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Transfer Stocks Out of Your Robinhood Account

robinhood.com

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Re: Transfer Stocks Out of Your Robinhood Account

#181

Post by cush »

flyGuyOnTheSly wrote: post #123

I really don't know what all the fuss is about. Robinhood decided to halt trading on a number of stocks due to uncommon volatility, just for a day, so they can assess the matter. [0] And as is common practice in the trading world... when a market is closed, you are still allowed to close your position. Which means that you are allowed to sell, and not buy. (If robinhood allowed for true shorting then people could sti…

Robinhood didn't halt selling, only buying, and they have a massive conflict of interest.

Re: Transfer Stocks Out of Your Robinhood Account

#182

Post by dragontamer »

easton wrote: post #136
dragontamer wrote: post #107

Earlier quoted context omitted.

> Citadel bailed out Melvin who illegally naked shorted 150% of the float Yeah. Misinformation. #1. Melvin seems to have held a significant number of puts as far as I can tell. #2. Even if they were stupid enough to short 150% of the available shares, I don't believe there's anything illegal about that.

At Melvin scale it most likely is illegal, if they didn’t have a reasonable chance at getting the shares they needed (which at ~140% of float, they don’t). https://www.sec.gov/news/press/2009/2009-172.htm

> which at ~140% of float, they don’t

Why not?

Person A has 100 shares. Melvin borrows 40 shares from A, and sells it to Person B.

Person A + Person B now have 140 shares combined (while Melvin has -40 shares). If PersonA + PersonB agree to loan shares to Melvin for another short sell, they've become able to drop to -140 shares, by borrowing 60 of Person A's remaining shares, and then 40 shares from B.

Nothing illegal here, as long as Person A and Person B agree to the terms.

----------

And again: Melvin seemed to hold puts, not shorts. So this entire point is moot anyway. Puts are a bear-bet, but they're kind of unrelated to short-selling.

Re: Transfer Stocks Out of Your Robinhood Account

#183

Post by hourislate »

I'm not sure if the following is correct but according to the post on WSB, they ran out of Stock. There was a couple of folks who said their market order was filled at 5k for a share. Something wonky happened and they had to force sales.

https://old.reddit.com/r/wallstreetbets/comments/l7bpf5/30_s...

Re: Transfer Stocks Out of Your Robinhood Account

#184

Post by [deleted] »

TuringNYC wrote: post #156
PragmaticPulp wrote: post #122

Earlier quoted context omitted.

One of Robinhood’s innovations was that they gave everyone a margin account, but hid the details. When you transfer money in, Robinhood doesn’t actually get that money until a couple days later. They allow you to buy stock immediately, but that happens (transparently) on margin. Robinhood is loaning you the money to make it happen. Likewise, when you buy or sell a stock, the trade doesn’t settle for t+2 days. Robinho…

>> When you transfer money in, Robinhood doesn’t actually get that money until a couple days later. They allow you to buy stock immediately, but that happens (transparently) on margin. The solution would be to disallow this feature, not to stop trading of certain tickets on all accounts, most of which are seasoned and funded

[deleted]

Re: Transfer Stocks Out of Your Robinhood Account

#186

Post by colechristensen »

blhack wrote: post #162
colechristensen wrote: post #38

Earlier quoted context omitted.

A whole lot goes on behind the scenes with securities trading, your interface to it as a retail trader buying and selling is only the tip of the iceberg. Most of the people talking about various conspiracy theories about brokerages have clearly very little idea of how brokerages work on the back end (and not very many people do know this) or what regulatory duties brokerages have and hwo that might inform decisions t…

Could you give us a rough overview? If I click "sell" on a share of tesla right now on my robinhood account, what happens then?

No, I know “enough to be dangerous” but not enough to be able to teach a well abstracted lesson about what goes on. It’s also just not very simple.

Here is a place to start:

https://en.wikipedia.org/wiki/Settlement_(finance)

Re: Transfer Stocks Out of Your Robinhood Account

#188

Post by grecy »

PragmaticPulp wrote: post #170
grecy wrote: post #149

Earlier quoted context omitted.

What happens if they ALL hold until it's at an astronomical price like $10,000 ?

None of them have any gains until they press the sell button. The early buyers will probably sell a little bit to lock in profits. This drives the price down. They’ll then go on to social media and pump GameStop everywhere with memes and stories about taking down Wall Street. This brings in new money to pump the price back up. This is what they’re already doing: Pumping the stock to bring in new money, which they col…

Thanks, that's a great explanation of what I probably the most likely outcome.

Humor me for a second - what happens the the (unlikely event) they ALL hold until it hits $10,000, and the "infinity squeeze" really does happen?

Re: Transfer Stocks Out of Your Robinhood Account

#189

Post by grecy »

testnew2 wrote: post #164
grecy wrote: post #149

Earlier quoted context omitted.

What happens if they ALL hold until it's at an astronomical price like $10,000 ?

Who is going to buy the shares from them?

The people who are currently short have to buy, they have no choice.
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