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The SEC has just officially eliminated the $25,000 minimum rule for day trading.
This is the biggest change in retail trading in 24 years.
Since 2001, if you wanted to make more than 3 day trades within a 5-day period, you needed at least $25,000 in your account at all times. If you fell below that, your broker would completely block you from day trading.
This rule prevented millions of retail traders from actively participating in the markets simply because they didn't have enough capital.
That rule no longer exists.
Today, the SEC approved the proposed change by FINRA, which replaces the fixed $25,000 requirement with a real-time margin system.
Instead of a fixed dollar threshold, brokers will now monitor your actual risk exposure throughout the day and adjust your buying power based on the real risk of your positions, not on an arbitrary account balance.
You no longer need $25,000 to do day trading. You only need enough margin to cover the actual risk of your open positions.