The GameStop Saga

Step on down the aisle to the nickle slots with me. You can pull on the handle all day long & still spend less than what you used to blow in 1 night of partying. With a little luck you might even make some money off of the chump change.

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Maybe i did. I need to check later. All I know for sure is that I just screwed myself out of a nice haul by closing my non-hedged GME put.

I was thinking there must be a lot of short selling on oil and gas drilling companies given the poor state of the market, perhaps they might be short squeezed at some point?

Some say a lot of naive investors on wallstreetbets might be breaking trading laws with regards to market manipulation etc. the SEC are probably looking into it given how much media attention it has had.

@popehat agrees with you.

This take is a bit long but interesting, read the first and last paragraph for a quick summary.

I don’t know which is a bigger manipulation, a bunch of individuals on reddit banding together in hope’s of raising a stocks price or brokerage houses like Robinhood, TD Ameritrade etc. abruptly removing equities from their platforms causing all the stocks I mentioned in comment 12 to plummet, some over -50% in less than a couple of hours? I don’t like either one but at least the reddit gang was gambling while the brokerage houses have guaranteed a win for themselves with a fixed deck.

who is popehat?

A high powered attorney. Does a lot of white collar. And this.

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I’d add to that list of bigger market manipulators being the big-name short investors. I don’t see how one can fault redditors for having an open discussion about buying a stock saying its undervalued, but not at all regulating the likes of Bill Ackman with Herbalife or Hindenburg Research with Nikola. Both of them took massive short positions then publicly announced it, bashed the companies flooding the market news with their presentations, and pleaded for them to fail. At least (I say with some schadenfreudian pleasure) Ackman lost a cool Billion in a 5-year battle. But Nikola investors took a bath and the CEO resigned. I just can’t get on board with shorting and hoping for someones failure…maybe that should be more regulated.

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Heres an interesting WSJ podcast for anyone looking for an explanation of the various forces that played into this event.

Also, this looks pretty bad: A company called Citadel Securities is one of the firms that bailed out Melvin Capitals massive short losses. Citadel is also who facilitates Robinhood’s trades. Robinhood halted buy-side trading for a period of time which temporarily halted the spike. It’s also bing rumored that while trading was halted, Citadel may have re-shorted the stock at its peaks. That should keep the SEC busy for a while (or equally as likely be ignored…)

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I’m hearing the same but no links yet. Rumor is Robinhood & TD Ameritrade bots were shorting certain stocks & when it appeared they would take a big lose they prohibited their clients from buying the stocks causing the stock prices to nose dive, shorts making out like bandits. I’ll wait to see how the law suit terminology is written & post it later. Maybe some cha-ching for Robinhood & TD Ameritrade users in a class action? That would suck, not only would it be the hedge funds that we are fighting against but our own brokers who we pay & who hold our money.

I’ll be watching. I got shook out of an awesome trade because I wasn’t allowed to execute the hedge. Partially documented here!

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Yes, my son introduced me to WaalStreetBets late last year. I’ve been doing very well with their recommendations.

I out a small position in GME a couple of weeks ago and a few others but I got slaughtered when the bank’s colluded against us this morning.

I’m still in the green but my position is relatively small.

Oh and also… my finger is now trending on Reddit :rofl:

https://www.reddit.com/r/wallstreetbets/comments/l7d49f/i_feel_like_clorox_did_during_the_pandemic/?

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I seen commenters on another forum claim we were knee capped & Nancy Karrigan’ed which sums it up pretty much. What’s is perhaps worse, I seen 1 local & 2 national news shows tonight & none of them mentioned why all the Reddit stocks plummeted. Not a word about the shorters & financial institutions banning purchasing of certain stocks guarenting the shorts would recover leaving a lot of bag holders at inflated prices or taking a loss. Oh well, business as usual for the little guys.

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I hope Wall Street crash and burn after the dirty ugly shit they did.

:rocket:

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It was so blatant too. :gem: :gem:

This is more socialism for the rich, it sure isn’t “free market capitalism”

I don’t think the price has dropped as much as they wanted, it is still over 300 dollars in after hours trading.

Son called me yesterday, had gamestop in the teens years ago. He asked WTF? Told him it’s all hysteria and get out. This will pass. Wait for the next scam if you have the stomach for it. The tortoise always beats the hare.