From: victor.torrey@highmark.com
Sent: Wednesday, August 29, 2001 9:01 AM
To: rule-comments@sec.gov
Subject: SEC RULE 2052

Hello,

It is my understanding that on Sept 28, 2001 that SEC rule 2052 will take 
effect. As I understand the rule, If you make more than 3 trades where you 
buy and sell the same stock in the same day in a 5 day period you are  
considered a Pattern Day Trader and you will be required  to have at least 
$25,000 in your account in order to trade.   Also,  You will not be able 
to trade on margin, and you won't be able to short stocks if you don't meet 
the minimum of $25,000 on an every day basis.

As a small investor, I just want to thank you for taking away tools to
invest.  Now, if I buy a stock and it suddenly drops on the same day, I will 
be hesitant to 'stop out' and avoid additional losses. Don't think this 
could happen three times in one week?  Take a look at just about half the 
weeks over the last year.  Also, by taking away a small investors ability to
short, you once again provide an unfair advantage to those who already have 
money.  In fact, shorting is about the only way I have been able to make 
money in recent times.  Every time I go long a stock, it ends up costing me.
Does shorting carry risks?  Sure!  That's what a stop loss is for .. oh ..
I forgot .. I can only do that 3 times a week now.    This will force me 
to play options which can carry a far greater risk than shorting, they have
larger spreads, and they are much more difficult to use with stop loss
orders.  All this increases my risk while taking away tools!  Doesn't sound 
like you've helped the small investor at all with this rule

What possible purpose can this particular rule serve?

First you implement rules to help the small investor gain equal footing,
then you pull the rug out.  This is one rule that should be reconsidered!

Thank you for your time.