Still think TITNC3: Return of the Iceberg was peak

Nope, I never ask for receipts at that gas station. If it was more than $3 I’d try to get it.

 

LOVE THE TITLE.

 

Yea that confirms what I said. Funds have to be settled. Let’s say I deposited $1,000. Once it settled, I have $1,000 for the day. I but some calls for $200. I sell those calls an hour later for $400. I now have a portfolio balance of $1,200, but $800 of settled funds to continue to use that same day. The next day, the sale of that first trade will settle and I will have the $400 to use again.

 

That’s if you’re talking shares. Options are T+1 so they settle next day.

 

Only if it’s margin.

 

If I sell shares, I can immediately spend that money on something else. I have no margin, I don’t know if that affects anything.

 

Right. But if you sell that something else before the original funds have settled it's called a Good Faith violation.

 

I know, we won’t talk about how I found that out.

 

Probably the same way I found out I was a PDT. Woke up to a margin call on my non-margin account. lol

 

I woke up to some emails and alerts on my account.

 

That’s why options are so much fun. They settle same day next day the money is available

 

Who is your account with? Pretty sure my TD Ameritrade account “Cash available for trading” doesn’t include my sold shares funds until they’ve settled a couple days later.

 

Merrill Lynch

 

Read above, you can buy with that money, but you can’t sell what you bought with it. It’s confusing until you get a violation then you’re forced to learn it.

 

I’m not sure which post above you’re referring to. I did see your post that said “If I sell shares, I can immediately spend that money on something else. I have no margin, I don’t know if that affects anything.”
Well I can’t do that in my TD Ameritrade cash account, I have to wait until what I sell settles before it gets included on “Cash available for trading” before I can use that money to buy something else. Once it’s cleared I can buy with the funds.


You may be making a point about some other post, I’m just not clear on what you’re saying.

 

I don’t know, I’d look into other brokerages because that’s not how it is at other places.

 

But Im not the one who got a violation, I like where I am

See links in my post #56410 regarding the risk of violations using unsettled funds in a cash account.

 

I don’t agree with this assessment. It’s difficult to find documentation but I have never had a margin account. I got day trader warnings before I had 25,000 now that I’m over 25,000 I do not get a trader warnings. You Must have 25k in value to execute more four in and out trades in five days.


https://investmentu.com/how-to-remove-pattern-day-trader-status/

 

Weird. But not according to everyone and everything I’ve seen.