April 23, 2022
This rule only enables bad actors to further over leverage their positions without regard to the repercussions these positions have on the market as a whole. Kicking the can down the road and giving them exactly what they want, more opportunity to create unnatural supply and/or demand where and on what they want.
Money rules and this rule ensures that if you have enough money you can buy your success at wall street. The only institutions and hedge funds using this rule are leveraging retail dollars (401ks, pensions of Middle class americans) mixed with their own personal family billionaire accounts to ensure we \"protect retail\" all the while they collect fat premiums on those very accounts. They are predators and parasites who continue to play by their own rules or make up new ones to fit their style when they make bad investment decisions.
With this rule, you can completely eliminate true price discovery of the natural market by allowing huge selling or buying pressure through artificial means. Furthermore, this artificial pressure, which will successfully negate any true buying/selling influence on the lit exchange will never fully be corrected in T+2 or even T+35 as required. Is this same trading method available to me, as a retail trader? Can I create endless loops of fake shares, collect $ on selling those shares, and never re-balance the books if I am wrong? No, I can't, but even if I could it is wrong and set a dangerous precedent. If you don't allow bad actors to fail or hold the extremely accountable to their actions, you will have essentially given them permission to continue on. What was once considered illegal (naked shorting) will be accepted and eventually \"necessary\" to reduce fire sales or market corrections. Stop undercutting retail at every turn. Stop enabling bad actors to continuously transforming the market by holding retail funds hostage with endless loop holes that compound the problem until it is eventually catastrophic. A market correction is necessary due to, in my opinion, big bank and family hedge fund greed. Let it happen and don't pretend you are helping us by letting citadel or virtu front run every trade. PFOF is a cancer and must be stopped.