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Strategies & Market Trends : DAYTRADING Fundamentals -- Ignore unavailable to you. Want to Upgrade?

To: shneed who wrote (10043)	9/2/2000 2:51:05 PM
From: Wayners	Read Replies (1) \| Respond to of 18137

Your broker is extending credit and they can probably get away with interpreting the rule like that if they want to, however their interpretation is not competitive with the vast majority of brokers out there. If they are not letting you trade the same money 60 times a day without any single position exceeding your daytrading buying power, essentially what they are saying is we aren't extening credit for daytrading and that daytrades are non-marginable at our firm. You can get the same treatment in a cash account. I suggest you change brokers as soon as possible. I use direct access broker JPR Capital and use Realtick software. jprcapital.com. $10 a trade--cheapest direct entry broker out there although I think MB Trading just dropped their comissions as well. Also for Realtick software see taltrade.com

To: shneed who wrote (10043)	9/2/2000 3:41:00 PM
From: Wayners	Read Replies (1) \| Respond to of 18137

I would send a letter to your broker explaining that their interpretation of Rule 2520 is: a) inconsistent with the interpretation by 95% of the brokers out there b) effectively reduces their commissions by a factor of 95% or more for the short term from day trading without changing their exposure to risk whatsover. c) will result in the loss of traders to other firms in the medium term d) will result in your firm being out of business in the long term for non-competitive practices I assume your broker up to now has allowed 60 trades per day using the same capital again and gain and that up to this point they've kept their yaps shut. Seems to me that if they didn't enforce their own policies and procedures up to this point that they would have a weak argument in court. I also assume that they didn't send out any new notices to customers on their "new" interpretation of Rule 2520.