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:
“Come, and trip it as ye go
On the light fantastic toe,
And in thy right hand lead with thee,
The mountain nymph, sweet Liberty;”
—John Milton (1608–1674)
“In the past, as now, Haiti’s curse has been her politicians. There are still too many men of influence in the country who believe that a national election is a mandate from the people to build themselves a big new house in Petionville and Kenscoff and a trip to Paris.”
—Zora Neale Hurston (1891–1960)