When someone says "you need at least x amount of money to day trade successfully," are they referring to after the 4:1 margin rate or not. When I start, I'm going to begin with $30k, which will be $120k margined. I've heard people recommend $50k-$100k as a good starting point, but if that's their contribution and NOT the margined amount, then I'm pretty screwed, huh.
You do realize when you go below $25K you will also lose your 4:1 BP and be limited to 3 trades within 5 business days.
Or they'll lock your account to cash settlement if you fall below $25k and do nothing to satisfy the house call. http://www.daytraders.com/nasdaq_rule_2520.html
Trade Futures my friend. 30K is enough to trade a small account if you have strict risk management strategies in place and a plan.
Absolutely margin included. Plus whatever you can borrow against your credit cards. Nothing focuses the mind with laser-like precision like knowing you could lose everything on the next trade! Stress is your friend, the more stress and worry you have, the better your trading will be. Always bet the farm on the next trade to maximize risk, stress and worry. Those three things are the traders best friends.
Yes, that's why I was starting with $30k. I figure if I lose $5k then trading probably isn't for me and I'll just close my account. Plus, I'd like a safety net cuz if I start with $25k and lose $0.01 on the first day, I'd hate to have my account frozen at $24,999.99. I wasn't planning on getting any margin calls (is that the same as a "house call?") Seriously? Ick. So you're supposed to start with $100k of your own money and begin with $400k buying power? Surdo, I don't really want to trade futures. Ok I have a question about margin: Say you have a $25k account ($100k margin): - assuming no comission and you put all $100k into one position and it goes up 1%, you've made $1000. Do you get to keep ALL that $1000? - assuming no comission and you put all $100k into one position and it goes DOWN 1%, you now owe your broker $1000, right? So your account is now down to $24k. I'm not going to put all my money into one position like that. I was just using extreme examples to help clarify my question. Do you get charged interest on intraday margin? What about intraday short positions? Last question - margin only begins when you excede the amount in your account, right? So if you have $25k, and you buy $24k worth of something, are you then limited to $1k, $4k (your remaining $1k @ 4:1 margin), or $76k (the remaining balance of your $25k margin)? Thanks.
Probably the worst advice I've ever heard on here. Don't listen to this guy......you'll wind up regretting it
Wow....check it out. A punk-ass bitch, know-nothing-about-trading, red-neck, sarcastic "moderator." I'm quite impressed.
Trading futures requires a minumum of deposit of $2,000 to open a trading account & day trading requirements are $750 per contract on avg. Say good-bye to stocks if money is an issue.