Joe President’s refusal to comment on the situation so far isn’t exactly encouraging. The band can feel free to keep playing until the ship goes down. I’m jumping into a lifeboat with the women and children (maybe).
Exactly. The trick is to try and out smart those that are trying to figure out when to unload, and get out before them. I'm even reconsidering dropping it a bit from there, because it'll still be a half decent profit well below that. I don't want the moon, I want "good enough for now".
If he weighs in on the dorks versus the douches, I'd kind of be annoyed he doesn't have more important shit to do. This is his SEC's problem, and right now they are probably waiting on the dust to settle one way or another. I bought at $333 for the lulz. Going to be an interesting afternoon.
Just to give an update of what I'm seeing with GME today, the same thing that happened later in the day yesterday is happening again today. Just churning stocks to keep the price somewhat level. With that said, there are so many options expiring today, whoever is holding the price down right now can't do it forever. At some point today this is going to completely fly off the rails, and I'm guessing it's going to come ~30 minutes before close. It somewhat coincides with when the feds usually use the Plunge Protection Team to prop up a dying regular market by just flooding liquidity into the market. The really big question comes down to how high it goes before people run out of buying power. Everyone has been buying this up the past 3 days and unlike huge hedge funds, people don't have nearly unlimited money. Rockets can go to the moon if they have enough fuel, but when the fuel runs out, it's time to get out. For today, I'm holding to what I said yesterday, I don't think this goes higher then $500 today, especially after seeing how much churn has been going on in the past 2 days. I'm guessing almost all of the dangerous hedge fund ruining positions have closed by now and with the options coming to a head today there's only so much gas in the tank to drive the price up. I'd put any limit orders around $430-460 and if it hits, you're good. This could blow past it next week as not all of the options short expire today, but enough of them do to make a big move.
Where can you find the expiration date of these shorts, or is that always an unknown variable for everyone expect the shorter?
It also comes down to the general public having no comprehension of high level finance and the common scare tactic of if we are punished/failed all of the retirement funds will be devastated and 401k will be worthless and your elderly parents will go hungry. I think it’s funny to see how some in the msm are trying to paint this situation as toxic Trump populism. Framing the reddit autist as an offshoot of the same 4chan conspiracy theorists who lead to the capitol riot (they are really going warp speed at over using “insurrectionist” for everything they disagree with). If it becomes petty political bickering it’ll just be that much easier to waste a rare bipartisan situation.
I've also got 1 share in this. Worst case I lose £50 so I'm in this for the fun. I am kicking myself for not buying a few more shares when it was around $40
https://www.cnbc.com/2021/01/29/sec...-frenzy-vows-to-protect-retail-investors.html Oh boy. Maybe Joe-Buy will say something after all.
So I've been following this situation because I find it fascinating, and admittedly for some schadenfreude for asshole billionaires. Not because I have any skin in the game with stocks. I think I now have a good understanding of how short selling works, and how the short sellers got squeezed by the retail buyers driving the price up. What I don't get, and maybe it's been explained in this thread and I missed it, is that a lot of people on reddit are saying that if they didn't do what they did and the short sellers succeeded, Gamestop would have been bankrupted and 15 000 people would have lost their jobs. As far as I can tell, the short sellers were making a bet that the stock price would fall, not explicitly causing the fall in price. So are they just creating another justification to make themselves feel good, or would the short selling of the stock actually hurt the company? From what I've read, short selling doesn't actually hurt the company, they just target companies that are likely to fail anyway and profit off of that. Or am I misunderstanding?
When they sell that number of shares into the market, the price drops. Then they go on TV, like CNBC and tell the world that the company is doomed, and that the share price is too high and the "fundamentals" show that it's doomed to fail, so everybody should get out now. That's what the fuckheads from Citron have been doing. This causes some investors to further sell their shares, even further driving the price down. Then there's a huge fall that is reported, and panic selling can set in. So much of it is market manipulation via propaganda, supported by the financial channels/media. At least that's my newb/cynical/outside view of it.
Big short positions can cause a snowball effect in terms of investor confidence. If a fund shorts a company, it can signal that the company is viewed as weak. This in turn will call the stock to fall, fulfilling the goal of the short position. The stock drops and the company can't raise capital and operate effectively. This can lead to bankruptcy. Keep in mind, the short positions on GME were probably the "smart" position. No one really foresaw the bizarre retail investor revolt we're seeing now.
Citron is no longer publishing short info. https://twitter.com/CitronResearch/status/1355152873487798274
To add on for @Whothehell: This is why this whole Gamestop thing is such a fiasco for these billionaires. Since a bunch of redditors are stubbornly refusing to sell and driving up the price, when these short sellers have to return their borrowed shares, they'll have to buy at what the price is now. This will cause the price to go up even more. Hedge funds lose more money, the little guys gain money, and the rest of us get to make jokes about giving billionaires a $600 check to live on for six months. I'm here for it.
I'm of the school that if a company can't survive just by conducting business and depends on stock offerings for revenue, they should go ahead and get gone. But I'm not a B School graduate so what do I know? I get doing IPOs to raise capital for expansion, but after the expansion is done? Did you have a plan for continued independent growth or was the plan to suck the stock price teat forever?
I’m just sad I didn’t pay attention earlier, because I’d totally get in on one share as my intro to finance/stocks. But not for the price it is now. If I’d gotten in when Nett did...