Reinstate The UpTick Rule

[gcutter777]

Cramer made a strong case to re-instate the uptick rule the SEC eliminated July 6th, 2007. The removal of the uptick rule has permitted unfettered shorting by hedgefunds with no buy uptick requirements.

It is interesting to ask why or who would want the uptick rule removed? The obvious motivation is money. This smacks of behind the scenes manipulation of the SEC - disgusting!! The key beneficiaries are the hedge funds (probably offshore) that short.

The uptick rule was put in place during the depression to stave off the kind of drastic price reductions we have seen recently (short until you take out the stops and avalanche it down).

The recent 4 month sell-off and almost meltdown would have had drastic consequences for many. The last 4 months should have not have been this bad. Company after company I listened during Q4 earnings said things business was good, but because there was some uncertainty - they had to be cautious in their outlook --> slammed. Who's doing the slamming? Who's making money doing the slamming?

This avalanche shorting has been exacerbated by large, highly leveraged hedge funds. It provides large gains for a small group of investors, but it doesn't help America, Americans' nest eggs or its companies. It benefits a few at the expense of the many.

The uptick rule needs to be re-instated to ensure there is an upside bias to the market. Wealth should increase for the many as as a general rule, or we will have much bigger problems.

I hope everyone realizes we just had a potential (emphasize potential) $200B sub-prime liability result in over a $10T market sell-off and nearly a financial depression level meltdown. There is something obviously wrong there. You have to ask "What's changed?" Well for one, the uptick rule changed.

I agree with Cramer's assessment the uptick rule should be re-instated. I am in the process of contacting the SEC and my government representatives. I want to encourage others to do the same.