May 11, 2009
The Uptick Rule needs to be reinstated and ENFORCED, as soon as possible. The extremely dangerous volatility that began in August 2007, approximately one month after the SEC took away the "Uptick Rule", illustrates how important it is to have this safeguard in place.
I am not against legitimate short selling. I am opposed to the highly unethical practice of "naked" short selling which the SEC has permitted to flourish for many years.
If restoring the "Uptick Rule" deters even one "naked" short seller from plying his dirty deeds, then restoring the "Uptick Rule" needs to be put back, the sooner the better.
Savvy investors will shy away from investing in stocks if they feel the game is rigged against them. Restoring the "uptick rule" levels the playing field for the average retail investor with his 401K, personal IRA, and 529 plans for his children's future.