I remember getting 25-1 margin with a 10k deposit. There were all kinds of ways to circumvent that pattern day trader rule. Is this still prevalent?
It does not “circumvent” the PDT rule. The PDT rule only applies to customer accounts and the prop firms you are speaking of are Firm/BD owned with net Capital exceeding $1mm. Yes, there are a few left for equities. How long does the average trader last with first loss money of $10k and heavy leverage?
Unless you have magic pills like that dude in "Limitless" (2011), who turned $10,000 into $2.3 M in a matter of few days, you're gonna find yourself out on a sidewalk with a can in that same amount of time if you use 25-1 margin.
Probably less than 90/90/90. @mikal you made a new thread about buying FSLR (?) Heavy leveraged ? Best of luck to you then.
I think he wanted to point out that you could daytrade with 10k instead of abiding to that idiotic rule. You CAN have 25:1 but you also can trade 10ß $F with your buying power. In addition you get better commissions and direct access opposed to working with an individual account with a broker. Con: all the money is pooled, so when your colleague blows up, your money is gone, too
I was just curious. I remember back in the day their were tons. Anyone remember Broadway Trading? I remember we used to laugh at all the pie in the sky new traders who funded their accounts with credit card checks. To be fair, the owner of one of the firms I traded with refused to let a few guys keep losing money and would not take any more of their money. I usually traded from home which is what I do now but with all my own money and I have the flexibility of holding a few days opposed to a few hours.