Steps on how to avoid being a pattern day trader

There are so many services out there that are pump and dumps sites that promises the riches that you dream of, but never deliver on. Instead you try to follow their trades, and your account gets flagged by your broker as being a pattern day trader in for making three round trips with your trades in just a five day period. I see so many services out there that pump their offerings saying that you can turn $50,000 to $225,000 in one year, or how all these self-made millionaires that started with pennies from trading are now offering a product to you and sharing their ‘secrets’ for the ‘first time’. 

Sounds familiar doesn’t it. 

There is also another highly popular trend out there, that is blowing up accounts by the minute, and that is prop firms that offer people with accounts under $25,000 a way to avoid the pattern day trading requirements by becoming a member of their prop firm and leveraging your account by ten times the original amount. 

The lunacy of these prop firms and what they promise is just another way to not offer a service, but to take all your capital for themselves. They take it through commissions, and the ultimate realization that you’ll ultimately blow up your account and not be around any longer to trade. But in the process, they are going to to absorb as much of your account into their pocket book.

In fact many of these prop firms have been caught putting traders on simulaters to where traders are simply simulating trades and when they blow up their account on the video game-like simulator, the prop firm simply keeps all of the money that you think you lost but didn’t actually lose.

SICKENING!!! 

Avoid the pattern day trader by avoiding the pump and dump prop firms that will only take everything you have

Ask yourself this…how many ‘self-made millionaires’ have you ever met or heard of that started trading successfully through a prop firm? There is none, because those who looking to join a prop firm are skipping some of the most formative years of their trading education by taking a short-cut into the empty promises and guaranteed doom of prop firm trading. 

And you don’t need to be a day-trader to be successful at trading stocks. Because ultimately, if you don’t have enough capital, you will end up being flagged as a pattern day-trader and your trading will be grossly hampered as a result. 

Personally, I think the pattern day trading rule is just another example of how the government thinks it is looking out for the little guy by restricting his ability to trade. Well that little guy is also not allowed in hedge funds either. Ultimately, they should be allowed to do with their money what they want, and not have restrictions placed on it by the government simply because they don’t pass a dollar threshold. 

So what I offer at SharePlanner is completely different from the prop firms and pump and dump trading services and instead, provide a way to build your account by trading in the Splash Zone and building your account steadily year-after-year. I’m not trying to make 500% gains on individual trades in the swing-trading system, but I am looking at providing a means for individuals to build their trading account the right way, and in a way, that will keep risk to a minimum while consistently booking profit from the market with gains that are both big and small. We have losers, but the losses are kept at a minimum, usually 2-3% per trade and no more, while our winners are usually twice the amount of that, and we hold them at a minimum of 2-3 days which allows you to not worry about being flagged as a pattern day trader. 

As for my swing-trades, I text and email them out, and will teach you how to manage your trades and book gains that will allow for you to profit while avoiding the pattern day-trading flag all together. 

So what are you waiting for, avoid the pattern day trader flag