Related: r/pennystocks https://twitter.com/packyM/status/1229910436184756225?s=20
I can't tell if they're being serious or not. One of the commenters was right. It's almost exactly Stratton Oakmont https://en.wikipedia.org/wiki/Stratton_Oakmont
Reddit’s profane, greedy traders are shaking up the stock market
61–70 of 364 posts
Re: Reddit’s profane, greedy traders are shaking up the stock market
#62This article doesn't seem to address 3 big issues:
Firstly, most of the stuff on /r/WSB is talking about massive market cap companies like TSLA and AMD. Some punter putting his life savings in AMD puts is not going to actually move the market. I would love to see numbers on this but my gut says that reddit posters posting about their $50k investment in a company that is worth several billion is just retail noise. It's not moving stocks.
Secondly, maybe there are some people genuinely attempting to use the forum to pump and dump but frankly, they're probably not succeeding and even if they are, that's exactly the sort of person the SEC is actually interested in prosecuting. But literally there is no evidence it's happening at all, let alone at any scale or is profitable.
Finally, I love the idea that market makers are just sitting there going "sure is weird that we've seen a lot of retail flow on MIK, better continue straight forwardly hedging using the future and not exploit this predictable market pattern"
Re: Reddit’s profane, greedy traders are shaking up the stock market
#63Come on man, there's no where near enough volume there to move anything but the most low volume of stocks. All they trade in is meme stocks like TSLA, NFLX, MSFT, AAPL etc., and a few 100k on calls here or there won't budge the price in the slightest. On top of that, it's not even a P&D group, people there are just trading against each other, you have both bears and bulls and thetas. There's never been a concerted ef…
I have a theory that WSB are so bad at trading that they actually do manipulate stocks due to messing up every automated trading platform that assumes there'd be some logic to the trades being made. Someone's just bought a $1000 call option on a stock that's currently $400? Automated trading systems will probably raise alerts on that stock since someone must know something for that to happen. This appeared to happen…
So your theory is that they're terrible traders, and your evidence is that they made huge profits on call options?
Re: Reddit’s profane, greedy traders are shaking up the stock market
#64So I was one of the first people on Wallstreetbets to post options YOLO around 2015, back then it was nothing but rainbow dick banners and penny stocks. I had previously interned at a brokerage and had just graduated college with a degree in physics(I understood the math behind options). Not hearing back from quant trading firms because I guess BSc is not enough for them, I said fuck it and started taking speculative bets on my own, lost half before I went all in on what I believed to be a fraudulent stock that was getting crushed, bought really far OTM weekly puts and was lucky that the CEOs collateral was liquidated which further tanked the stock. I then just bought AMD SQ when it IPOd and put the rest into ETFs and only traded small amounts on options the side. Just funny to see how far people ran with it. I tried warning people that while I wasn't a "pro" and I was playing up a degenerate trader/4chan character I was aware of the risk I was taking but we know how that turned out.
Re: Reddit’s profane, greedy traders are shaking up the stock market
#65Wait, people actually go to /r/wsb for investment advice? The entire time I thought it was a mix of posting wins/losses along with some memes/humor.
It is exactly that. Sometimes there's actual, solid, investment advice hidden in posts. Sometimes.
unless you already know what you're doing (ie, not me), it's hard to tell the solid investment advice from intelligent-sounding bs. in general, it serves as a good example of what not to do.
Re: Reddit’s profane, greedy traders are shaking up the stock market
#66Earlier quoted context omitted.
I have a theory that WSB are so bad at trading that they actually do manipulate stocks due to messing up every automated trading platform that assumes there'd be some logic to the trades being made. Someone's just bought a $1000 call option on a stock that's currently $400? Automated trading systems will probably raise alerts on that stock since someone must know something for that to happen. This appeared to happen…
So your theory is that they're terrible traders, and your evidence is that they made huge profits on call options?
Nope his theory is that most trading is algos, and you can mess with algos, by doing crazy stuff.
Re: Reddit’s profane, greedy traders are shaking up the stock market
#67Earlier quoted context omitted.
Thanks for the heads up. Reenabled!
Good choice. Just to elaborate: double opt-in is expected behavior from customer-centric companies, and expected behavior from good actors in the email ecosystem. It's not necessarily required by law in the US, but it's a good practice nonetheless: always make sure you have permission from a recipient to send an email. Anyone can pass anyone else's email address as input to a form, so simply receiving an address as i…
As a recipient of emails intended for other people this is exactly how I wish it worked
Re: Reddit’s profane, greedy traders are shaking up the stock market
#68> You're in private mode. Subscribe to continue reading in private mode. I didn't realise that Bloomberg blocks private mode too. Messages like this assume that tracking is the default and make sure that we keep losing privacy. I really dislike this trend.
Ublock > Disable Javascript > Read the article
Re: Reddit’s profane, greedy traders are shaking up the stock market
#69Earlier quoted context omitted.
Can they be bad at trading? https://xkcd.com/2270/
Wow, I'm not sure if it was intentional but the alt text can be interpenetrated to be the same as GP's idea
I learned a new word today https://www.wordnik.com/words/interpenetrate
Re: Reddit’s profane, greedy traders are shaking up the stock market
#70Couldn't you replace this headline with, "Wall Street's profane, greedy traders are shaking up the stock market" and have it be as valid, if not more, than talking about people on reddit?