- A day trade is the purchasing and selling or the selling short and purchasing to cover of the same security on the same day (including pre- and post-market) in a margin account except for:
- A long security position held overnight and sold the next day prior to any new purchase of the same security, or
- A short security position held overnight and purchased the next day prior to any new sale of the same security.
Do the Day trading rules apply to options and futures?
Will “Pattern Day Traders” be required to have a margin account?
- Yes, all Pattern Day Traders must have a margin account and will be required to maintain $25,000 equity in order to continue Pattern Day Trading.