An account may be restricted to liquidation for many reasons. However, the most common is due to an open call or an account Flagged for PDT has fallen below the required $25K minimum equity requirement.
Please feel free to reach out to firstname.lastname@example.org if you have any further questions.
For more information about Pattern Day Trading:
- Please visit FINRA to learn more about Pattern Day Trading Protection
- In order to prevent Alpaca Brokerage Account customers from unintentionally being designated as a Pattern Day Trader (PDT), the Alpaca Trading platform checks the PDT rule condition every time an order is submitted from a customer. If the order could potentially result in the account being flagged as a PDT, the order is rejected, and API returns error with HTTP status code 403 (Forbidden).