GameStop/Reddit vs. Big Financial

[smokingman]

The reason it happened is the 140% short positions. In other words to cover all those who bet the price would drop you needed 40% more stock than even exists. It was greed that caused this. Using leverage to short.

Those who have lost billions who were short should lose. How can you ,with any kind of sanity think it is ok to short a company with more than 40% of your short "bets" not even being able to be covered? It was a very easy target to short squeeze because those short could not possibly come up with the stock to stay short.

Zerohedge

ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero

www.zerohedge.com

 

[singlestacksig]

SO how is a bunch of foolish people buying a stock that is way over priced "taking down wall street" ? this is just a big pump & dump scam.. all the robbinhood users have just made a bunch of hedge fund managers VERY VERY wealthy.. NO wall street fund makes short bets with out a counter play to cover if the stock goes the other way..

 

[jsharmon7]

The little guys are trying to rally until Friday. Seems like prices will tumble after that and a lot of people will be left in the cold. Or another rush of short sellers.

 

[smokingman]

Retail does not want to be manipulated anymore.

For decades Wall Street was manipulating securities, getting away with it, and blaming it on others. Through the media, ******** target prices, naked short selling, or other forms of manipulation mentioned here (Kenneth, this one's for you). Citadel and many other MMs - don't misinterpret with Market Makers, we're talking about Market Manipulators here - got away with their dirty tactics to make a shitload of money and screw people over. They finally got caught in their own game and tried everything to turn it around, but Shitron didn't work, the media didn't work, more aggressive selling didn't work. Now they're calling through some random crooks for regulations.

********. Regulation for what? Exchange of ideas? Our own Due Diligence? Winning against you in your own game? Yeah, in most cases your buddies at the SEC would gladly do so if you tell them anyway. This time though? People finally came to the realization of what the **** you guys are doing over there. It was known by many since 2008 but people forgot quickly, and now is the time to remind them that you are no one else's friend but your crooked buddies.

Zerohedge

ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero

www.zerohedge.com

I am not the author of this one,but agree with what he is saying.

 

[smokingman]

SO how is a bunch of foolish people buying a stock that is way over priced "taking down wall street" ? this is just a big pump & dump scam.. all the robbinhood users have just made a bunch of hedge fund managers VERY VERY wealthy.. NO wall street fund makes short bets with out a counter play to cover if the stock goes the other way..

Actually no.

The stock still has around a 120% short position. Positions that will need to buy stock if the price rises. It is in an almost self-sustaining rise. I understand what a pump and dump is,and this is not even close to that.

 

[zippy23]

I love this story. The rich greedy elite are being bankrupted by thousands of average people who all got together and took it to the elite. I read the big dogs are down about 5 billion right now. Meanwhile many average people are making alot of money. What concerns me is the regulations that will come from this. No way do they let the little peasants win. Its like what the left is doing now. You don't show up at the capital, you burn down portland. They'll bring in the military for a broken window at their house. Schwab restricted their users from gamestop, I'm gonna bet the high ups in many places make rules to stop this and save the billionaires while average guys get screwed even harder. Its the way of the corrupt world. But so much fun to watch. The little guy is risking hundreds of thousands just to stick it to these arrogant greedy manipulators. I love it. I might buy NOK tomorrow morning and see if that gains steam

 

[larcat]

For those of you who know some of the back story on this GME thing, you'll know there's association with wrongthink parts of the internet.

Doo dee doo.



What fraud, exactly?

 

[jsx1043]

There’s a LOT of anti-semitism being thrown out about this on IG and whichever Chan they’re on now. Wouldn’t surprise me if it was in Discord as well.

 

[MinuteManMike]

I'm just loving it. The idea that these bastard vultures on Wall Street use their power to crush companies' stock values and make money off it is obscene. They produce NOTHING. And suck probably trillions of dollars in value from the real world every year.

A "rogue" bunch of Reddit folks noticing and leveraging THEIR money to crush these parasites is hilarious. It's epic in its awesomeosity.

A bunch of Wall Street leeches, hoist upon their own retard. I only wish I'd chipped in to help make them squeal.

 

[ditcherman]

I'm just loving it. The idea that these bastard vultures on Wall Street use their power to crush companies' stock values and make money off it is obscene. They produce NOTHING. And suck probably trillions of dollars in value from the real world every year.

A "rogue" bunch of Reddit folks noticing and leveraging THEIR money to crush these parasites is hilarious. It's epic in its awesomeosity.

A bunch of Wall Street leeches, hoist upon their own retard. I only wish I'd chipped in to help make them squeal.

I really want to correct the “hoist upon their own petard” but it actually kinda works.

