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GameStop Is Rage Against the Financial Machine

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Re: GameStop Is Rage Against the Financial Machine

#271

Post by sayhar »

bilegeek wrote: post #178
jimbob45 wrote: post #138

Earlier quoted context omitted.

Same stuff goes down on 4chan and several other sites. Not to mention the fact that the SEC has neglected to investigate insider trading for years now. IMHO why the fuck is shorting legal to begin with. Short insurance should be mandatory for short trading.

Well, the IRS doesn't go after rich people because they don't have the funding[1]; they only go after the people they can afford to go after[2]. I know the IRS is different from the SEC, Apples to Oranges. But like you said, they've neglected insider trading; it's probably for very similar reasons, because those being investigated just have too much power to take down. I'm sure the SEC will hammer these easy targets…

I don't know why you're being voted down here. These are legitimate articles in major publications that are broadly accepted by experts in the field. Sad!

Re: GameStop Is Rage Against the Financial Machine

#272

Post by hoka-one-one »

cwhiz wrote: post #68

I am loving every minute of this. The "professionals" gamble on the market all the time, front run, high frequency trade, and relentless tactics to get rich at the expense of the "retail" investors. Now they are upset that apps like Robinhood has provided unprecedented access to the markets. Their exclusive access to insane gambling nonsense is being torn down in real time. If Wall St can gamble and cause a global fi…

Have you completely discounted that this thing was calculated? Plenty of professionals probably foresaw the squeeze.

Re: GameStop Is Rage Against the Financial Machine

#273

Post by fennecfoxen »

VikingCoder wrote: post #229
fennecfoxen wrote: post #82

Earlier quoted context omitted.

You're proposing to make the market more efficient by giving the politicians more power to boss companies around and pick winners and losers. This is an excellent thesis if you believe central planning is the best way to allocate society's resources and is definitely never a vehicle for official corruption, and taxpayer funds are never ever misused for bailouts and other political favors. If not, such a move will onl…

> You're proposing to make the market more efficient by giving the politicians more power to boss companies around and pick winners and losers. I'd love to hear your analysis of how Norway is handling their oil reserves. Huge companies are not paying taxes. That's a problem. You seem to think there's no good solution. I maybe agree. But I'm willing to move on to a bad solution. How about you? > As it turns out, gover…

Excuse me. You started this by saying you were trying to deploy capital more efficiently. You appear to have abandoned that premise.

Re: GameStop Is Rage Against the Financial Machine

#274

Post by partiallypro »

cwhiz wrote: post #68

I am loving every minute of this. The "professionals" gamble on the market all the time, front run, high frequency trade, and relentless tactics to get rich at the expense of the "retail" investors. Now they are upset that apps like Robinhood has provided unprecedented access to the markets. Their exclusive access to insane gambling nonsense is being torn down in real time. If Wall St can gamble and cause a global fi…

This might have started on social media, but make no mistake that the professionals are the ones that piled on to take advantage of the situation.

Re: GameStop Is Rage Against the Financial Machine

#275

Post by cccc4all »

thepasswordis wrote: post #86

There's a mantra among these people of "I just wanted to play video games, why couldn't you leave me alone?" The culture of a lot of redditors and internet trolls in general seems to be that they feel like they are the eternal punching bag of society. They were the punching bag in high school, they didn't get into a good school (or go to college at all), and now they're the punching bag of society as "incels" or "whi…

There are 3 million people at WSB. Are you calling all 3 million "incels" and "white male" or whatever? Why are you calling them "these people"?

Do you think their opinions are less than yours?

Re: GameStop Is Rage Against the Financial Machine

#276

Post by Marazan »

elliekelly wrote: post #49
ISL wrote: post #32

Earlier quoted context omitted.

It isn't just retail that is going to get destroyed -- the option-sellers may not have enough capital to hedge effectively. A lot of parties are going to be harmed by this; it is an expensive tuition payment to the school of hard knocks. The most interesting technical thing about this fracas is the fact that WSB has managed to play the options-sellers off against the shorts to set this off. The kids have temporarily…

And (no one seems to be talking about this) but there's definitely a systemic cost. Going forward, how do you effectively manage the risk of one of your positions becoming a meme? This happening once is an interesting situation and I've certainly enjoyed watching it play out. If it happens repeatedly it will definitely start to undermine the investing public & market participant confidence in the market. That's certa…

Don't play derivates, options or shorts.

Buy things, hold things, sell things.

Re: GameStop Is Rage Against the Financial Machine

#278

Post by criddell »

elliekelly wrote: post #78
dannyw wrote: post #33

Earlier quoted context omitted.

You underestimate just how much concentrated retail volume is. I have had more than ten people ask me how to buy GME. Its on the front page of everything. Bitcoin’s nearly $1T market cap is more or less all retail. Plenty of WSB posts with multi million positions. Disclosure: I long GME.

> Plenty of WSB posts with multi million positions. This is interesting. I wonder what percent of outstanding shares of $GME WSB commenters collectively own and whether the SEC could make the case they're operating as a "group" for disclosure purposes.

What is there to disclose when the group is entirely open for anybody to see?

Re: GameStop Is Rage Against the Financial Machine

#280

Post by AlexandrB »

dheera wrote: post #243
blueblisters wrote: post #223

Earlier quoted context omitted.

Short sellers are incentivized to uncover scams and overvalued equities, as a few other folks pointed out. There are firms like Muddy Water doing the hard work of finding companies swindling investors and using publicly available data to make a case against them. Without short selling, they lose the incentive to do that.

I'm fine with them not having that incentive. Scams can be uncovered by CUSTOMERS and plenty of other people than short sellers, and I don't think overvalued equities is actually a problem. Many times overvalued equities leads to faster adoption of EVs and solar and better GPUs and other nice things, which are more important to my personal life than maintaining the sanctity of capitalism.

Overvalued equities lead to market crashes that tend to wipe out the retirement funds of unsophisticated investors and bankrupt otherwise viable companies. Has everyone forgotten about the dot com bubble of 2000? If so I think we're headed for a reminder.
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