Confessions of a Pattern Day-Trader

There is always an "Oh xxxx" moment in day-trading. Sometimes it is caused by the market. Sometimes it is caused by you.

As readers know I feel Cramer gave a brilliant analysis on why FDO was a sell, not a buy. See my earlier blog.

So I go to "short" some shares. Not available to short.

So I go to buy some September 30 puts.

Now Schwab flashes in the asked price on a stock when you place your order, which does serve to protect you from just putting in a market order, where you will get murdered by the vultures out there.

So I click on through to buy some puts. $5000 worth.

My statement "shows" an immediate "loss" of $750 because the account values your assets at the "bid" price which is, of course, what you would get now if you sold your puts.

Oh well...