| This is a brilliant way to beat “the man” at his own game. on 20:40 - Jan 27 with 2683 views | StokieBlue |
GameStop shares by clive_baker 27 Jan 2021 11:12Anyone been following this?
Absolutely bonkers market manipulation from Reddit. Feel for whoever jumps on the ponzi scheme at the top, there's going to be a hell of a long way for it to fall.
SB |  | |  |
| This is a brilliant way to beat “the man” at his own game. on 20:42 - Jan 27 with 2669 views | bluelagos |
Read that earlier. All that seems to be happening is they are piling into a stock that causes an uplift in share price. Does sfa to benefit the underlying profitability / funding / stability of the company.
So if a company if fundamentally fcked, nothing much changes other than some punters p*ss away a lot of their hard earned cash. |  |
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| This is a brilliant way to beat “the man” at his own game. on 20:42 - Jan 27 with 2665 views | monytowbray |
| This is a brilliant way to beat “the man” at his own game. on 20:40 - Jan 27 by StokieBlue |
GameStop shares by clive_baker 27 Jan 2021 11:12Anyone been following this?
Absolutely bonkers market manipulation from Reddit. Feel for whoever jumps on the ponzi scheme at the top, there's going to be a hell of a long way for it to fall.
SB |
Ah sorry Clive.
I’ll punch myself. |  |
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| This is a brilliant way to beat “the man” at his own game. on 20:43 - Jan 27 with 2660 views | monytowbray |
| This is a brilliant way to beat “the man” at his own game. on 20:42 - Jan 27 by bluelagos |
Read that earlier. All that seems to be happening is they are piling into a stock that causes an uplift in share price. Does sfa to benefit the underlying profitability / funding / stability of the company.
So if a company if fundamentally fcked, nothing much changes other than some punters p*ss away a lot of their hard earned cash. |
I see it as charity work personally. | |
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| This is a brilliant way to beat “the man” at his own game. on 20:43 - Jan 27 with 2662 views | StokieBlue |
| This is a brilliant way to beat “the man” at his own game. on 20:42 - Jan 27 by bluelagos |
Read that earlier. All that seems to be happening is they are piling into a stock that causes an uplift in share price. Does sfa to benefit the underlying profitability / funding / stability of the company.
So if a company if fundamentally fcked, nothing much changes other than some punters p*ss away a lot of their hard earned cash. |
It's not being done for that reason, it's being done to try and hurt the institutions short selling the stock.
SB [Post edited 27 Jan 2021 20:43]
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| This is a brilliant way to beat “the man” at his own game. on 20:43 - Jan 27 with 2652 views | bluelagos |
| This is a brilliant way to beat “the man” at his own game. on 20:43 - Jan 27 by StokieBlue |
It's not being done for that reason, it's being done to try and hurt the institutions short selling the stock.
SB [Post edited 27 Jan 2021 20:43]
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Good luck with that... | |
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| This is a brilliant way to beat “the man” at his own game. on 20:45 - Jan 27 with 2646 views | StokieBlue |
| This is a brilliant way to beat “the man” at his own game. on 20:43 - Jan 27 by bluelagos |
Good luck with that... |
It's actually going rather well, losses in the billions for the short sellers thus far.
Ultimately the stock will come down and some people will lose out (possibly heavily) but it's definitely hurting the short sellers at the moment.
SB [Post edited 27 Jan 2021 20:45]
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| This is a brilliant way to beat “the man” at his own game. on 20:46 - Jan 27 with 2636 views | monytowbray |
| This is a brilliant way to beat “the man” at his own game. on 20:43 - Jan 27 by bluelagos |
Good luck with that... |
Power in numbers to send a statement, fighting back, waking others to issues and actions.
It’s a protest, enjoy it. | |
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| This is a brilliant way to beat “the man” at his own game. on 20:47 - Jan 27 with 2622 views | JakeITFC |
| This is a brilliant way to beat “the man” at his own game. on 20:43 - Jan 27 by bluelagos |
Good luck with that... |
It will land a multi-billion dollar blow on some short position holding funds for sure.
The game is rigged, so the occasional win for the good guys has to be celebrated. I'm almost certain that everything that possibly can come down on the WSB reddit is coming, though. |  | | |
| This is a brilliant way to beat “the man” at his own game. on 20:47 - Jan 27 with 2622 views | monytowbray |
| This is a brilliant way to beat “the man” at his own game. on 20:45 - Jan 27 by StokieBlue |
It's actually going rather well, losses in the billions for the short sellers thus far.
