Artful Dodger
"Neko no me"
Remember, the "Uptick Rule" is in effect only until 4:00 p.m. ET today. After that, it's BAU (including today's After-hrs session).
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Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable
- Thread starter AudubonB
- Start date
Remember, the "Uptick Rule" is in effect only until 4:00 p.m. ET today. After that, it's BAU (including today's After-hrs session).
My favorite clairvoyant predicted this macro pull back last week for this week. It's all part of the process for the Santa Clause rally.
Paracelsus
Active Member
BAU is right..........and that BAU certainly led to some bad behavior in the past
...................Removed by the SEC in 2007...at an 'unfortunate time'.....
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indeed, uptick was in place most of yesterday's trading, I didn't see it helping much, also at open this morning, nope... I don't think this action has anything to do with shortingView attachment 731523
View attachment 731522
...................Removed by the SEC in 2007 just in time........
Wait if you read the topic, the uptick rule was removed by the sec. So there's no uptick rule after 2007
Unless I misunderstand your post, if you mean you want STRIKE prices that aren't yet listed, call your broker and ask them to contact an exchange to try to get them added to the option chain.
Unless a stock drops 10% from the previous close...
A revised version of the uptick rule was implemented in 2010.
Investopedia: Uptick Rule
Excerpt:
The 2010 alternative uptick rule (Rule 201) allows investors to exit long positions before short selling occurs. The rule is triggered when a stock price falls at least 10% in one day. At that point, short selling is permitted if the price is above the current best bid.1 This aims to preserve investor confidence and promote market stability during periods of stress and volatility.
The rule's "duration of price test restriction" applies the rule for the remainder of the trading day and the following day. It generally applies to all equity securities listed on a national securities exchange, whether traded via the exchange or over the counter.
Okay I see that the SEC implemented a new rule called the "alternative uptick rule", or Rule 201.
Artful Dodger
"Neko no me"
BAU is right..........and that BAU certainly led to some bad behavior in the past
View attachment 731523
View attachment 731522
...................Removed by the SEC in 2007...at an 'unfortunate time'.....
The original rule was introduced by the Securities Exchange Act of 1934 as Rule 10a-1 and implemented in 1938. The SEC eliminated the original rule in 2007, but approved an alternative rule in 2010. The rule requires trading centers to establish and enforce procedures that prevent the execution or display of a prohibited short sale.
The Alternative Uptick Rule
The 2010 alternative uptick rule (Rule 201) allows investors to exit long positions before short selling occurs. The rule is triggered when a stock price falls at least 10% in one day. At that point, short selling is permitted if the price is above the current best bid.1
This aims to preserve investor confidence and promote market stability during periods of stress and volatility.
Rule 201 – Short Sale Price Test Circuit Breaker Rule 201 generally requires trading centers to establish, maintain, and enforce written policies and procedures that are reasonably designed to prevent the execution or display of a short sale at an impermissible price when a stock has triggered a circuit breaker by experiencing a price decline of at least 10 percent in one day.
Once the circuit breaker in Rule 201 has been triggered, the price test restriction will apply to short sale orders in that security for the remainder of the day and the following day, unless an exception applies.
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Knightshade
Well-Known Member
I'm confused.
Does the uptick rule matter or not?
Because yesterday you seemed to say it didn't since MMs can keep shorting regardless and were actively doing so.
In fact in that post yesterday you said them doing so despite the uptick rule was BAU. Now you're saying BAU after expration.
Which is it?
But isn't the price always above the best bid? If the price was below the best bid, then the trade would occur and the best bid wouldn't be a bid anymore, it would be the new price.
Paracelsus
Active Member
Just a friendly reminder that the entire wild ride this morning will never be found on the longer timeframe charts. TSLA appears to have settled in comfortably on the 1-month with one of the flattest 'double-bottoms' I can recall (must be a joke in there somewhere). And the chart would make one think TSLA has just been happily trading with BAU as @Artful Dodger pointed out.
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If the last few days have taught us anything, it's the folly of trying to time the market with TSLA. Buy and hold seems to be the best strategy.
if SP stays this high, wouldn't be surprised if Ford sells some to fund their own factories ...
Krugerrand
Meow
What it should have taught some is to wait a few minutes before you make the call.
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