 

[ditcherman]

I love this story. The rich greedy elite are being bankrupted by thousands of average people who all got together and took it to the elite. I read the big dogs are down about 5 billion right now. Meanwhile many average people are making alot of money. What concerns me is the regulations that will come from this. No way do they let the little peasants win. Its like what the left is doing now. You don't show up at the capital, you burn down portland. They'll bring in the military for a broken window at their house. Schwab restricted their users from gamestop, I'm gonna bet the high ups in many places make rules to stop this and save the billionaires while average guys get screwed even harder. Its the way of the corrupt world. But so much fun to watch. The little guy is risking hundreds of thousands just to stick it to these arrogant greedy manipulators. I love it. I might buy NOK tomorrow morning and see if that gains steam

Best thing I’ve read all day “you don’t show up at the capital, you burn down Portland”.
Very well said all the way around.

 

[ditcherman]

AMC and other heavily shorted stocks aren’t going up because of wallstreetbets they are going up because of margin calls and and Market makers making it harder to borrow shares.

the rest of the market is going down because as hedge funds are being forced to pay astronomical interest on their short positions they have to get money from somewhere.

iborrowdesk has a lot of information on shorts and shares available https://iborrowdesk.com/report/AMC

None of this is because of wallstreetbets. It’s because hedge funds are over leveraged and have maxed the credit cards on a bad bet. Then when they maxed the credit cards they sold the house to pay the interest only (not principal). This is the same kind of speculation that brought us the mortgage crisis. Some people made millions on that as well. Watch “The big short”.

Appreciate your explanations, but are you actually meaning to say that none of this is due to the Reddit activity or wallstreetbets?

 

[ashby koss]

GameStop. A company that has been retreating on the trunk of bankruptcy for about 10 Years, has been floundering under terrible retail management for the past decade or more.

it surges around 300%?! Yeah right. This is just as reliable as China in the stock markets in a free market.
(Print more paper!)

use your critics thinking. This all stinks to high heaven.

 

[bwframe]

 

[SheepDog4Life]

The long story short on the GameStop situation is that hedge funds and other big money shorted 140% (read borrowed, sold and promised to buy back later) of the available GameStop shares. This much overextension leads to a situation where they were paying over 50% interest on those borrowed shares last week.

some people on Wallstreetbets figured out that since these funds were most likely doing this with borrowed funds it could set up like the VW infinity squeeze. They spread this knowledge and others bought and held shares. This drove the price up to the point where Melvin capital needed a 2.75billion dollar loan to stay solvent.

the more interesting part of this is that it appears that Melvin capital used that money to pay off margin calls instead of closing out their positions at a loss. The short interest is still over 140% meaning no one has closed out their short positions. The hedge funds are running out of ways to manipulate the stock back to single digits and the deplatforming of Wallstreetbets represents the peak of desperation.

anyway I know this is long. Sorry it’s kinda complicated.

I've been hearing about this for a couple days from my son... and that's the story, short interest exceeding total shares... majorly. It's like putting your jewels in a vise and daring someone to turn the crank... they did.

 

[smokingman]

As of 1/28/2021 1:22am est

Despite the posturing that this or that hedge fund has covered its Gamestop exposure, new shorts have simply taken their place, and as Ihor Dusaniwsky, head of S3 Partners which provides daily short interest tracking in real-time notes, the short interest - after all the recent fireworks - is still a whopping 139.7%.

In other words the shorts actually covered so far(and have not been replaced)represent less than 2% of all the short positions(and already losses in the billions).

Zerohedge

ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero

www.zerohedge.com

 

[mbkintner]

I think the new CEO will help the company. They are exiting low margin vehicles and focusing on more profitable stuff. Plus, they may cut a deal with Rivian. They sure are invested in them. I look at my Ford stock as a long term investment. I bought in 2010, I believe. I also used it once to get the class A discount on a new Ford. Who knows, I might get a wild hare and use it for a new Bronco!

Holding out for a Shelby Cobra GT500 here.

 

[jsx1043]

If you really want to watch the shenanigans, check out the subreddit:

Reddit - Dive into anything

www.reddit.com

It’s...interesting, to say the least.

 

[Dean C.]

As of 1/28/2021 1:22am est

Despite the posturing that this or that hedge fund has covered its Gamestop exposure, new shorts have simply taken their place, and as Ihor Dusaniwsky, head of S3 Partners which provides daily short interest tracking in real-time notes, the short interest - after all the recent fireworks - is still a whopping 139.7%.

In other words the shorts actually covered so far(and have not been replaced)represent less than 2% of all the short positions(and already losses in the billions).

Zerohedge

ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero

www.zerohedge.com

This stock is going to go batshit over the next week. It's not financial anymore it's personal. Wall Street Bets is in full on hold till $1000 "F you pay me" mode with the hedge funds right now. To be honest this thrills me, how could they 140% short a stock and think it was a good idea?

 

[Ark]

I may have autism but I don't have anywhere near enough autism to understand WSB.