Subject: File No. 4-590
From: Laureence G. Tidrick, CPA
Affiliation: retired long term investor, and futures index day trader

October 3, 2009

I am against restoring any form of the old Uptick Rule. The prices of assets are ultimately based upon the discounted present value of earnings. At times asset prices will be unreasonably high or unreasonably low. The present volatility in asset prices reflects the present times: America has just been through two bubbles: tech and housing combined with a credit bubble, and 16M are unemployed. Markets have tried to price in a "V" Recovery, which is totally unjustified by the fundamentals. Most investors are "on the sideline" not investing in equities. They are NOT on the sideline because of short selling rules they are on the sideline because many assets are priced at levels unjustified by present or future earnings, and they're bright enough to understand this concept. Give them credit for being smarter than any regulator believes Americans can be. Do not make any changes to short selling. Short selling occurs when people believe they can make a profit short selling. They are simply trying tohelp themselves - not "destroy America", and of course the effect of short selling is compounded by long positions being closed. This is the markets operating as they should operate. We will never have markets without risk - nor do we want them to operate that way Nor will markets really ever operate completely "fair and orderly", but if we did no one would be in these markets investing or trading, as no profits would be made, no investments made as a consequence, no prowth, no jobs, no capitalism. Why not have a Downtick Rule on Long Buys? What "Dreamland" are you and most America living in? An America where all assets are only worth more and more? This is insanity and surely not reality. Try living in reality. All Obama, 100% of the Democrats and 90% of the Republicans want is "a regulated market", heavy on regulation. Everyone wants "to be protected". Against what? Their own stupidity? Tell people to grow up If they don't understand the markets, tell them to get knowledge or STAY OUT. Regulating markets and everying in our day to day business is assuming that people are idiots and lack the ability to learn and think. I believe Americans are capable of more than having to be "taken care of" by Washington, their States, and mommie and daddies for their entire lives. None of this is Constitutional, either. It is all contrary to our Puritan ethic, and all of our heritage. This is not the America that is the "Beacon on the Hill" for all the World to see: Madison's America, Milton Friedman's America, Hayek's America, and Ayn Rand's America. That is: everything you are suggesting is counter to the very best America for ALL Americans. Create the environment whereby Americans are totally responsible for themselves and everything which happens to them. Putting in rules on how to trade is only another of many ways to try to destroy free markets, and destroying everything good about America.