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Registered User
Joined: 10/12/2005
Posts: 90
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Hey guys
When you open a margin account, how much does that mean i can borrow from the broker to trade with?
Matt 
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 Gold Customer
Joined: 12/24/2004
Posts: 33
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Normally, if you deposit $5000 (for instance), you can borrow $5000, for a total of $10,000.
But using the entire $5000 margin amount is 'pushing it'. If the position moves against you, the broker will require more cash from you pretty quickly (a margin call).
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Registered User
Joined: 10/7/2004
Posts: 2,126
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If they flag your account as a day trading pattern, then the buying power will quadruple, but you will be require to have a minimun of $25,000 cash in your account. Any amount below that will resolve in maintenance calls.
For how you will be flag as daytrader pattern, please contact your broker - they should be able to explain.
good luck
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