Big news--naked short selling ban

Perhaps government agencies CAN get things right. The SEC made permanent a ban on naked short selling, a tactic used by stock market manipulators to induce a bear raid. The The SEC rule goes into effect July 31, when the temporary rule expires. The uptick rule is also being considered.

http://finance.yahoo.com/news/SEC-rule-on-naked-apf-3523034809.html?x=0&sec=topStories&pos=main&asset=&ccode=

Legislation is also being proposed to ban flash trading, a computer trading program used by Goldman Sachs to achieve unfair millisecond transparency advantages over other traders. A buy or sell order is "pinged", and if there are no fills, Goldman's fast servers can withdraw the orders instantenously, and determine Level III buy/sell order levels before others have access to them.

In any case, with naked short selling now banned, expect heavily shorted (i.e. manipulated) share prices of microcap companies to lift off next week.