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| Definitions by InvestorWords.com |
| What is...? |
| Cash holdings buying power Cash holdings buying power reflects the total cash dollar amount available for trading without borrowing money on margin or adding additional money to the account. The balance is based on the previous day's closing prices and is reduced 50% by any open orders. It does not include the executed trades until the date the trade settles. The value does reflect today's trading activity. The value is reduced or increased as soon as the trade executes, not when the trade settles. All buy trades are debited (subtracted) and all sell trades are credited (added). The values from non-trading activity, such as deposits, do not impact the cash holdings. Source: E*TRADE FINANCIAL |
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