Ultimately the stock will come down and some people will lose out (possibly heavily) but it's definitely hurting the short sellers at the moment.
SB [Post edited 27 Jan 2021 20:45]
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If enough people stick some loose change in there no one loses really.
You are quite right, it’s activism, not making money. | |
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| This is a brilliant way to beat “the man” at his own game. on 20:48 - Jan 27 with 2624 views | J2BLUE |
I may be a pr1ck, but if I was looking at some of the profit some Redditors have (on paper at the moment) i'd be getting out and walking away. |  |
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| This is a brilliant way to beat “the man” at his own game. on 20:48 - Jan 27 with 2614 views | JakeITFC |
| This is a brilliant way to beat “the man” at his own game. on 20:47 - Jan 27 by monytowbray |
If enough people stick some loose change in there no one loses really.
You are quite right, it’s activism, not making money. |
It's a bit of a activism, but don't be fooled, 99.9% of people are in this for the profits. | | | |
| This is a brilliant way to beat “the man” at his own game. on 20:51 - Jan 27 with 2602 views | JakeITFC |
| This is a brilliant way to beat “the man” at his own game. on 20:48 - Jan 27 by J2BLUE |
I may be a pr1ck, but if I was looking at some of the profit some Redditors have (on paper at the moment) i'd be getting out and walking away. |
The thing is that the reason to get in (the short and gamma squeezes) haven't fully realised yet. There is still an incredible amount of short volume to be purchased (as well a massive amount of in the money calls for this Friday and beyond) and once that starts in theory the price could go up and up as the positions have to be satisfied at some point.
I've taken my initial investment out and am now freerolling - thousands on the line but the story has made sense so far... | | | |
| This is a brilliant way to beat “the man” at his own game. on 20:58 - Jan 27 with 2567 views | bluelagos |
| This is a brilliant way to beat “the man” at his own game. on 20:45 - Jan 27 by StokieBlue |
It's actually going rather well, losses in the billions for the short sellers thus far.
Ultimately the stock will come down and some people will lose out (possibly heavily) but it's definitely hurting the short sellers at the moment.
SB [Post edited 27 Jan 2021 20:45]
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Hey, if it works, then all good. But trying to beat the market rarely ends well. | |
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| This is a brilliant way to beat “the man” at his own game. on 21:02 - Jan 27 with 2541 views | monytowbray |
| This is a brilliant way to beat “the man” at his own game. on 20:48 - Jan 27 by JakeITFC |
It's a bit of a activism, but don't be fooled, 99.9% of people are in this for the profits. |
I’d rather a lot of normal people make a bit out the rich than a few people make it all at the expense of poorer folk. | |
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| This is a brilliant way to beat “the man” at his own game. on 22:06 - Jan 27 with 2432 views | CrayonKing |
I've been following this story for a while and finally went in on it early last week, after doing a hell of a lot of due diligence (hence the wall of text!)
The media are going with the simple narrative of Reddit v Wall Street, but there's a fair bit more going on here. Especially now that the numbers are so big that the redditors are pretty-much along for the ride while two sides of Wall Street fight it out.
The first factor is that the stock was simply undervalued, to start with at least. It *was* a dying company, but some exciting new board members (former head of Nintendo America, and then Ryan Cohen) and a pivot towards e-commerce ("Amazon of Gaming") meant it had a fighting chance of becoming something big. But "old money" just saw it as the next Blockbuster and continued to short it. Dangerously so (and possibly illegally but IANAL) - more shares were shorted than actually exist.
Some smart people did a lot of due diligence and came up with some pretty convincing reasoning of why it was undervalued and shared it on a very active reddit forum. People bought in, and lo and behold it went up, so more people bought in. A virtuous circle that gave the stock the initial boost it needed so that the chances of the stock falling back to where the shorts expected it to be became very slim, at least in the short term. But the shorts were stubborn so instead of closing their positions and taking the small loss they actually shorted it further.
Then word got out about the potential for a short squeeze. When you short a stock you borrow it from somebody (paying them interest), then sell it immediately on condition that you buy it back from the original owner at market-value in the future. If the stock goes down you profit, if it keeps going up you're fecked because you're on the hook for buying it at the higher price somewhere down the line.
Because more shares were shorted than actually exist the upside is *theoretically* infinite if the stock keeps rising - shorts *have* to buy the stock when it gets too high, but there aren't enough shares around for them all to be able to do that. Simple supply and demand. The redditors seem to understand this a hell of a lot better than the shorts at the moment!
