Trading

If your account has been flagged as a Pattern Day Trader and you are eligible for a reset, there are two ways to request it:

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Option 1: Through TWS (Trader Workstation)
If you attempt to place an order and qualify for a reset, a link to the PDT Reset Tool will automatically appear in TWS.

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Option 2: Through Client Portal
• Log in to Client Portal.
• Navigate to Messages from the main menu.
• Click Compose, then select Pattern Day Trader Request.
If eligible, you’ll be guided through the necessary steps to submit your reset request.

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A day trade is defined as the opening and closing of the same position in a security within the same trading day. This applies to U.S. and non-U.S. securities, including:

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- Stocks
- Stock and Index Options
- Warrants
- T-Bills and Bonds
- Single Stock Futures

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You are classified as a Pattern Day Trader (PDT) if you execute 4 or more day trades within 5 business days, and those trades represent more than 6% of your total trading activity during that period.

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Once flagged as a PDT, your account must maintain a minimum equity of $25,000 to continue day trading without restriction.

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If your account is flagged as a Pattern Day Trader (PDT) and your Net Liquidation Value (NLV) is below USD 25,000, the following restrictions apply:

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- Flagged as PDT with $25,000 or less, you cannot open new positions, you can close existing positions only
- your 1st PDT violation, you will have a 5 business day lockout period unless you reset or fund the account up
- Your 2nd PDT violation (within 180 days), you be restricted for 90 calendar days unless you fund the account

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You can start trading again if you,
- Deposit Funds, bringing the account equity to $25,000 or more, you will then be able to trade immediately
- Request a one time PDT Reset, you will be able to trade after 5 business days from the last day trade
- Wait out (do not request a reset or fund the account) 90 days from last day trade

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Important information

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- 1 PDT rest is allowed per 180 days
- You cannot reset again if you are flagged a second time within that period
- These rules follow NYSE and FINRA regulations

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To check how many day trades are available in your MEXEM account:

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‍In Trader Workstation (TWS)

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Go to the Account Window via the top Account menu.

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Scroll to the Available for Trading section.

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Look for "Day Trades Left (T, T+1, T+2, T+3, T+4)".

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If you don’t see it, click the green plus (+) sign next to “Available for Trading” to expand the section.

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In Client Portal

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‍Go to Portfolio via the top menu bar Click on Balances and scroll to Trading LimitsLook for Day Trades Left

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See following table on How to Read the Day Trade Counter:

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Code      Meaning
T            Today
T+1        Tomorrow
T+2        In 2 business days
T+3        In 3 business days
T+4        In 4 business days

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You are allowed 3 day trades in a rolling 5-business-day window. The numbers (e.g., 0, 0, 1, 2, 3) show how many day trades are available on each respective day.

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As an Example:

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If the counter shows (0, 0, 1, 2, 3) and today is Wednesday:

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0 trades are available today (Wed) and tomorrow (Thu),
1 trade on Friday,
2 trades on Monday,
3 trades on Tuesday (assuming no new day trades are used).

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A “Potential Pattern Day Trader” error occurs when your account meets two conditions:

1. You have made three day trades within a rolling five-business-day period.

2. Your account has a Net Liquidation Value (NLV) under USD 25,000

This message acts as a preventive restriction, even if you do not intend to continue day trading,  to ensure your account does not violate SEC Pattern Day Trading (PDT) rules.

Why this restriction occur:

The SEC PDT Rule defines a Pattern Day Trader as someone who executes 4 or more day trades within 5 business days in a margin account.

If your account falls below $25,000 NLV and you've already used 3 day trades, the system automatically blocks you from initiating any new positions.

This applies regardless of whether the new trade would result in a day trade or not.

Remember, this is a protective rule and cannot be overridden or manually lifted.

Timeframe:

You must wait for the rolling 5-day window to reset before your account will allow new position openings.

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The restriction is automatically lifted once the 5-day period ends and you are below the day trade threshold.

To avoid the restriction

Maintain a Net Liquidation Value of $25,000 or more

Avoid placing more than 3 day trades in a 5-business-day window

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Use a cash account (not subject to PDT rules, but limited by settlement)

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Yes. MEXEM UK allows trading across 20+ currencies.

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In a General Investment Account you can convert currencies yourself at competitive rates, or hold balances in several currencies to manage your exposure.
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In a Stocks and Shares ISA or Junior ISA, holdings are kept in GBP and trades in other currencies are converted automatically.

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Conversion charges for both account types are shown on our pricing page.

Through your MEXEM UK General Investment Account you can trade stocks, ETFs, and bonds on over 150 global exchanges.
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Stocks & Shares ISA accounts are limited to HMRC-eligible securities.