Can someone explain this to me?

Discussion in 'Trading' started by cashclay, Apr 8, 2016.

  1. cashclay

    cashclay

    • Your account is exceeding 6:1 margin during intra-day trading (9:00am – 3:30pm) EST
    • Your account is exceeding 2:1 margin beginning at 3:30pm EST
    sORRY Im still new to trading and not quite sure what this means. How could i exceed a 6 to 1 margin? Wouldnt the platform not allow this? Wouldnt the broker tell me that i have insufficient funds?
     
  2. cashclay

    cashclay

    By the way this is suretrader
     
  3. Turveyd

    Turveyd

    Losses push the account below 6:1 maybe ??

    Obviously, 6:1 is daytrading only, 25K+ USD account, after 3:30pm over night holding and Margin drops to 2:1, you can leave your account size +80% say on the table if you want to.
     
  4. rmorse

    rmorse Sponsor

    Are you on a broker Nuetral platform? Are you trading options? They should be able to monitor buying power for equities but options are harder because they use cash value not risk.
     
  5. rmorse

    rmorse Sponsor

    6:1 is PM margin and you need a much larger account for PM than $25k.
     
  6. Turveyd

    Turveyd

    I thought type, as in 4:1 most likely, so he's likely got 100K+++ invested and he's a newbie.

    Feeding time at a the zoo if so!
     
  7. rmorse

    rmorse Sponsor

    I just checked out the Sure trader website. They are an off shore company and not a FINRA Broker Dealer. I'm not familiar with the securities laws in the Bahamas. I'll stick with SIPC member broker dealers that are SEC registered with FINRA as their SRO. And, they can't take USA based accounts.

    Swiss America Securities, Ltd.
    Licensed by the Securities Commission of The Bahamas to carry on the business of a Broker Dealer and Investment Advisor.
     
    Chubbly likes this.
  8. cashclay

    cashclay

    Well there is no pdt rule suretrader so its 500 usd min for account opening.
     
  9. cashclay

    cashclay

    Im trading solely in single stocks; no options or anything like that. I just asked suretrader and they told me i have to makje the calculations which seems very odd to me.
     
  10. cashclay

    cashclay

    I just didnt understnad how someone could exceed the 6 to 1 margin. I would have assumed if im assuming correctly in this matter that the platform wouldnt allow the transaction to go through; like it does on every other platform.
     
    #10     Apr 8, 2016