Day trading

(redirected from Day trades)
Also found in: Dictionary, Wikipedia.

Day trading

Establishing and liquidating the same position or positions within one day's trading.

Day Trade

An investment practice in which one buys (or sells short) a security and then sells (or buys) the same security in the same trading day. That is, a day trade involves the opening and the closing of a position on the same trading day, in order to profit from short-term changes in price. For example, a day trader may buy Stock A at $15 per share because he/she believes it will be $17 a few minutes or hours later. The activities in which day traders engage are high risk because there is no guarantee that the price will move in the desired direction. However, day traders provide a great deal of liquidity to the market.
References in periodicals archive ?
Exclusively available to City Index clients, Day Trades spread bets are available on the top 20 UK equity markets only.
The Complaint further alleges that throughout the Class Period, Citigroup made material misrepresentations in documents and statements issued to Sheehan's clients by omitting material facts concerning the following: (a) the commingling of client assets in the Sheehan Allocation Account; (b) the inherent conflict of interest in allowing Sheehan to dictate the allocation of day trades for his own benefit and for his clients' benefit at the end of each day when the outcome of each trade was known by Sheehan; (c) the risks created by the procedures utilized at Citigroup in allocating trades by Sheehan; and (d) the inequitable allocation of profits from day trades to Sheehan's personal accounts to the detriment of his clients.
In all, Scottrade permitted customers in 11,708 margin accounts in which pattern day trading was being conducted to execute 171,910 day trades when the values of their accounts were below the minimum equity requirement.
The award-winning spread betting provider designed Day Trades specifically for traders who hold their positions only during short-term market movements.
The Exchange and Nasdaq will work together to resolve this issue and ensure that the reporting of prior day trades has no impact on current day trading activity.