The glorious thing about it is that every time a hedge fund gives in and liquidates its position another one thinks "next blockbuster" or "clearly a bubble!" and snaps up the available shorts again! Eventually it will end when they stop being dumb enough to keep doing this (or their brokers stop letting them do it), but for now I can see it carrying on. Hope so anyway! |  | | |
| This is a brilliant way to beat “the man” at his own game. on 22:17 - Jan 27 with 2381 views | StokieBlue |
| This is a brilliant way to beat “the man” at his own game. on 22:06 - Jan 27 by CrayonKing |
I've been following this story for a while and finally went in on it early last week, after doing a hell of a lot of due diligence (hence the wall of text!)
The media are going with the simple narrative of Reddit v Wall Street, but there's a fair bit more going on here. Especially now that the numbers are so big that the redditors are pretty-much along for the ride while two sides of Wall Street fight it out.
The first factor is that the stock was simply undervalued, to start with at least. It *was* a dying company, but some exciting new board members (former head of Nintendo America, and then Ryan Cohen) and a pivot towards e-commerce ("Amazon of Gaming") meant it had a fighting chance of becoming something big. But "old money" just saw it as the next Blockbuster and continued to short it. Dangerously so (and possibly illegally but IANAL) - more shares were shorted than actually exist.
Some smart people did a lot of due diligence and came up with some pretty convincing reasoning of why it was undervalued and shared it on a very active reddit forum. People bought in, and lo and behold it went up, so more people bought in. A virtuous circle that gave the stock the initial boost it needed so that the chances of the stock falling back to where the shorts expected it to be became very slim, at least in the short term. But the shorts were stubborn so instead of closing their positions and taking the small loss they actually shorted it further.
Then word got out about the potential for a short squeeze. When you short a stock you borrow it from somebody (paying them interest), then sell it immediately on condition that you buy it back from the original owner at market-value in the future. If the stock goes down you profit, if it keeps going up you're fecked because you're on the hook for buying it at the higher price somewhere down the line.
Because more shares were shorted than actually exist the upside is *theoretically* infinite if the stock keeps rising - shorts *have* to buy the stock when it gets too high, but there aren't enough shares around for them all to be able to do that. Simple supply and demand. The redditors seem to understand this a hell of a lot better than the shorts at the moment!
The glorious thing about it is that every time a hedge fund gives in and liquidates its position another one thinks "next blockbuster" or "clearly a bubble!" and snaps up the available shorts again! Eventually it will end when they stop being dumb enough to keep doing this (or their brokers stop letting them do it), but for now I can see it carrying on. Hope so anyway! |
It's going to be an interesting few days, I see the hedge funds are complaining in order to try and get the SEC involved but hard to see how an independent website encouraging small investments is market manipulation.
SB | | | |
| This is a brilliant way to beat “the man” at his own game. on 22:24 - Jan 27 with 2348 views | CrayonKing |
| This is a brilliant way to beat “the man” at his own game. on 22:17 - Jan 27 by StokieBlue |
It's going to be an interesting few days, I see the hedge funds are complaining in order to try and get the SEC involved but hard to see how an independent website encouraging small investments is market manipulation.
SB |
If anything the SEC should be involved because they over-shorted it and there were some blatant acts of market manipulation (by the shorts) during the last couple of weeks. But they’re playing the victim now to distract from that.
The “manipulation” by the redditors basically amounted to explaining why it was a good price (initially) and explaining the short squeeze and then just telling people to buy and not sell! [Post edited 27 Jan 2021 22:29]
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| This is a brilliant way to beat “the man” at his own game. on 23:16 - Jan 27 with 2294 views | monytowbray |
| This is a brilliant way to beat “the man” at his own game. on 22:17 - Jan 27 by StokieBlue |
It's going to be an interesting few days, I see the hedge funds are complaining in order to try and get the SEC involved but hard to see how an independent website encouraging small investments is market manipulation.
SB |
They’re angry the plebs have their number.
They’ll win, they always do, but huge statement on power/authority. | |
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| This is a brilliant way to beat “the man” at his own game. on 23:30 - Jan 27 with 2274 views | J2BLUE |
Is there any point me getting in on this?
I understand 100% it's nothing short of gambling and i'd be using money I could afford to lose if it goes to zero or they shut down trading etc. | |
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| This is a brilliant way to beat “the man” at his own game. on 23:33 - Jan 27 with 2262 views | monytowbray |
| This is a brilliant way to beat “the man” at his own game. on 23:30 - Jan 27 by J2BLUE |
Is there any point me getting in on this?
