You're listening to the Option Alpha Podcast from Option Alpha.com where we show you how to make

smarter trades learn how the stock market really works and generate consistent monthly

income. Now your host and head trader at

option alpha.com Kirk depluses.

Hey everyone this is Kirk here again at option alpha.com working every single week to make this the most

popular investing podcast offered in iTunes and online because it's based on one thing and one thing only

and that's helping you make smarter trades. So thanks so much for tuning in here again today and I've got a really quick episode hopefully

today to kind of cover a topic that I get a lot of questions on and it doesn't really apply

to us meaning that as an options trader and is not a day

trader and what we do. We don't usually tend to run into this a lot, but I've been getting

a lot of questions about it lately and I wanted to do a quick show to cover it because I think it's an important topic and again you can do your own digging after this.

So the thing that we're going to talk about here today is pattern day trading rules or being labeled

as a P. D.T. which is a pattern day trader.

Now the first thing I want to tell you is that this rule only applies for accounts with less than $25,000 of equity.

And really, anyone who is an active trader.

So I don't even think any people who are not active traders

will be even listening to this podcast,

but if you are and you're not an

active trader meaning you don't make trades all the time and especially don't make day trades

then it doesn't apply to you if you've got more than 25,000 dollars of equity in your

account it doesn't apply to you it's only for anybody who it's going to $25,000 of equity in your account.

It doesn't apply to you.

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