Despite the last two days of exuberant buying and resumption of the melt-up, it seems there are more than a few holes in investors' trading accounts that brokerages are trying to deal with.

In what appears to be an escalation from last week's margin department tensions, TradeStation Securities has suspended all Overnight Reduced Margin Rates for a number of US equity futures contracts, demanding Full Margin be allocated...

 

This could mean a dramatic increase in required margin dollars for some (it would seem day-trading margins are just 25% of initial margins - not unusual - and so that's quite a bump)...

We suspect TradeStation will not be the last to do this.