This happened to me when I first started trading some years back with optionsXpress. I started with less then 25k in the beginning and fell on the same rule. The way around it is to open up another account with the same broker and transfer funds or positions to the new account. This will save you time instead of having to send it to your bank and then move it to another broker with a new platform you may not be familiar with. If you have more then one account you can switch it back if you hit that rule again in 90 days. Hope this helps
Blocked from trading by 'Pattern Day Trader' restriction...
- Thread starter Xenomorph
- Start date
Last time explanation. As I clearly mentioned in my last explanation, the broker will lend you money to open a new position but you cannot sell that position before you pay what you borrowed which will be 3 days after your first sell trade settles and your money becomes available to pay the money that you borrowed from the broker to do your second trade.
The broker does not lend money in cash accounts.
Oh my God, you are hilarious. You made my day. Who was talking about cash account ?
We are talking about accounts less than 25K which cannot day trade (more than 3 in 3 days).Oh my God, you are hilarious. You made my day. Who was talking about cash account ?
No, we are talking about closing and opening position (not necessarily of the same stock) the same day in cash account that has 0 cash in it.
Have you thought of doing your day trading at a prop firm? You can start with $10k (some $5k) and there is no PDT and increased leverage for more buying power. Just a suggestion.
I think I'm just done with equities. I was hit by an overnight gap (gaped strongly down at open) about 2 weeks ago that robbed me of a fat profit. Then, a few days later I was hit be yet another overnight gap that robbed me of yet another profit. And... now the T+3 bullshit. I think I've had enough. I've decided to move on to futures or forex.