I understand 100% it's nothing short of gambling and i'd be using money I could afford to lose if it goes to zero or they shut down trading etc. |
I’m wondering too. Some people have lobbed all their savings in and made millions.
Although I’m thinking whack a tenner on LOL. | |
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| This is a brilliant way to beat “the man” at his own game. on 23:35 - Jan 27 with 2254 views | Bent_double |
| This is a brilliant way to beat “the man” at his own game. on 22:06 - Jan 27 by CrayonKing |
I've been following this story for a while and finally went in on it early last week, after doing a hell of a lot of due diligence (hence the wall of text!)
The media are going with the simple narrative of Reddit v Wall Street, but there's a fair bit more going on here. Especially now that the numbers are so big that the redditors are pretty-much along for the ride while two sides of Wall Street fight it out.
The first factor is that the stock was simply undervalued, to start with at least. It *was* a dying company, but some exciting new board members (former head of Nintendo America, and then Ryan Cohen) and a pivot towards e-commerce ("Amazon of Gaming") meant it had a fighting chance of becoming something big. But "old money" just saw it as the next Blockbuster and continued to short it. Dangerously so (and possibly illegally but IANAL) - more shares were shorted than actually exist.
Some smart people did a lot of due diligence and came up with some pretty convincing reasoning of why it was undervalued and shared it on a very active reddit forum. People bought in, and lo and behold it went up, so more people bought in. A virtuous circle that gave the stock the initial boost it needed so that the chances of the stock falling back to where the shorts expected it to be became very slim, at least in the short term. But the shorts were stubborn so instead of closing their positions and taking the small loss they actually shorted it further.
Then word got out about the potential for a short squeeze. When you short a stock you borrow it from somebody (paying them interest), then sell it immediately on condition that you buy it back from the original owner at market-value in the future. If the stock goes down you profit, if it keeps going up you're fecked because you're on the hook for buying it at the higher price somewhere down the line.
Because more shares were shorted than actually exist the upside is *theoretically* infinite if the stock keeps rising - shorts *have* to buy the stock when it gets too high, but there aren't enough shares around for them all to be able to do that. Simple supply and demand. The redditors seem to understand this a hell of a lot better than the shorts at the moment!
The glorious thing about it is that every time a hedge fund gives in and liquidates its position another one thinks "next blockbuster" or "clearly a bubble!" and snaps up the available shorts again! Eventually it will end when they stop being dumb enough to keep doing this (or their brokers stop letting them do it), but for now I can see it carrying on. Hope so anyway! |
Is this the same as what happened with VW a few years back?
Hedge funds lose $30 billion on VW infinity squeeze
https://moxreports.com/vw-infinity-squeeze/ |  |
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| This is a brilliant way to beat “the man” at his own game. on 23:40 - Jan 27 with 2244 views | Wacko |
| This is a brilliant way to beat “the man” at his own game. on 23:30 - Jan 27 by J2BLUE |
Is there any point me getting in on this?
I understand 100% it's nothing short of gambling and i'd be using money I could afford to lose if it goes to zero or they shut down trading etc. |
Don't know too much about what's going on, but the Redditers are being described as day traders, which is the way to do it. The longer you sit on them, the bigger the risk obviously. |  |
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| This is a brilliant way to beat “the man” at his own game. on 23:42 - Jan 27 with 2240 views | J2BLUE |
| This is a brilliant way to beat “the man” at his own game. on 23:33 - Jan 27 by monytowbray |
I’m wondering too. Some people have lobbed all their savings in and made millions.
Although I’m thinking whack a tenner on LOL. |
Ha yea I was thinking £50, nothing too serious. | |
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| This is a brilliant way to beat “the man” at his own game. on 23:44 - Jan 27 with 2232 views | CrayonKing |
Pretty much. The VW graph has been the inspiration for a lot of people to get in on it and to hold through the dips.
The dynamics of this one are a bit different because it’s been telegraphed from way out and I believe VW came as a big surprise, but the principle is the same - more shares needed to be bought than were actually available.
Whether it’s worth getting in on now, I’m not so sure. I’m still in but the price has got too steep for me to add more. Hard to argue with the theory though! Nagging feeling they’ll be able to manipulate their way out of it somehow!
Edit: not financial advice, etc etc [Post edited 27 Jan 2021 23:47]
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