Whos to say that if shorting wasnt banned in 2008 the market could have fallen further than it did?...Bit too late any when shorting may have contriobuted to the technical damage beforehand.
The "provides liquidity" argument is rubbish, the real reason shorting is allowed is because it affords instos / hedge funds / brokers an additional way to control and make money from markets, generally at the expense of the retail crowd.
If something is expensive, dont buy it, introducing artificial supply into the equation is not part of an efficient market.
Yes I could also short but I dont want to, Ive made plenty of money recently with a long only strategy, albeit on short timeframes. Wouldnt bother me at all if they banned it for good.
