After safely protecting investors for over six decades a little known SEC rule was quietly removed on July 6, 2007.
With the removal of this rule all the rules of trading and investing in the market went out the window.
One of the reasons for the markets current volatility is a direct result of this rule change.
This major SEC rule was designed to protect investors.
With the removal of this rule, professional traders and hedge funds will be able to suck money out of the market and your portfolio in no time flat.
Why this rule that has stood the test of time since 1938 and was put in place to protect investors was removed is a big mystery.
Why now?
Here's what I suspect happened, some large hedge funds got together and lobbied to have this major trading rule removed.
It just that simple. Why else would the SEC act out of the blue and remove this very important investor safe guard?
You see, the hedge funds have not had a good time of it lately with sub par returns for the year. Now with only 4 months left to trade they are looking to catch up and find the next BIG SURE THING.
I suspect with this rule change the hedge funds have just been given the keys to Fort Knox.
I have just finished a new video that details how this new ruling will effect you. The video explains in every day language what you can do to protect your capital from the hedge fund gunslingers and professional traders.
Watch the video as my guest. No registration required.
After you view the video you will have the knowledge on how to protect your portfolio, while at the same time reducing your risk exposure.
Who knows, you might even start your own hedge fund.
Adam Hewison
President INO.com
No problem with removing the uptick rule. Already you can short futures or single stock futures. As long as there is stock on loan out, should be no problem to short at the bid.
The argument that market will go down faster without the uptick rule is not correct. Look at 2000 tech crash, there was uptick rule, but the big boys, major shareholders who have the stock (not worth what the price people were paying for it) they just pummel it down.
The SEC removed the short sale rule from a lot of stocks back in 2004, and has been monitoring the rule change since then.
They found no significant difference with or without the rule.
http://www.sec.gov/news/press/2004-87.htm
To say that it happened out of the blue, and is a conspiracy by large hedge funds is ridiculous.
Gary
In 1990, after alot of wall street lobbying, Japan finally made short selling of stock legal. It happened on the very day that the very top of the Nikkei was put in. It's never been close since. I'm sure history some day will show that the removal of the uptick rule will have the same effect as I strongly suspect that we,ve seen a top that we will never see again for a very long time.
They've unleashed the HOUNDS FROM HELL!!! In truth, the market will now be fairer and more efficient because they have done this. However, the decades long bullish bias in the markets is now free to be unravelled, and right quickly. Buy and Hold is Officially Dead! Buy AND Sell is the new order of the day. Volatility will explode so I think I'll start trading the VIX.
dear sir,
i watched traders blog by met address mail.sir,i have a broker of MF Global commodities in india so.i have produd of that you change wave with time to time in future trading good luck,congratulation pls.reply soon
thank u.
from: bharat saglani
mo: +919898523300
Was wondering why their has not been any comment on the uptick rule change anywhere also. Perhaps I missed it. The large houses are moving 50% give or take on any given day according to records published in the Wall Street Journal. Unfortualy the paper has not been printing the stats., future prices in detail or stock information. Maybe the circuit breakers will keep things from melting down completely however I cannot blame someone from slamming down a overpriced stock, that is the way it works. Good trading to all, Kurt
Re removal of the short-sell rule: I don't see the old rule as something that held the market together. In fact, this rule became obsolete with the advent of sophisticated electronic trading systems where there are numerous up-ticks and down-ticks during any trading day. It did no longer serve any useful purpose.
their was no sound and i cant read lips. nice try
Bob,
Please make sure that your speakers on up enough. If for some reason your browser does not support the audio for viddler you can try the youtuber version at http://www.youtube.com/watch?v=BiIIuSRQSzM . If you need anymore help Bob just let me know. Thanks
I wanted to see the video on the SEC rule change, but did not see a link, or instructions where to view it. Thank you. ---- Maybe my server is not showing the link.
Charlene,
Your browser may not support the viddler video box. Try this link instead... http://www.youtube.com/watch?v=BiIIuSRQSzM . Thanks please let me know if you need anything else.
Lindsay
Adam, The link is not working. I cannot get the video. And I really want to see it as I am certain the Grand Slam is coming and this will be the last piece of the puzzle that makes it possible.
I don't know why your video is not working. Try this link to the video we placed on you tube. Maybe your browser does not support the viddler player... try http://www.youtube.com/watch?v=BiIIuSRQSzM Also I am assuming that you are referring to the SEC rule change video... if not please contact me directly at [email protected]. Thanks!
Lindsay