ETF are low risk for daytraders and investors and you don't see 50% gap downs overnight...and more difficult for market makers to manipulate and trade against retail daytraders.
$50,000 just to daytrade? there was a time when there was no PDT and anyone can daytrade with no minimum $$$ to daytrade.
i guess they need more cash deposits and short on cash. 80% cash deposited don't leave ...and the brokers use the excess cash too to trade their own account,,they aren't supposed to but i don't see how anyone can enforce the rule of broker not able to use clients exccess cash to trade their own account.
it comes down to this ,,there are fewer traders/daytraders or market participants..and to maintain the cash level at the market,,they just increase the minimum cash required.
there is like half the number of market participants in terms cash and numbers or volume than before.. when traders see less volume less orders.
cash is the lifeline of the market without cash there is no transaction.
you can't trade or open an account without cash..i think this increase in min. to get more liquidity or cash into the market..many people don't have $75,000 cash laying around and if they do get it's usually borrowed money...giving the sad statistics of traders or daytraders in retail...if they blow up their account they would be in debt and owe money..
don't lose money you cannot afford to lose..being debt is bad for the mind. or don't lose money you don't have . its a sad statistics but 80% of accounts lose money for whatever reason..even pros blow up.
Quote from Airwaves:
D'oh.
I've been witing for about 3 years for the PDT rule to be removed, not have the minimum A/C balance increased!! lol
