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LAKE2U

$36.00K

Jan 20

DT margin calls
Hey I wanted to get some insight from folks on AH on exactly how a Day Trade Margin call can be resolved on Webull. A Day Trade margin call occurs when a trader say ended the day today with an overall balance of cash and equities of 20k, then tomorrow perhaps un knowingly makes a Day Trade that exceeds their daily “Day Trade buying power” that would be determined by their overall account balance EOD yesterday, so in this case the Day trade buying power is 20k. Does anyone have insight as to what happens in the scenario where options swung from the day before say were worth 20k at close, but worth 40k the next morning when they were sold, and later that day a day trade for say using $26,000 was made exceeding that traders Day Trade buying power and causing a DT margin call for $6,000.00 although the funds from the swing options from the night before sold earlier that morning add another $20k in profit to the account???? Would the DT Margin Call then be cleared up once the funds from the earlier trade settle? Being as the DT Margin call would only be for $6k from exceeding that days daily Day Trade buying power by $6k? Any and all insight is much appreciated, I think it’s important for each individual trader to understand EXACTLY what they are doing at all times to avoid be caught up in a similar situation that could have easily been managed and avoided had they of had a proper understanding of the rules. Thank you!!
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