John Maynard Keynes maxim that
the market "can remain irrational longer than you can remain solvent."
Tesla short sellers lost $40 billion in 2020.
Elon Musk made more than triple that
https://www.cnn.com/2021/01/06/inves...win/index.html
John Maynard Keynes maxim that
the market "can remain irrational longer than you can remain solvent."
Axios email
"How it works:
Thanks to Robinhood and other stock-trading apps,
trading options in GameStop (or BlackBerry, Bed Bath & Beyond or any other smallish company Wall Street traders have bet against) is easy, fun, and
carries a commission of exactly $0.
- Giant hedge funds like Melvin Capital now find themselves at the mercy of thousands of small investors using the internet to coordinate buying attacks.
The bottom line: Short-selling — betting that a company's stock will fall — is a crucial element of efficient markets.
- Wall Street veterans say the newbies' lack of experience and diversification mean they’ll eventually get crushed by their trades.
- So far, however, the small guys are laughing all the way to the bank.
But, thanks to Reddit, it's also never been more dangerous."
Hedge funds aside, 90% of the people who will get ed by this are the casual redditors who are jumping on the train. Once the whales on reddit cash out, the stock will crater, ing over the rest of the reddit army that has bandwagoned. Big pump and dump scheme under the guise of “taking on hedge funds”
That's how it works. *shrugs* I already made an easy grand since last night.
This proves the stock market is just a joke and a scam
It's no fair when the punters take the house.
I'm not touching any of this but I love it.
Saw some dude on a business show crying about how unfair & dangerous it is for these hedge funds to lose on their short attack
I think there was similar crying when shorts got smashed by tesla
They won't need a bunch of regulations. All they have to do is put a capital requirement on retail accounts in order to trade options. If the account value has to be $50k or $100k then boom reddit/robinhood boys are shut out from doing this and hedge funds can get back to business as usual.
Oh noes! Rich white men have been affected!
SOMEBODY DO SOMETHING!
If all the account is doing is buying options idk how they could justify capital requirements, but if random redditors are issuing options then in all fairness there should be capital requirements (same thing with anyone else issuing options).
And they will
None s with rich white men. Biden will oblige
They can justify anything they want just by saying the rule is intended to protect individual investors
Really tempted to buy some put options, this is gonna tank once the major retail investors jump ship
Pulled the trigger on January 2022 puts with a $30 breakeven price, not a chance these Redditers keep the charade going for a full ing year
Gamestop is completely ed long term with two of the major consoles, namely PS5 Digital Edition and XBox Series S, strictly digital. Plus every Switch gamer I know largely buys digital too since there is no real money to be saved buying physical for that system.
Yeah that’s what convinced me to made the trade. There’s nothing intrinsically promising about GameStop, everything it does is obsolete and the e-commerce it’s trying to break into already has bigger and more established compe ors. It’d be a long term short position that makes sense even ignoring the Reddit re s.
There are currently 2 users browsing this thread. (0 members and 2 guests)