For cash-secured put writing, I have enough cash in my account to cover the put if it is exercised. Is there a special category that this cash falls into with respect to free-riding?
Say I wrote a $90 put on XYZ (secured by $9000 cash) a month ago, so it's settled, and I have an additional $1000 just sitting there. If I use that $1000 to buy another stock and sell it before the settlement date, would that count as a free ride? Or since there is an extra $9000 in the account, is there enough to cover that purchase and it's not free riding?