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bornontheblue

Gamestop???

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3 hours ago, WAC_FAN said:

A lot of big corporations/hedge funds do what is called "Shorting Stocks", that is they borrow the stocks, then sell it at the current price.  They are betting that the stock is going down, then they'll re-buy the stock and pocket the change in difference.

A lot of people caught on to Gamestop being heavily shorted.  So they people collaborated to all buy Gamestop stocks to drive up the price.  Now that the price is driven up, the people who shorted the stocks start to panic and buy back the stocks at a loss (already billions).  But because they're buying stocks it also drives up the price of the stock even further.

Eventually, everyone will get out of their shorted positions and the people who hold on too long will lose some money as GME is over valued.  But the hedge funds lose the most.  Some people are willing to hold GME for as long as it takes to "stick to to the big corporations"

Or this is the start of Gamestop's takeover of the world as they end up buying Google, Facebook, Twitter, etc.

Dude... this is the best explanation I've seen yet. 

THANK YOU!

Planning is an exercise of power, and in a modern state much real power is suffused with boredom. The agents of planning are usually boring; the planning process is boring; the implementation of plans is always boring. In a democracy boredom works for bureaucracies and corporations as smell works for skunk. It keeps danger away. Power does not have to be exercised behind the scenes. It can be open. The audience is asleep. The modern world is forged amidst our inattention.

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3 hours ago, bornontheblue said:

Why do you like the hedge-fund guys getting screwed? What did they do to deserve it? Not trying to be rude, but I honestly don'y know. Did they do something to deserve it? It seems to me that they shorted a position on a stock which is fine, people do it all the time. 

 

That's easy..."too big to fail" bailouts left a really bad taste in the mouths of millions. 

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4 hours ago, WAC_FAN said:

It's not a pump and dump because the recommendations weren't made on anything illegal.  But it might lead to some sort of regulation in the future.

Yes because we can't have the hedge fund managers losing money, only the little guy.  

thelawlorfaithful, on 31 Dec 2012 - 04:01 AM, said:One of the rules I live by: never underestimate a man in a dandy looking sweater

 

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4 hours ago, bornontheblue said:

The Billionaires wisely shorted Game Stop because its a dying business model. 

Isn't a pump and dump scheme illegal? 

Lmfao the billionaires over extended themselves on a low volume stock. If the stock goes up even a little... they start having to sell,  making it go higher.  They're taking a bath because they don't think losses apply to them. 

Remember that every argument you have with someone on MWCboard is actually the continuation of a different argument they had with someone else also on MWCboard. 

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3 minutes ago, happycamper said:

Lmfao the billionaires over extended themselves on a low volume stock. If the stock goes up even a little... they start having to sell,  making it go higher.  They're taking a bath because they don't think losses apply to them. 

They've been doubling, tripling, and quintupling down on this thing. Reddit and others basically told them to go get +++++ed, and now they've taken a huge loss on it and are facing an even bigger one on Friday if things hold tomorrow. 

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4 hours ago, bornontheblue said:

Why do you like the hedge-fund guys getting screwed? What did they do to deserve it? Not trying to be rude, but I honestly don'y know. Did they do something to deserve it? It seems to me that they shorted a position on a stock which is fine, people do it all the time. 

 

We've had trickle down economic theories crammed down our throats for 40 years, with the effect that our income is stagnant or decreasing while their total wealth share only rises. 

Now there's some actual wealth flow down and it's leading to calls for regulation and brokers halting trading; the wrong people are making money.

You wanna know why there are so many communists despite how bad history has shown that idea to be? It's stuff like this.  

Remember that every argument you have with someone on MWCboard is actually the continuation of a different argument they had with someone else also on MWCboard. 

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4 minutes ago, retrofade said:

They've been doubling, tripling, and quintupling down on this thing. Reddit and others basically told them to go get +++++ed, and now they've taken a huge loss on it and are facing an even bigger one on Friday if things hold tomorrow. 

I feel like this is what Occupy Wall Street should have done in the beginning. 

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24 minutes ago, happycamper said:

Lmfao the billionaires over extended themselves on a low volume stock. If the stock goes up even a little... they start having to sell,  making it go higher.  They're taking a bath because they don't think losses apply to them. 

pretty much.  IF we regulate anything we need to regulate shorting stocks to the extreme we saw in GameStop.

 

btw wallstreetbets is public again

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19 minutes ago, ridgeview2 said:

I feel like this is what Occupy Wall Street should have done in the beginning. 

I agree. I've been calling this Occupy Wall Street v2.0, where Wall Street faces actual losses.

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There's a lot of people on CNBC and outlets, criticizing the retail investors, you can tell there's some panic and they are trying to get people to sell.

Quote

They've been doubling, tripling, and quintupling down on this thing. Reddit and others basically told them to go get +++++ed, and now they've taken a huge loss on it and are facing an even bigger one on Friday if things hold tomorrow. 

It's about to become one big game of chicken I think.  I suspect a bunch of the funds won't buy back and opt to pay interest on the stocks instead--gambling on the investors to lose faith and start selling.  If enough people can hang on, then the game continues indefinitely and the stock continues to rise.

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11 minutes ago, WAC_FAN said:

There's a lot of people on CNBC and outlets, criticizing the retail investors, you can tell there's some panic and they are trying to get people to sell.

It's about to become one big game of chicken I think.  I suspect a bunch of the funds won't buy back and opt to pay interest on the stocks instead--gambling on the investors to lose faith and start selling.  If enough people can hang on, then the game continues indefinitely and the stock continues to rise.

It already is a game of chicken. 

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52 minutes ago, WAC_FAN said:

There's a lot of people on CNBC and outlets, criticizing the retail investors, you can tell there's some panic and they are trying to get people to sell.

It's about to become one big game of chicken I think.  I suspect a bunch of the funds won't buy back and opt to pay interest on the stocks instead--gambling on the investors to lose faith and start selling.  If enough people can hang on, then the game continues indefinitely and the stock continues to rise.

Who is the "bank" in this case? What rate do they pay?

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6 hours ago, WAC_FAN said:

Market Manipulation is technically illegal but hard to prove.  Telling someone on an internet board to buy stocks?  I don't think that's going to fly, they won't prosecute for that just regulate it in the future.

Plus, it kind of makes the point that the market inherently favors institutional inverstors to begin with.

I suspect after the stock collapses Microsoft will buy Gamestop outright.

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14 hours ago, happycamper said:

Lmfao the billionaires over extended themselves on a low volume stock. If the stock goes up even a little... they start having to sell,  making it go higher.  They're taking a bath because they don't think losses apply to them. 

I will admit that I know very little about how all of this works, or the backstory behind it all. However, it is reasonable to bet against Gamestop before the price manipulation,  for the same reason it was to bet against Sears or Kmart. All are dying business models and will be gone soon. 

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I'm proud of this generation challenging the status quo of so many of former American norms. This, BLM and other archaic faux truths show that there is lots of room for positive change. The next thing that needs torn down is the two party political system.

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3 hours ago, retrofade said:

RobinHood caved. Buying $GME isn't allowed there anymore.

Hilarious.  Very dangerous game to play.  Logic will tell us that eventually a company's stock price has to actually follow the real value of the company. GameStop is a real risk of a future blockbuster type bankruptcy.  

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