Round Trip
Definition: The successful purchase and subsequent sale of forementioned purchased (stocks).
If you buy the same stock in three trades on the same day, and sell them all in one trade, that is considered 1 day trade. If you buy in one trade and sell the position in 3 trades, that is also considered 1 day trade. Three more day trades in the next 4 business days will freeze your account (you can only close existing positions) for 90 days, or until you get $25,000 cash into your account, whichever comes first. This also applies to options.
Read more about this topic: Pattern Day Trader
Famous quotes containing the word trip:
“Jack and Joan they think no ill,
But loving live, and merry still;
Do their week-days’ work, and pray
Devoutly on the holy day;
Skip and trip it on the green,
And help to choose the Summer Queen;”
—Thomas Campion (1567–1620)
““Jim,” she said earnestly, “if I was put down there in the middle of the night, I could find my way all over that little town; and along the river to the next town, where my grandmother lived. My feet remember all the little paths through the woods, and where the big roots stick out to trip you. I ain’t never forgot my own country.””
—Willa Cather (1873–1947)