Hey, I'm Ryan Mallory, and this is my swing trading, the stock market podcast.

I'm here to teach you how to trade in a complex, ever-changing world of finance.

Learn what it means to trade profitably and consistently, managing risk, avoiding the pitfalls of

trading, and most importantly, to let those winners run wild.

You can succeed at the stock market, and I'm ready to show you how.

Hey everybody, this is Ryan Mallory with Swing Trade in the Stock Market, and I got a good

episode for you guys today from a person asking about avoiding the

pattern day trader status. How do you avoid PDT? For those of you who don't know what PDT is,

it's a designation that's given to you by the SEC when you make more than four or more day

trades within the span of five business days using a margin account. And of course,

those trades have to constitute more than 6% of a margin account. And of course, those trades have to

constitute more than 6% of the margin accounts total trade activity during that five day period.

So if you become a pattern day trader or PDT, brokers is going to keep you from being able to

close out your trades the same day that you make. And they're just going to basically stop you from

being a day trader. I don't agree with it. I think it's stupid. I think people

should be allowed to do what they want. But yeah, it's another government overreach of saying,

hey, we are worried about the little guy and we want to put more restrictions on him and make the

playing feel more unfair. So we're going to come up with this fancy thing called a pattern day trader.

And I wouldn't be surprised of half the people that made up the rule had never made a day trade in their life. Nonetheless, it's an issue whether you like it or not that you have

to deal with as a trader. So I'm going to call this guy Willie. Willie's going to be my redneck name

for this email. And the bourbon of choice is Jefferson's Reserve, very old Kentucky straight

bourbon whiskey, very small batch.

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