New Pattern Day Trader Rule
Good news for active traders. The SEC has approved major changes to FINRA Rule 4210 officially eliminating the old Pattern Day Trader, PDT rules.
Starting June 4th, 2026, SogoTrade will update its system shortly after the new rules take effect. Under the old rules, making four or more day trades within five business days would label you as a Pattern Day Trader, triggering extra restrictions on your account.
But under the new rules, that designation is gone. Brokers will no longer track your day trades or apply special PDT restrictions based on trading frequency. That means you can day trade more freely without worrying about hitting a trade limit or getting flagged.
Another major update: the old $25,000 minimum requirement is being eliminated. Previously, pattern day traders needed at least $25,000 in their margin account.
Now, traders only need the standard $2000 minimum required for margin trading.
Trading on margin involves significant risk, including the possibility of losing more money than you deposit.
Make sure you understand how margin trading works before placing trades. Please review the
Margin Disclosure Statement before trading on margin or applying for a margin account.