What is the Pattern Day Trading (PDT) Rule and How it Works

What is the Pattern Day Trading (PDT) Rule and How it Works

The pattern day trading (PDT) rule is a regulation enforced by the Financial Industry Regulatory Authority (FINRA) that affects traders who buy and sell securities in a margin account. The rule is intended to protect inexperienced traders from the risks associated with day trading and requires you to maintain a minimum account balance of $25,000…