Definitions

Pattern Day Trading Rule

Posted By: TradersLog

The Pattern Day Trading Rule was introduced in August and September 2001 by the NYSE and NASD. The rule states: “If a trader executes four or more day trades within a five day period then he must maintain a minimum equity of $25,000 in his margin account at all times.”

Enjoying the Pattern Day Trading Rule information? Sign up for the newsletter today and access even more top quality trading related content! Learn More


Email: