People say to ban short selling or naked short selling, but the rules need more simplicity and specificity.
- Bank’s need to give one month notice to change stock borrowing rules, and one week notice on margin call.
- If a bank allows merging selling (shorting), they need to allow margin (naked) buying. Reciprocity
- The max allowed for borrowing is 50% of float.
Stop giving the bank and free license blank slate to make their own trading rules.