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$25,000 minimum for daytrading needs to be changed
- Thread starter Nostradamus357
- Start date
Quote from Kassz007:
I don't buy this. While I would agree that underfunded traders normally (but not always) lack a certain understanding of markets/trading, they should be able to spend their money any way they want. I don't know anything about speedboats, but if I want to spend all of my money on one, I can.
There may be other viable reasons for the minimum $25K, but simply to protect the trader from wasting money on something because they are "undereducated" is total BS.
25K is nothing, thats like playing the nickel slots. Seriously if you cannot scratch up 25K to pattern day trade it probably means you have poor money management skills and will suck at trading.
Quote from Jackshark:
Yes, the PDT needs to be raised. It's has saved much heartache and loss from the gambler class. If you don't gave the chips stay out of the game.
You know, the idea that traders have (otherwise trading would be pointless) are that markets are inefficient. For them to be inefficient there need to be inefficient traders.
No trader in their right mind would be in favor of the PDT rule because it decreases efficiency of the markets. Perhaps only marginally so, but still.
Quote from noob_trad3r:
25K is nothing, thats like playing the nickel slots. Seriously if you cannot scratch up 25K to pattern day trade it probably means you have poor money management skills and will suck at trading.
Exactamundo. Well stated, it's funny watching the poor pikers post about the PDA when it's obvious the real reason is they don't have money.
Quote from Locutus:
You know, the idea that traders have (otherwise trading would be pointless) are that markets are inefficient. For them to be inefficient there need to be inefficient traders.
No trader in their right mind would be in favor of the PDT rule because it decreases efficiency of the markets. Perhaps only marginally so, but still.
you are right in that theory on some levels but if you have a bunch of undercapitalized pattern day traders borrowing on margin and blowing up it puts firms at risk. and then more bailouts.
$25.000 to daytrade stock, meaning you are trying to make a daily living trading stocks is way too less. I would try $100.000 using the current leverages.
Me thinks there's some trolling going on here on this thread.
But, be that as it may, what if the government told you that you were spending too much money going to Walt Disney World every year? Wouldn't you tell the government that it is your money and you'll spend it how you damn well please?
BTW...Has any of your government officials told you how many lottery tickets you are allowed to purchase? I think a rule needs to be implemented such that you are only allowed 3 in a five day period. Oh, unless you have at least $25,000 in a savings account.
You can't possibly have more than one brain cell working if you are in favor of a government telling you what you can and cannot spend your money on.
But, be that as it may, what if the government told you that you were spending too much money going to Walt Disney World every year? Wouldn't you tell the government that it is your money and you'll spend it how you damn well please?
BTW...Has any of your government officials told you how many lottery tickets you are allowed to purchase? I think a rule needs to be implemented such that you are only allowed 3 in a five day period. Oh, unless you have at least $25,000 in a savings account.
You can't possibly have more than one brain cell working if you are in favor of a government telling you what you can and cannot spend your money on.
for those futures lovers-i have question-you do realize, that by trading futures you not only trade extremely high leverage instrument,but also stepping into extremely efficient market.
let me repeat this one more time-EXTREMELY EFFICIENT.
mean that you must beat all those HFT's,PHD's, Nobel prize winners and basically best of the best in the whole entire world.
good luck with that. it's very unlikely, that average joe would ever go there. simply because of the leverage and all above..
on other hand-we have stock market-simplest form of betting,understandable for pretty much everyone. you like ipod? buy stock. love walmart-buy stock. the more non pros we have on stock market-the easier for us to make the money.the more people making impulsive decisions-the better. the less efficiency-the better ,more opportunities. it is imo much easier to make a steady, day after day profits on stock markets. at least this is my 10+ years experience with stocks. futures-no thank you. even if i know, that the possibilities are pretty much endless in futures and you can make unlimited amount of money..i prefer slow,but steady way..i trade what i do understand.. ask any stock trader,how he was doing 5-7 years ago? there is a lot of changes been made to purposely remove retail participants from stock market.. there is must be a reason for that..less traders-easier to control and manipulate..futures traders-would you mind to tell us - based on what you are buying or selling?
Thank you!
let me repeat this one more time-EXTREMELY EFFICIENT.
mean that you must beat all those HFT's,PHD's, Nobel prize winners and basically best of the best in the whole entire world.
good luck with that. it's very unlikely, that average joe would ever go there. simply because of the leverage and all above..
on other hand-we have stock market-simplest form of betting,understandable for pretty much everyone. you like ipod? buy stock. love walmart-buy stock. the more non pros we have on stock market-the easier for us to make the money.the more people making impulsive decisions-the better. the less efficiency-the better ,more opportunities. it is imo much easier to make a steady, day after day profits on stock markets. at least this is my 10+ years experience with stocks. futures-no thank you. even if i know, that the possibilities are pretty much endless in futures and you can make unlimited amount of money..i prefer slow,but steady way..i trade what i do understand.. ask any stock trader,how he was doing 5-7 years ago? there is a lot of changes been made to purposely remove retail participants from stock market.. there is must be a reason for that..less traders-easier to control and manipulate..futures traders-would you mind to tell us - based on what you are buying or selling?
Thank you!
Personally, I think that $25k is too low.