Again this rule will only effect traders who trade leveraged ETF's. The standard 25K PDT (which in itself is stupid) isn't changing. -Guru P.S. Geithner said no to a FTT again today...
My broker, TradeStation, increased the day trading margin from 25% to 60% for 2x (UYG, URE), and to 90% for 3x (FAS, DRN), but never told me anything about PDT going from $25000 to $50000 or $75000. How does this work. If you put on a trade in URE for example, do you need at least $50000 in your account while the trade is on? I cannot find anything on the FINRA website. As of today I am still able to trade UYG and URE with less than $50000 in my account.
Good points, LG. As you already said, this thread title is very misleading. Would add that I'm a bit surprised that this PDT crap hasn't landed in the supreme court yet.
the minimum is going to stay at 25k for day trades ..however, in order to have a day trade account,you must be licensed with a series 7.this is what they are poushing now and i am hearing it is getting support big time. someone at the major brokerage firm said it. the brokerage firm is pissed because they make money off individual accounts but they are lobbying hard witht he hopes of ending all the "wild west" style trading. this is brand new and i am just hearing about it. also,ALL LLC's will need ALL Licensed traders,no more loop holes with hedge fund structures ect... the days of an aveage JOE opening an account with 25k and then day trading are over unless he is licensed. this sucks.. the good news is they will only need a 7 not all the other bs.
but a bit stupid, there are many foreigners with day trading accounts too? all have to take the 7? this dosent make sense
Geez Zdreg. In the context of who this rule will effect, the traders being referred to are retail customers. You're trying too hard. You're such an attention loving drama queen. Explains why you wrongly titled your thread. And that's being kind, giving you the benefit of the doubt.