shyguy

The 'Uptick Rule' (A.K.A The Dangers of Dog Piles)

Eliminating the uptick rule for shorting honestly isn't that big an issue, the real big issue is naked shorting. Regulation SHO lacks teeth basically it reads if you do is for 13 days we're gonna make it so you can't, plus all the naked short shares that existed prior to Regulation SHO aren't in any way affected. So in effect you have the SEC giving these hedge fund managers 2 and half trading weeks to proceed in the tactic of "strategic non-delivery", which is a tactic they shouldn't be allowed to employ in the first place mind you. Then there's also the fact that the SEC is only able to assess civil penalties and can't proceed with criminal charges. With this the deck is absolutely stacked against the retail investors, let's face for how many of us is strategic non-delivery an option? In closing the SEC needs to given some teeth then perchance these shenanigans can be halted.