Under the legacy FINRA pattern-day-trader framework, still applicable at firms that have not transitioned to the new intraday margin standards, what is the day-trade count threshold within five business days (assuming the trades exceed 6% of total margin-account trades)?

Why B — Four or more

The legacy count threshold is four or more day trades within five business days, provided those day trades represent more than 6% of total trades in the margin account during that period. That framework also requires $25,000 minimum equity for pattern day traders. A day trade generally means buying and selling (or selling short and covering) the same security on the same day. FINRA Regulatory Notice 26-10 replaces the legacy day-trade count and $25,000 pattern-day-trader minimum with intraday margin standards. The amendments became effective June 4, 2026; firms may phase in implementation until October 20, 2027. During the transition, a firm that has not implemented the new standards may still apply the legacy requirements. This does not mean all firms have already removed the $25,000 requirement.