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uptick
(redirected from Uptick rule)

   Also found in: Financial, Wikipedia 0.01 sec.
up·tick  (ptk)
n.
1. An increase, especially a small or incremental one: last week's uptick in interest rates.
2. A transaction in a stock market security above the price of the previous transaction.

[From the indication of a rise in price of a stock by a plus sign on boards above stock market stations.]

uptick [ˈʌptɪk]
n
a rise or increase
ThesaurusLegend:  Synonyms Related Words Antonyms
Noun1.uptick - a transaction in the stock market at a price above the price of the preceding transactionuptick - a transaction in the stock market at a price above the price of the preceding transaction
transaction, dealing, dealings - the act of transacting within or between groups (as carrying on commercial activities); "no transactions are possible without him"; "he has always been honest is his dealings with me"
downtick - a transaction in the stock market at a price below the price of the preceding transaction


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S7-08-09, Amendments to Regulation SHO), to address two approaches in short sale trades, the reinstatement of the uptick rule, which prohibits short selling securities unless there is an uptick, and the circuit breaker concept that would either ban the short sale of a security for a day or impose a price for the security.
If a stock declines, say, 10% within a day, then a circuit breaker might kick in and either that stock couldn't be sold short for a period of time or maybe then an uptick rule kicks in for that stock.
This uptick rule governed the market since 1937 and basically stated that in order to short a stock you must first wait for the stock to trade up a penny before selling borrowed shares.
 
 
 
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