I have a real rough time buying the "daytrader" excuse for our trading action.  While there may be some out there in trader land that have a literal ton of cash set aside for this purpose, PTSC - or any OTCBB stock trading at under a buck - is a terrible candidate for daytrading.

Have YOU ever tried daytrading?  If not, you don't KNOW what you're talking about.  I have tried it a couple of times, using differing strategies.  A very risky, stressful business.

Ideal candidates for day trading must be securities with fairly consistent volitility, large volume, preferably on the NYSE (so you aren't fighting the MMs) and, most importantly, MARGINABLE.  You can't effectively day trade using an IRA account (no margin available). 

PTSC is not marginable with most all brokerages.  So the only way you could do it is with cash transactions.  Then, after a sell, you may have to wait 3 days for settlement before that specific money becomes available again.  Hence my comment above re: only people with a literal ton of cash available.

There are SO many better candidates out there.....

Please advise as to how you would day trade PTSC (day trade = in and out repeatedly within the same trading day), and why you'd pick PTSC as a candidate over say CSX - marginable, on the NYSE, decent volume, very volitile virtually every day.

I once made $12k in one month with relative ease and very little risk on CSX, using only $40K capital base, going long and short depending on circumstance.  With ten times the capital, would've been $120K in one month.  How much capital would it take to get that result with PTSC, recognizing all cash transactions?  How consistent is PTSC's volitility? Daily?

And keep in mind that with day trading the same stock (that you're familiar/comfortable with), there are tax consequences that are not favorable. You get taxed on the gains, but can't write off the losses.

TIA,

SGE