The Question and Answer Board

[Porgie Tirebiter]

There is no requirement that the first stock be held for 3 days before sale, only that it is in the account and fully-paid for before it is sold.

Well yeah, it doesn't say 3 days, it says "fully paid for and settled" which means 3 days.

Example:

If you flip in and out of ABC on Monday, you can't do anything with that money until Thursday.

If you sold ABC after it had been fully paid for and settled (which means you've held it at least 3 days) you can sell ABC on Monday and buy XYZ immediately but then can't sell XYZ until Thursday without tripping over Reg-T.

But us options traders don't need to sweat that anyway, do we?