Free Riding Violation
- Thread starter loukerx
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Knobby22
Mmmmmm 2nd breakfast
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I am not sure what you mean by free riding violation.
When you buy shares, you can sell them in the next minute if you wish.
When you buy shares, you can sell them in the next minute if you wish.
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Hi Loukerx,
Did you receive a message or email from your broker about this?
If so I would give them a call. It does seem strange.
Is this the first time you have bought shares? or seen the message?
Seems to be a American term.
http://en.wikipedia.org/wiki/Free_riding
Not sure if or how it applies to the Aussie market.
http://en.wikipedia.org/wiki/Free_riding
Not sure if or how it applies to the Aussie market.
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Based on that I would say that the funds did not clear into your account on time or that this is your first transaction with the broker and you inital order has been large enough to warrant concern/questioning.
e.g. with my broker I know that I could not place trades over $20k without the funds being in my account for the first few yrs.
Yes, this is my first time for buy shares and I havennot received any message from my broker about this. I found the rule from wiki when I searched the rule for 'Day Trading'. Are these rules just for US users?
US users, you need to have the money in your account for settlement though.
You can buy and sell the same day with most Aussie brokers without worrying about this American rule but it is not a good idea to be buying large $ value of shares without having the money to cover the purchase.
Well, so there is no rule for 'Day Trading' with aussie brokers??
