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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting -- Ignore unavailable to you. Want to Upgrade?

To: Art Bechhoefer who wrote (91470)	5/7/2010 4:17:32 PM
From: engineer	Respond to of 197201

it is NOT a tax issue. That is a bueracrat way to fix it. The trades that turned P&G from 28 to 1 penny were not trading in and out, they were trading SHORT. They only bought back when a few poeple started curbing their own trading. The point it, there needs to be as you started out, a free market. If hte market is one traded only by computers, then we need to make it stated that way. If there are traders who do it by hand, yell on the floor until they get heard versus computers which do the trades in less than 1 millisecond, then there is a huge disparity in the market which cannot be evened out with TAX.

To: Art Bechhoefer who wrote (91470)	5/7/2010 6:41:20 PM
From: lml	3 Recommendations Read Replies (1) \| Respond to of 197201

Fast trades. High frequency trading by definition is an abuse of the market system because not all investors wishing to enter the market have similar, low cost, timely access to information or trading facilities. . . . One way to curb the abuse is to apply a surtax to short term trades. A fee of 50% of profits from a short term trade where the turnaround is less than 24 hours might be an appropriate place to start. The fee would be reduced for longer trades until after a three-month turnaround there would be no fee charged on short term gains. Sorry, Art, but have to disagree with you. First, High frequency trading is not the issue here, but rather high SPEED trading through the use of super computers. This is where all investors are NOT on equal footing, but rather where the big boys have a clear advantage. They can execute volumes of trades is a nanosecond, have instant access to information, both fundamental (i.e. news) and technical (i.e. computing power) that easily dwarfs the capabilities of the individual investor. To tax "short term" trading is not the answer, as it will only penalize the individual trader both directly, as well as indirectly as the clearing houses are likely to pass on any additional costs in the form of fees. I think the type of circuit-breaker system that NYSE has in place is something the regulators should look into when evaluating the issues raised by yesterday's precipitous fall