If i want to fund my account with $2000 every 6 months for 6 years...and thats what it takes for me to learn on my own...then why are the rich able to stop me? protecting me? thats my choice! I made the choice and im willing to stick with it. Its more like its protecting them...u know why, because maybe word will get out that the debate is over....TA wins over FA....good news...you dont need analyts to make recomendations....you dont need to pay a broker an arm and a leg for an opinion (of course he wants you to buy) They just want to keep their elite club going....no one likes brokers anymore....they'll only fleece you...we'll all learn TA and think for ourselves thank-you very much. BUT they dont want that. We dont need them and last thing they need is a buncha joe schmoes going around saying "Hey...drop yer broker...Im trading for a living and i started with $2000 and you can too" (Disclaimer: results may vary - the $2000 is an example...it may be your first $2000 or it may be your 7th $2000 before you're profitable, but good for you for sticking with it and you didnt have to come from money in the first place) my thoughts and frustrations.....we finally have cheap commissions up here in Canada (try $60 rt before) with IB, but IB chose to set up in Quebec where the rules are the same as in the US. If they had've setup in Toronto I probably couldve traded all i want. LP
I don't think there will ever be a time when we will see less lawsuits of any sort! But the sec is trying to show that they are being proactive and protecting the little guy...but cutting him out...again, it really is a stupid rule because somebody with no experience can jump right in as long as he has his $$...But the bottome line is that there were some many complaints by traders/investors who said "i didn't know what i was doing or how much i was paying" now they have to have sufficient capital and sign the daytrading risk letter.
I would also like to say that brokers such as IB has done a good thing in the way they wont let you trade without completing the online quizzes etc. Theres no way you can say "I never knew" or "you idiots, you're responsible". Those of us that agree that we cant blame our brokers and have to hit the books to learn should be allowed to trade even if our our daddy's dont make much money. If the brokers are so smart...where were they went it was obviously time to sell....i didnt get a call when Nortel fell through its 20 week EMA...did you? Why? Because im not their biggest customer? Was their biggest customer told to ride it out anyway? Its not worth calling the guy with $2000 in his account is it? No those guys are the "buy and forget" guys. I should be able to decide when I want to buy or sell. Simple as that. They probably think the little guy is hurting the economy with all his buying and selling when the big money is doing that and more. The playing field isnt level....it would be level only if everyone....i mean everyone was subjected to the PDT. LP
I hate to break this to you ....but everyone is subject to the daytrading rule....who is exempted from it? Prop firms as everyone keeps mentioning, ARE NOT EXEMPT...they are merely letting you trade a sub-account of a larger account threat has over 25k equity....AS far as the quiz on IB new accounts, That's a wonderful idea however Im sure Ib would tell you what I already know: all the disclaimers in the world mean nothing with the right lawyer...It sucks i know, but that's the way it is...I had people sign separate risk letters in addition to the standard risk letters...but then they sued anyway because " i didn't know what i was signing"
I can see where you're coming from....but dont get 'legal' on me. OK, OK...no one is "exempted" from it, but you know what I mean....those with $25k ARE IN EFFECT exempted....they CAN make more then 3 DTs per 5 days. Thats what the debate is about, right? Everyone's equal but some are more equal than others , right? Y'all wanna make it equal and no one's exempted...then joe richman should'nt be able to make 4 DTs in 5 days either....then it is level and no ones exempted. LP
Right on, everyone. The PDT rule is unconstitutional and needs either to go away completely or to be fixed.
joe richman isn't daytrading....the rule is there to separate people who are giving it a whirl and true professionals...i like some aspects of the rule but i dislike a lot of other aspects...experience should count more then net worth. as far as being unconstitutional, i don't think so but i do believe it will be challenged eventually.....but it won't work.
LOIS Just out of interest Ameritrade is opening for business in Toronto on Monday. With them and IB bringing rates down, I wonder how long they will last before the banks squash them . Look how Sprint changed long distance compared to Bell but now Bell is pulling strings and Spint is choking in Canada.
I've got my copy of the Constitution here in front of me, but I can't find the section guaranteeing your right to trade. I'm sure that you are correct, but could you direct me to the Article(s) covering this issue?