March 20, 2009
I am writing to address the uptick rule. We need to respect market supply and demand force, and this uptick rule is just not efficient and can not stop the market nature slide.
Our market goes down is not because of short seller selling, it is because the market discount the economy situation a few months ahead. The stock price needs to be adjusted to reflect the true value of company and when the company are not earning as much as before, the price needs to adjust.
I did not profit from the short selling. My family, friends and our investment club all agree that we need to stop man made force to artificially adjust the stock market. It is like trying to change the weather or stop the ocean tide. It is not going to work!!
We do not have down tick rule during the dot.com time. Why we need to have the uptick If the store goodies is not selling well at $100 a piece. Do we forbid the store owner to lower the price by a rule stating "Any store owner can only lower the price to sell one piece of the goods after one customer has bought the same goods at a higher price." This just does not make any business and logical sense!!!
Thanks for your time and consideration!