Anyone here use Interactive Brokers?

I was looking at opening an account at IB due to low commissions but
the pattern day trader restrictions are not going over well with me. If
you have less than $25,000 to put in an account, they automatically
track your trade patterns to make sure you do not breach a day-trader
rule. Who the hell is being protected by this? The small guy or market
specialists afraid of mom and pop price bids?

asked:

Who the hell is being protected by this? The small guy or market
specialists afraid of mom and pop price bids?

The market specialist.....

wrote in message
oups.com...
I was looking at opening an account at IB due to low commissions but
the pattern day trader restrictions are not going over well with me. If
you have less than $25,000 to put in an account, they automatically
track your trade patterns to make sure you do not breach a day-trader
rule. Who the hell is being protected by this? The small guy or market
specialists afraid of mom and pop price bids?


The PDT rule is from the NASD and NYSE, approved by the SEC and enforced by
all brokers, not just IB. The specialists and market makers acually love mom
and pop pikers. Just trade the emini futures, as there is no PDT rule for
futures traders.

On 19 Jan 2006 13:18:10 -0800, wrote:

I was looking at opening an account at IB due to low commissions but
the pattern day trader restrictions are not going over well with me. If
you have less than $25,000 to put in an account, they automatically
track your trade patterns to make sure you do not breach a day-trader
rule. Who the hell is being protected by this? The small guy or market
specialists afraid of mom and pop price bids?



They all do it; they have to. IB is just more upfront about it,
which is good - it makes it easier to monitor.

p.

First, about IB:

IB is the best broker in the industry, IMO. 1/2 cent per share can't be beat anywhere. They do charge $10 minimum commission per month, however. So... if your commissions per year are at least $120, you should consider IB.

IB charges 2c ($2 minimum) per share for Toronto stocks... and Toronto is one hot market right now. Everyone in the industry charges at least $50 for a Toronto trade.

IB does not give you quotes for free. You need to do $30 in commissions each month. Otherwise, IB will charge you $10 for US quotes. But if you are daytrading, $30/month is bupkis.

About day trading minimums:

Don't day trade if you don't have $25K. Simple as that. In fact, don't day trade unless you have $30K. If you violate the day trade rule and daytrade, IB will freeze your account until you come up with enough dough to give you at least $25K in equity.

--
Lubow
wrote in message oups.com...
I was looking at opening an account at IB due to low commissions but
the pattern day trader restrictions are not going over well with me. If
you have less than $25,000 to put in an account, they automatically
track your trade patterns to make sure you do not breach a day-trader
rule. Who the hell is being protected by this? The small guy or market
specialists afraid of mom and pop price bids?

wrote in message
oups.com

I was looking at opening an account at IB due to low commissions but
the pattern day trader restrictions are not going over well with me.
If you have less than $25,000 to put in an account, they automatically
track your trade patterns to make sure you do not breach a
day-trader rule. Who the hell is being protected by this? The small
guy or market specialists afraid of mom and pop price bids?

http://www.google.com/search?q="pattern+day+trader+rule"