Comments on: How do partial fills affect day trading status? http://www.swingtradingplan.com/how-do-partial-fills-affect-day-trading-status/ Mon, 19 Sep 2011 08:22:51 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: StopSpending http://www.swingtradingplan.com/how-do-partial-fills-affect-day-trading-status/comment-page-1/#comment-903 StopSpending Mon, 01 Mar 2010 16:33:57 +0000 #comment-903 My experience has been that a "trade" is considered to be the order ans all of its fills. In the attached link, the SEC makes it very clear that a pattern day-trader is supposed to be a real day-trader. Counting each fill would snare too many customers in the net. From Rule 2520: "The term "day[-]trading" means the purchasing and selling or the selling and purchasing of the same security on the same day in a margin account" "The term "pattern day trader" means any customer who executes four or more day trades within five business days. However, if the number of day trades is 6% or less of total trades for the five business day period, the customer will not be considered a pattern day trader" It's pretty clear to me that to "execute" a trade. I place an order and get fills. The order and the fills are a "trade". Now, if your two "buys" are based upon two separate orders, then the pattern you ask about would be two day trades. Further info: Interactiveborkers gives clear examples of day trades on their website. Another reason why I like that firm so much. Looks like your two buys and one sell example is just one day trade. My experience has been that a “trade” is considered to be the order ans all of its fills. In the attached link, the SEC makes it very clear that a pattern day-trader is supposed to be a real day-trader. Counting each fill would snare too many customers in the net.

From Rule 2520:
“The term “day[-]trading” means the purchasing and selling or the selling and purchasing of the same security on the same day in a margin account”

“The term “pattern day trader” means any customer who executes four or more day trades within five business days. However, if the number of day trades is 6% or less of total trades for the five business day period, the customer will not be considered a pattern day trader”

It’s pretty clear to me that to “execute” a trade. I place an order and get fills. The order and the fills are a “trade”. Now, if your two “buys” are based upon two separate orders, then the pattern you ask about would be two day trades.

Further info:
Interactiveborkers gives clear examples of day trades on their website. Another reason why I like that firm so much. Looks like your two buys and one sell example is just one day trade.

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