this case, we're saying $13 a share. Now the final way to adjust this is with this little flag over here on the right hand side
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You could actually just drag and drop that where you want to place the order. You can see I just dragged it down to $12.84
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I could always drag it back up to $13.04. Now once I'm happy with this, I want to buy one share of Palantir if it ever drops down to $13.04
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And I want to hit send. Let's go ahead and submit the order. Once I did that, you could see the order ticket pop up in the upper left hand corner
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But we could also see it down here below in the order ticket. Right there, it says I've got a limit order out there
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It says to buy one share at $13.04 on the far right-hand side
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If I wanted to edit that order, I could always come over here to the current price, $13.04
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and let's say I wanted to bump that up to $13.05. I could just hit the little up arrow there
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You can see my order just got edited to buy it at $13.05, and over here on the right with this little flag
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I could always drag and drop this as well to replace my orders. If I change my mind on Palantir, I no longer want to buy an additional share
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I could of course come down here to the little X button and cancel this order ticket
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To do this on a futures contract it is exactly the same So if I wanted to buy let say an S Mini I could come up here to ES On the right hand side I can see it currently going for by If I wanted to buy that
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contract, I would simply click on it, and I've got an order ticket now to buy one contract at $45.64.75
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You'll see the little buy flag down here below, just like before, which I could, of course
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drag and drop where I actually want to place this limit order. And you'll also notice a little
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informational column on the right hand side, which although isn't very helpful for stock
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can be very helpful for futures. So there we could see the last traded price for ES
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the net change for the day, and the percent change. But then right below that, where futures can get
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a little bit more confusing than stock is the minimum tick size and the actual notional value
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So in this case, it's saying ES moves in 25 cent tick increments. So that's the smallest increment
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it moves in. Right below that, it's selling us a one point notional value would either make us or
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costs us $50. So if ES moves up one point, let's say I bought it for $45.60 and it moves up to $45.61
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I would make $50 assuming I had one contract. Right below that, it even tells us how long
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until this contract expires. In this case, we've got 36 days left on it. But again, you can see
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some good info about the futures contract right here. Now getting out of this for a second
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if we came over here and changed the order type, let's say we wanted to flip this from a limit
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order to a stop order. And right now we're going to use stop market to start off with
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From there, you're simply going to place the order just like before. So in my case, I currently have one share of Palantir at $14.05
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Let's say I wanted to get out of Palantir automatically if it ever dropped to $13
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because I didn't want to lose any more money. Since this is going to be a sell stop
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we need to come over here to the current bid price for Palantir and go ahead and click on that. From there, it opens up an order ticket to sell one contract of Palantir at $13.95
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That's our current stop activation price. Now, in our case, we said we only wanted to get stopped out
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if it dropped down to 13 bucks. So let's go ahead and highlight that and type in 13 here
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Once we hit enter, you're gonna see it actually drops all the way over here on the right
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and we'd have to scroll down quite a bit to see it. But if we wanted to actually place that
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we would just hit send order. And now you can see I've got that current share here
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but I also have a stop market order to get me out at 13 bucks
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If I wanted to drag and drop that, I could do it just like before. If I wanted to move my stop up or down
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I could always drag and drop it. Now my stop's at 13.8. And then to cancel it
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if I didn't actually want this to go out there, we'll just hit the X button over here on the right
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hand side. But honestly, that's it. That's just about everything you guys need to know to get
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started using the Active Trader yourself on the Tastyworks platform. If you guys do have any
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additional questions for me or you have a special video request, just let me know down below. And
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also, if you guys want to learn more about Tastyworks, be sure to check out some of my
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other tutorial videos. I'm sure you'll find something in there that you find useful. But
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we're going to go ahead and wrap the video up here. I hope you guys all have an amazing rest your week and I'll catch you all on the next video
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