SEC may Reinstate Uptick Rule
- Thread starter listedguru
- Start date
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Those "pompous asses" in academia have seen it all and made their voices heard over and over. You'd think that the regulatory agencies, with a myriad of the best financial and informational tools at their disposal, would also see it. It's just that no one with the power to do anything seems to be listening, apparently.
http://www.rotman.utoronto.ca/newthinking/Lu_Frontrunning.pdf
tradersboredom
Guest
too late now to re-instate the uptick rule on NYSE stocks. NYSE stocks is the real stock market where majority of investors hold their nest eggs investments.
tradersboredom
Guest
the uptick rule doesn't apply to one company or sector, it's the entire market that has been shorted.
as for derivatives, lots of derivatives of CD was sold shorted and the banks were on the other side of trade.
as for derivatives, lots of derivatives of CD was sold shorted and the banks were on the other side of trade.
With decimalization the plus tick rule just didn't really work. Between 2001 or so when we went to decimals and July 2007 when uptick rule was eliminated, it was almost as if it didn't exist. Front-end systems were set so as not to sell on minus ticks and you got your order off. With all the different ECN's and front-ends that go out to all if you want, I for one never really noticed much of a difference when they eliminated it. I believe that ETF's were exempt from the uptick rule, as they should be because they often times trade off of futures, like the SPY, which are also exempt. Index arb is exempt and always has been and its the programs that whip around the market anyway. So if some big institution wants to do a huge basket and short the market, they are exempt and retail gets hammered while they try to get off on plus ticks. Never made sense to me anyway. No other countries have an uptick rule I believe.
