11–20 of 37 posts
"Markets can remain irrational longer than you can remain solvent."
Not that the GME stock is necessarily being traded on an irrational basis at the moment - I haven't done any research on it - but I think people need to remember that a lot of the inexperienced robinhood traders are just engaging in speculative gambling, and knowingly or not, pump and dump schemes.
Robinhood has gotten a lot of flak recently for the power they've given inexperienced traders, but without them this wouldn't have happened. They're really living up to their name.
Institutional finance is just a percentage of what some people put in the market.
And like governments, they may start realizing they must not do things that will make too many people angry, as the scale does not work in their favor now that new tools have made greater cooperation possible.
I’ve been following this for a few months and it’s really interesting to me that retail investors could actually have this sort of influence on a non penny stock. Given the high volume of trading, it doesn’t seem like there would be enough buyers to drive the price up this high, and institutional buyers I would think are staying away from something that seems to move so far away from its fundamentals. This is very di…
The way I see it, Citron believes this fiasco is irrational thought about the future of Gamestop and its value.
I think this is actually about the common retail trader manipulating the 'market manipulators'. In other words, let Citron taste their own medicine.
I think Citron failed to realize in the beginning that they were playing a different game than retail traders. Citron believes this is about value investing. WallStreetBets thinks this is a David vs Goliath situation, regardless of the stock they are fighting over.
[1] https://twitter.com/citronresearch/status/135234404324660838...
For context one short seller (Citron Research) published this video explaining their belief that GME is a $20 stock.[1] The way I see it, Citron believes this fiasco is irrational thought about the future of Gamestop and its value. I think this is actually about the common retail trader manipulating the 'market manipulators'. In other words, let Citron taste their own medicine. I think Citron failed to realize in the…
Institutional hedge funds got greedy and they're getting punched in the gut by retail investors; personally i think it's nice to see. A few comments on the price action: 1) true short interest is unclear; remaining short-sellers will likely be forced to "buy to cover" over the next few days, potentially driving the price even higher. 2) WSB users invested heavily in call options; "exercising a call" option can also d…
Every single strike price on Friday was in the money on expiration. It’s hard to overstate how ludicrous that is.
For context one short seller (Citron Research) published this video explaining their belief that GME is a $20 stock.[1] The way I see it, Citron believes this fiasco is irrational thought about the future of Gamestop and its value. I think this is actually about the common retail trader manipulating the 'market manipulators'. In other words, let Citron taste their own medicine. I think Citron failed to realize in the…
Do the wsb retail investors really control enough money to be buying up the stock this much? If they do, that means they could do this to many stocks...
For context one short seller (Citron Research) published this video explaining their belief that GME is a $20 stock.[1] The way I see it, Citron believes this fiasco is irrational thought about the future of Gamestop and its value. I think this is actually about the common retail trader manipulating the 'market manipulators'. In other words, let Citron taste their own medicine. I think Citron failed to realize in the…
Volume for the day is currently at 134m. Even at $80 average trade price, that is over $10 billion worth traded today. Average volume was 20 million for a whole day, and at $20 was about $400m trading hands. Do the wsb retail investors really control enough money to be buying up the stock this much? If they do, that means they could do this to many stocks...
This is a perfect storm where very big players are incredibly overextended and don't know how to deal with irresponsible/rash decision makers. It's not impossible for it to happen again, but these are not conditions WSB or similar peanut galleries can reliably recreate.
I’ve been following this for a few months and it’s really interesting to me that retail investors could actually have this sort of influence on a non penny stock. Given the high volume of trading, it doesn’t seem like there would be enough buyers to drive the price up this high, and institutional buyers I would think are staying away from something that seems to move so far away from its fundamentals. This is very di…
For context one short seller (Citron Research) published this video explaining their belief that GME is a $20 stock.[1] The way I see it, Citron believes this fiasco is irrational thought about the future of Gamestop and its value. I think this is actually about the common retail trader manipulating the 'market manipulators'. In other words, let Citron taste their own medicine. I think Citron failed to realize in the…
Volume for the day is currently at 134m. Even at $80 average trade price, that is over $10 billion worth traded today. Average volume was 20 million for a whole day, and at $20 was about $400m trading hands. Do the wsb retail investors really control enough money to be buying up the stock this much? If they do, that means they could do this to many stocks...
The TL;DR is that r/WSB et al primarily trade in options, which provide significant leverage and force market makers to take increasingly large positions in the underlying to hedge.