Some people I know daytrade only 1 stock or 2, if they sell at a loss does that mean that cant buy back in at a lower price for the next 30 days? Or is the wash sale rule only for long term (6 months+)Daytrading wash sale rule?
I'm one of those people who daytrades the same stock over and over again. You CAN buy the same stock back after selling for a loss--anytime and as frequently as you want. And yes, those are wash sales if done within 30 days. However, when you buy the stock back, the loss on the old shares is added to the cost basis of the new shares, and once you're finally out of the stock for 31 days, all the wash sales you may have racked up are nullified.
What I do is trade my ';regular'; stocks from January through November, then I trade different stocks in December. This wipes my wash sale slate clean for the year and ensures that I can deduct all of my losses.Daytrading wash sale rule?
can buy similar but different security
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