Short-Sale Rule

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Short-sale rule

An SEC rule requiring that short sales be made only in a market that is moving upward; this means either on an uptick from the last sale, or showing no downward movement.

Short Sale Rule

An SEC regulation in effect from 1938 until 2007 forbidding short sales on a stock after a downward tick in its transaction price. In other words, if the price of a stock decreased in the trade immediately prior to a transaction, that transaction is not allowed to be a short sale. Short sales were only permitted after an uptick or a zero-plus tick. This rule was instituted to prevent panic selling in an era when lack of computerization made markets more easily to manipulate. With the increased digitalization of stock markets, this rule was no longer necessary.

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Downtick Minus Tick Plus Tick Short Exempt Short Sale Rule Up Tick Uptick Zero Plus Tick Zero Uptick Zero-Plus Tick			Weisberg notes that the short-sale rule was put in place after the stock market crash of 1929. Riding the short-sell roller coaster by Cote, Mike / ColoradoBiz			Short Exempt short form Short Form Prospectus Distribution System Short Hedge Short Interest Short Interest Ratio Short Interest Theory Short Leg Short Market Value Short Position short rate Short Ratio Short Run short sale Short Sale Rule Short Sell Against the Box Short Selling Short Settlement Short Squeeze short straddle Short Tender Short the Basis Short-Form Registration Short-Interest Ratio Short-run operating activities Short-Sale Rule Short-Short Test Short-Term Short-Term Bond Fund Short-Term Capital Gain short-term capital gain or loss Short-Term Capital Loss short-term debt Short-Term Discount Note Short-Term Discount Notes Short-Term Financial Plan Short-Term Gain Short-Term Gain or Loss Short-Term Interest Rate Short-Term Interest Rates Short-Term Investment Fund Short-term investment services Short-Term Loan Short-Term Moving Average Short-Term Municipal Bond Fund Short-Term Reserves Short-term solvency ratios Short-Term Tax Exempts Short-Term Trading Index Short-Term Trend Shortage cost			Short-Range Communication Network Short-Range Device Maintenance Group Short-Range Ensemble Prediction System short-range force Short-Range Force Constant Model short-range forecast Short-Range Intermediate Range Nuclear Forces Short-Range Layered Atmospheric Model Short-Range Missile Defense Short-Range Modem short-range navigation Short-Range Nuclear Forces short-range order Short-Range Radar Short-Range Radar Short-Range Surface-To-Surface Missile Short-range Transmitter short-range transport aircraft short-range unmanned aerial vehicle Short-ribs short-run short-run short-run Short-Run Aggregate Supply Curve Short-Run Average Cost Short-Run Equilibrium Short-run operating activities Short-Sale Rule Short-Scar Periareolar Inferior Pedicle Reduction Short-selling Short-selling Short-selling short-sheet short-sheeted short-sheeting short-sheets Short-short test Short-Short Tests Short-shorts Short-shorts Short-shorts Short-sighted Short-sighted Short-sighted short-sightedly Short-sightedness Short-sightedness Short-sightedness short-sleeved short-slot coupler short-snouted Short-Sold Short-Sold Short-Sold short-spoken short-spurred short-spurred fragrant orchid short-staffed

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