Here at Passfolio we provide you with tools you can use to help you invest responsibly.
How does pattern day trade protection work?
We want to help you monitor your day trades, so we created the Pattern Day Trade Protection feature that you can turn on and is active when your account value is less than $25,000.
Pattern Day Trade Protection warns you when you placed two day trades. When you’ve placed three day trades it will prevent you from placing additional buy orders and warn you if you place a sell order you will be unable to place more trades for 90 days or until your account value is at least $25,000. When you hit three day trades it will also cancel all your resting limit and stop buy orders.
How can I enable pattern day trade protection?
You can enable or disable this feature in account settings:
Pattern Day Trade Protection is simply a helpful warning, and it can’t guarantee the prevention of partial executions or day trades. It is up to the user to understand and manage the account.