Robinhood App – Why Don't You Recommend it for Trading Stocks

The illustration of "payment for order flow" (9:00) is not correct. There's no broker markup. RH receives a rebate from Citadel and other market makers, which either fill the order at the midpoint of national best bid best offer (NBBO) in its dark pool or route it to an exchange with the best price.

With limit orders you get around this issue. I personally like RH. But I am not a trader (speculator), I am a real investor (value, long term). I rarely sell shares. No comission fees allows me to buy dips for free and dollar cost average in the end. Perhaps the only disadvantages are limited customer support and FIFO only for tax purposes.

So… you're telling people they have to use a phone, and thats a downside.. but its not, you can use their website . Just use a limit trade if you really looking for a specific price.

Does the same apply to trading options on RH, and do you have any info or opinion on Firstrade?

Any idea if or when Australia will be able to trade on the RH platform?

I use Robinhood to trade my options, but I do my analyzing and monitoring with my desktop Think or Swim. I like my system but one thing to note about Robinhood is that you can buy an option at any price, but when you sell it back, it only allows you to do so in increments of $.05. For example, if my price target hits at $4.09, it will only let me sell it at $4.05 or $4.10. I've had it not reach that one cent before and turn around quickly on me to go the other way. Just an fyi.

Bro if you donnt use limit orders on robinhood it's really bogus.i think under 5k is enough on robinhood. I'd only do options. Always use the limit orders.

M1Finance is so much better

I'm on it , Dividend Investing 🙂

RH attracts the less educated investor, betting against that trader they will eventually lose their capital on bad investment choices.. that's what i see from friends using the platform

Rh makes money buy selling your trades to market makers therefore they skim from the ask and bid price. They also make money from Rh gold by charging you to use margin.

So what you're saying is if I only purchase limit orders then its fine? That way you are getting the most bang for your buck with Robinhood, right? Speaking to the infrequent traders of course!

Limit orders are recommended with all brokers. Can be done through the robinhood phone app

Got an ad from robinhood before watching this ?

buying a stock with Robin Hood you dont actually own a share, you dont get paid any dividends etc

There's also the web based platform and you can enter a limit buy order.

Uh oh. ?