When you are working with a small account, I believe you must use small size to keep from getting wiped out. Regardless of your style or technique, commissions and fees become critical in this scenario. I didn't see who you use for your broker, but I think using a broker with low per-share pricing is mandatory. If you have some consistent success with small size and get back over 25,000, you will have 4x margin. This will allow you to trade $100,000 worth of stock, and you should have a legitimate shot. Good luck.
yes, the rule does suck. send complaints here: chairmanoffice@sec.gov and here is a good article to read from the guy who runs datek: http://www.sec.gov/rules/sro/ny9948/nicoll1.htm
Down not out Have you considered futures at all? I was in the same position you are and was very reluctant to trade futures but jumped in out of frustration with the 25k rule. I absolutely love it. Your choices are limited but there is plenty of action and you can do a hundred trades a day with a $2000 account if your so inclined. I felt like I got out of jail when I moved over.
Waiting for optimum setups, mitigating churning, patience in letting the trade come to you -- these are all things that should be done whether you have < 25k or over 250k. Success breeds sloppiness, while adversity can be the greatest teacher (I posted this to remind myself more than anything else)
An other solution. You can day trade with less than 25k$ with this broker ( direct access broker using Insta quote which is a good platform) http://www.whexpert.com/aboutus.cfm The trick is that they have open an account with the sum of small accounts but for the user it is clear. Commissions are a little bit expensive but it is the price to DT without 25K$
I agree with easyrider about the futures markets. I just wanted to say though, that I think there is a rather steep learning curve with the index futures at first. Be prepared mentally to lose a bit more of your money before you figure out the game.
If you only want to trade LONG three times per week try this. If you use a charting software go hunting for the stocks that have unfilled gap down and high percentage drop for the week. Out of those look for the ones with the strongest reversals (or up trend) on the charts. If you know how to use Fibonacci 38.2% and 50% lines draw them on the 30 or 60 min chart for the up trending stocks out of the bunch. If there is no bounce at the 38.2% wait for a significant reversal at the 50% if there is no reversal at 50% avoid taking a long position on that stock. Tight stops and small positions recommended. This will give you a good starting point for what stocks to chose from for your trades on Monday. Good Luck, PS: This has worked for me consistently, the only thing is that you must be willing to hold the position overnight and beyond.
get a second job to raise 3000. Dont worry too much about being out of the market. It has always been there. Youll get your chance again...just dont blow what you still have.
It might easier for others to help you if they knew more about you. Your thoughts, beliefs and style of trading play a big part but without knowing anything about you I can't say too much. Curious why you want to be anonymous? Robert Skynet said it right too 3000 isn't too much just get a 2nd job for a month or 2.