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754141 No.754141 [Reply] [Original]

So i'm currently using robinhood to trade, but i want to get into much smaller investment times. i know there is the T+3 rule, that says you have to wait three days for your funds to settle before using them again, but i want to know if there is anything to get around that. are there different kinds of trading accounts that would let you trade as often as you want?
>inb4 noob question, i know

>> No.754153

you can use another broker, apply for a margin account ($25k+ required), and you can trade intraday as much as you want.

>> No.754155

Plus500 lets you trade as much as you want. But they pretty arbitrary rules on scalp trading, meaning they can seize your profits if you forget about them.

>> No.754175

https://www.nerdwallet.com/investing/best-online-broker

>> No.754216

>>754153
Can anyone explain why margin trading would be helpful for intraday trading? is it just a different type of account that will let me do that?

>> No.754234

>>754216
when you have 25k you can interday trade freely

>> No.754285

>>754216
Because you can't trade on unsettled cash, if you try to pay for a stock on unsettled cash the SEC will suggest your broker hit you with a 90day restriction so you can't even use a margin account.

I know this because it happened to me, said I freeloaded.

Margin lets you day trade because you circumvent that law by paying for stocks using debt instead of unsettled cash. Using debt to pay for purchasing stocks is legal.

If you day trade a LOT it shouldn't even collect any interest, maybe a few cents but its not worth worrying about.

Also note that you need 25000 to even have a margin account, which sucks ass.

Thats why I realized I am stuck with just picking a good stock hopefully once or twice every 3 days.

>> No.754287

>>754153
this
>>754155
>Using a broker based in isreal, or not in the US
>not even once
>>754216
It's literally this >>754234 simple.
Trading with unsettled funds requires a margin account.
A margin account only requires 2k.

HOWEVER

Have a $2k margin account still limits you to 3 intra-day trades in a 5 rolling day period. Any more intra-day trades and your broker will suspend your account until you meet their PDT (pattern day trader) requirements. In the US, that requirement is $25,000 cash.

So. Get 25k, preferably more to have a loss buffer. Cancel your hoodrobbin account. Open a margin account with an online broker based in the US, if that's your residence. Then proceed to lose ALL of your money day trading. Have fun Opie.

>> No.754291

>>754285
>Also note that you need 25000 to even have a margin account, which sucks ass.
Incorrect.
You need 2k to have a margin account. Unless the broker you're referencing has more strict rules.
You need 25k AND a margin account to be classified as a PDT without being suspended, enabling you to trade with unsettled funds.

>> No.754320
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754320

>>754155

> Plus500
> Israshit shill factory
> Maximus Hooknosicus