May 4, 2009
I was a stockbroker with a NYSE member firm for 25 years. Now, I am a small business owner... and an investor.
I watched the 70-year old uptick (and zero-plus tick) rule work well for a long time. Then, I think, a terrible mistake was made when it was eliminated. The abolition of this prohibition of persistent short selling, I believe, contributed greatly to the volatility of the markets in late 2007, 2009, and currently.
The argument that the elimination of the uptick rule would increase liquidity certainly proved to be accurate That liquidity has caused the disappearance of a lot of wealth that used to be held by individuals like me.
It worked for a long time...put it back