That's how much I still need to study and learn about the market I'm trading in...
PDT Rule only affects margin accounts. Because I have a cash account, I can make as many trades in a day/week/month/anytime as I have buying power to cover. If I use all my buying power, I just have to wait two business days for those trades to settle and I'm back in business.
If I picked the right trades, I can celebrate and really relax with those days off instead of kicking myself continuously for losing money for no reason.
I double checked with TDAmeritrade to make sure I wouldn't get flagged and we're all clear. I have to have at least $2K to apply for margin, but I'm not sure right now if that's what I'll do.
Does anyone have an opinion? Should I definitely apply for margin when I can? Or should I keep my money in cash - even with a larger balance?
I'm still very young in this game so I appreciate any input.
Unless you're shorting, cash is fine. the Just limit your trades per day and use half you account each day to have something to work with. I'm going with an off shore broker to get around this. Papertrading at the moment.
TD is pretty bad with shares to short honestly so I actually made my TD account cash and opened a second account with e trade just for shorts so imo cash for TD is fine and the fact that cash makes over trading harder it isn't a bad idea.
All good reminders. Thanks for the feedback. I like the idea of two accounts. Gotta keep trading my account balance up. I'd like to be able to do everything in one place if possible though. Is it hard to watch stocks going way up on one screen/one account, and watching stocks tank and monitoring short sells on another screen/account?
The market moves fast...
Join now or log in to leave a comment