GameStop, 'Reddit rally' stocks slide more, Yellen vows scrutiny

Oof. Having sat in those communities and seeing media narratives - from reuters as well as others - about "reddit attention shifting to silver" despite a lack of that actually happening to the degree claimed, this is disappointing to see promoted.

Objective facts: sentiment has changed, prices have decreased, people have likely lost money.

Its frustrating to see a narrative - and not as far as I know out of the SEC themselves - talking about one particular focus of investigation while ignore other dubious areas, even if they arent technically illegal.

Re: GameStop, 'Reddit rally' stocks slide more, Yellen vows scrutiny

#6

Post by baq » Fri, Feb 05, 2021, 10:02 AM UTC

hrns wrote: post #3

At this point I'm not sure if the WSB anticipated short squeeze is going to happen, or maybe it has happened already last week.

it happened, but new shorts replaced the old shorts and made truckloads of money in the process.

Re: GameStop, 'Reddit rally' stocks slide more, Yellen vows scrutiny

#7

Post by Dma54rhs » Fri, Feb 05, 2021, 10:02 AM UTC

hrns wrote: post #3

At this point I'm not sure if the WSB anticipated short squeeze is going to happen, or maybe it has happened already last week.

Wasn't it supposed to be that magical last Friday already? At least that was the common topic at the beginning, what changed?

Re: GameStop, 'Reddit rally' stocks slide more, Yellen vows scrutiny

#8

Post by Beltiras » Fri, Feb 05, 2021, 10:03 AM UTC

If they removed the trading restrictions on the stock it would shoot back up again.

Re: GameStop, 'Reddit rally' stocks slide more, Yellen vows scrutiny

#9

Post by hans1729 » Fri, Feb 05, 2021, 10:04 AM UTC

I would love to know what events exactly took place during the hype, people and hedges bought in at 60 and sold at 300? And now there is immense uncertainty on wether the squeeze already happened?

I don't see GME falling below 40 anytime soon, the core group that started all of this should be holding if anything said until a week ago had any meaning or sincerity at all. Just the people who hold should suffice to keep the stock above 50. How did it drop to 40 Euros yesterday?

And whats going on over at wsb? There's astroturfing, trolls, people who bought in at 300, the core that pushed the hold-narrative - who's to be believed? The post on r/stocks about the second squeeze? Man, what a ride.

Re: GameStop, 'Reddit rally' stocks slide more, Yellen vows scrutiny

#10

Post by WA » Fri, Feb 05, 2021, 10:04 AM UTC

Look at the chart. The VW infinity squeeze already happened in a way. What else do you expect? Old shorts were squeezed out, new shorts entered the bet. Too many people apparently haven't looked at the right side of the VW chart: the steep drop-off from the ATH of ~1,000€.

This is /u/Variation-Separate "market makers engineered next leg down all the way to SPX 1,800" all over again.

So many people are now holding the bag. They apparently also don't understand that in the stock market, the price is determined by the last transaction. If less people buy (and who should buy, because every gambler is already in), gravity pulls the stock down. Party is over.

And Musk should be investigated by the SEC a bit more often.

Edit: One thing to add: I refuse to believe that retail ONLY forced the price up. I'd bet some big players participated in the pushing of the price all the way up, selling at the top and now retail is holding the bag, because they thought they make up most of the volume, whereas they have been played.