Day trader using 100% buying power, how does the moeny settle?

Discussion in 'Trading' started by sarpedonsab, Dec 17, 2009.

  1. As a day trader, if I use the whole buying power Is the money going to be settled right the way into my account?


    If I have 35,000 cash I will have a buying power of 140,000; (105k of margin).

    What if I use the whole buying power (140k) to buy a stock and sell it on the same day, do I still need to wait the 3 days for the money to settle in order to trade again?

    Thank you!
     
  2. If you are unfamiliar with margin rules, I really would not recommend you daytrading.

    Also, if you read up on margin rules rather than asking a question and getting a simple answer, you will learn a lot more regarding margin, don't you think ?
     
  3. In a margin account you do not have to wait 3 days for the funds to settle. You can buy again with your full buying power the next day.
     
  4. +1 leave and run... go spend some money in vegas, they have exclusive offer now :D and come back when the dust will be settled...
     
  5. niteowl8

    niteowl8

    The short answer is --> YES - you can buy and sell your whole buying power ALL DAY LONG.

    Just make sure that your trades are net profitable! :D