Let's say I have 10k USD in my margin account. I place 100 round trip orders in a single day, each worth 2000 USD (999 USD buy order and 1001 USD sell order).

How much margin did I use at the end of the day? Can I do as many 2000 USD round-trips a day as I like?

I am trying to understand how I can do frequent day trading without running into an issue with unsettled funds. I am interested in an answer both relating to stock and forex trading, and any other instrument that settles instantly or otherwise allows me to trade 100s of round-trips each day.

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    Tagging it with a specific country, stock exchange will help as the margin requirement and their treatment is different based on the above factors, as well as the broken you are going through. – Ironluca Apr 2 '18 at 10:11
  • Tagged it with forex, as forex seems to settle instantly according to some links I saw, but could not find a definitive answer. For broker, I was looking at IB but would welcome info on a different broker that does allow placing this many trades without using margin. – delica Apr 2 '18 at 10:17
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    It would be better if you tag it with the country. For instance on BSE & NSE (India) and with some brokers, short positions on stocks are force closed at expiry; in NYSE it may not be so. – Ironluca Apr 2 '18 at 10:36

It depends not only on the particular country (and therefore regulating organization), but also the particular broker and even the type of account you have at that broker and probably even your trading patterns over the past week or longer. If you are in the US, start with the FINRA margin rules and then check with your broker. They may have an even more extensive set of guidelines, for instance TDAmeritrade's Margin Handbook

If I had to guess, I would guess that you are likely to run into problems making hundreds of round trips trades per day, but really if you are paying commissions on all those trades and you aren't trying to risk more than your allowed margin at any given time, then there must be brokers who would love to help you.

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