Yes, well , if those pompous asses in academia and on wall st just fessed up to the fact that it was a casino, there would have been more attention paid to detail. Casinos watch everything very closely, and cheating is caught and dealt with promptly.
------------------------------------------------ Those "pompous asses" in academia have seen it all and made their voices heard over and over. You'd think that the regulatory agencies, with a myriad of the best financial and informational tools at their disposal, would also see it. It's just that no one with the power to do anything seems to be listening, apparently. http://www.rotman.utoronto.ca/newthinking/Lu_Frontrunning.pdf
Uptick rule is a trivial matter. Regulators don't know their ass from a hole in the wall. They are stupid when it comes to market mechanics. All these I banks that collapsed in share price reflected the true value of these firms. Zero.
too late now to re-instate the uptick rule on NYSE stocks. NYSE stocks is the real stock market where majority of investors hold their nest eggs investments.
the uptick rule doesn't apply to one company or sector, it's the entire market that has been shorted. as for derivatives, lots of derivatives of CD was sold shorted and the banks were on the other side of trade.
With decimalization the plus tick rule just didn't really work. Between 2001 or so when we went to decimals and July 2007 when uptick rule was eliminated, it was almost as if it didn't exist. Front-end systems were set so as not to sell on minus ticks and you got your order off. With all the different ECN's and front-ends that go out to all if you want, I for one never really noticed much of a difference when they eliminated it. I believe that ETF's were exempt from the uptick rule, as they should be because they often times trade off of futures, like the SPY, which are also exempt. Index arb is exempt and always has been and its the programs that whip around the market anyway. So if some big institution wants to do a huge basket and short the market, they are exempt and retail gets hammered while they try to get off on plus ticks. Never made sense to me anyway. No other countries have an uptick rule I believe.
brilliant analogy. Imagine if the casino let the MIT group run rampant. They would have multiplied, and within a year or two, destroyed the whole industry, like the Hedgefunds and brokers broke the country.
Exactly fly. These guys are so hung up on the image of the 'free market', they don't notice their pockets being picked by hustlers. The Real Black Box
Oops, I meant innefficiency. Regardless, this is good news to any professional daytrader. If they pass this, I might actually look into daytrading again, even a little bit.