eye contact

5y

if the market had an issue with volition they wouldn’t let multi billion hedge funds illegally short a stock for a business that is filled with working class employees into the ground

eye contact

5y

preface: Gamestop is actually in a better position than many believe because of the amount of cash on hand they have, and better performance than expected due to the console cycle

now to the real s***

People short stocks when they think it will fail. This is the process of borrowing a stock, selling it at a high price, then betting on the stock to fall down so they can buy it back at a lower price and return the stock, to the lender, creating a profit. This is basically betting on the failure of a stock, and it is how some companies made a massive amount of money during the housing crisis. Sounds extremely scummy right? It is. A hedge fund named Melvin Capital had shorted Gamestop to an absolutely extreme amount, -138% of their total share value. This is called naked shorting and it’s actually illegal. A number of redditors in the trading community /r/wallstreetbets noted the massive short and the low price of Gamestop stock, and decided to begin was was called a short squeeze. This is when the price of a stock is driven extremely high to force shorters to sell their stocks to cover their losses, creating higher prices as they give in to demand. This is illegal to coordinate privately but it occurred in a public setting on reddit so it’s really not illegal. this all basically snowballed into the price going fron 3-4.00 to as high as 483. The squeeze is absolutely decimating Melvin Capitol and high rollers in the stock market have been colluding to keep the retail investors from buying more gamestop which is illegal

eye contact

5y

preface: Gamestop is actually in a better position than many believe because of the amount of cash on hand they have, and better performance than expected due to the console cycle

now to the real s***

People short stocks when they think it will fail. This is the process of borrowing a stock, selling it at a high price, then betting on the stock to fall down so they can buy it back at a lower price and return the stock, to the lender, creating a profit. This is basically betting on the failure of a stock, and it is how some companies made a massive amount of money during the housing crisis. Sounds extremely scummy right? It is. A hedge fund named Melvin Capital had shorted Gamestop to an absolutely extreme amount, -138% of their total share value. This is called naked shorting and it’s actually illegal. A number of redditors in the trading community /r/wallstreetbets noted the massive short and the low price of Gamestop stock, and decided to begin was was called a short squeeze. This is when the price of a stock is driven extremely high to force shorters to sell their stocks to cover their losses, creating higher prices as they give in to demand. This is illegal to coordinate privately but it occurred in a public setting on reddit so it’s really not illegal. this all basically snowballed into the price going fron 3-4.00 to as high as 483. The squeeze is absolutely decimating Melvin Capitol and high rollers in the stock market have been colluding to keep the retail investors from buying more gamestop which is illegal

Emery Atreides

5y

2021 already a classic

afterimage

5y

Thank you

So the redditors responsible for this and trying to stop scummy Wall Street traders?

Emery Atreides

5y

2021 already a classic

SolidSnaku

5y

should probably mention it's only low/mid-tier investment firms (like melvin and citron) that are losing out on this

bigger ones like blackrock, vanguard, and fidelity are selling shares to the /r/wsb and /biz/ s***posters.

SolidSnaku

5y

should probably mention it's only low/mid-tier investment firms (like melvin and citron) that are losing out on this

bigger ones like blackrock, vanguard, and fidelity are selling shares to the /r/wsb and /biz/ s***posters.

sipsome

5y

$NOK is a long-game, correct? I don't get why it would be shorted considering their position in 5G infrastructure.

Champion Holle

5y

This is the weirdest timeline

Soulo

5y

I don’t understand how stocks work at all or what any of this means lmaooo

Soulo

5y

I don’t understand how stocks work at all or what any of this means lmaooo

afterimage

5y

So many of my friends are getting into stocks

I’m too lazy to learn, maybe when I start getting some extra dough from this job I might start messing around with it

eye contact

5y

this is actually exactly what happens in marxist theory down to a T the illusion of class peace is shattered when standards are not the same, leading to class consciousness and populist rhetoric on the right and left uniting temporarily to topple the elite

Champion Holle

5y

Marxism is not about to occur as a result of this