Let's say I have $4,000 of cash in my margin accout which means I have a buying power of $8,000. I buy $3000 of stock A which is only using my cash and not using margin. I then buy $2,000 of stock B, so I am borrowing $1,000. If 2 days after I bought stock B, I sold stock A and my cash balance is now $2,000. Does that mean that I have paid back the $1,000 I borrowed and will only be charged interest for 2 days? Or do I have to sell stock B in order to pay back the borrowed money?
Thanks,
Goggles