# GameStop Corp. (GME)



## gardner (Feb 13, 2014)

Obvious manipulation/mania on this today. I wonder what it would cost to carry some out-of-the-money puts, say at $200 or something.



https://www.cbc.ca/news/business/gamestop-wednesday-1.5889652





> 2 short sellers admit defeat, bail out at huge loss as GameStop share surge hits 1000%


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## Money172375 (Jun 29, 2018)

I’ve never shorted anything in my life, but I’m thinking about this one,


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## james4beach (Nov 15, 2012)

It's really not a good idea to short things which are rising like crazy.

The problem with the options idea @gardner is that you aren't the only person who has noticed that the stock is moving like crazy. You will pay a hefty premium, and unless you have a great way to calculate option values yourself, it will be tough to get an option priced well. The market should be efficiently baking in the same expectations you have.


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## MrMatt (Dec 21, 2011)

gardner said:


> Obvious manipulation/mania on this today. I wonder what it would cost to carry some out-of-the-money puts, say at $200 or something.
> 
> 
> 
> https://www.cbc.ca/news/business/gamestop-wednesday-1.5889652


$150 or so.
Basically everyone knows it's a disaster.


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## james4beach (Nov 15, 2012)

MrMatt said:


> $150 or so.
> Basically everyone knows it's a disaster.


Yup, you're going to have a hard time getting options that are priced in your favour. Every institution on earth can price options well.

You're better off going pure long or short, if you feel strongly about the stock. But keep in mind that going short only works if you can find the shares to borrow (which may become difficult for these ones).


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## d00little (Jul 2, 2017)

This stocks going to crash, but only after it reaches 4 digits. 💎 🙌

🚀🚀🚀

PS. I also don't think those hedge funds closed their positions, they just want r/wallstreetbets to think that. Fake news.


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## james4beach (Nov 15, 2012)

d00little said:


> PS. I also don't think those hedge funds closed their positions, they just want r/wallstreetbets to think that. Fake news.


Yeah, it's a rookie mistake to think that hedge funds & Wall Street are doing badly or don't know how to trade this.

They know exactly how to trade this. They could be feeding this story about "hedge fund pain" just to encourage the small speculators to keep becoming bag holders. It works well, even @Eder commented somewhere about how he loves seeing the hedge funds bleeding.

Wall Street knows how to play this. That's why they are pumping the story through the media. My guess is they are exploiting the excitement of amateurs who believe they are somehow "beating Wall Street".


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## MrMatt (Dec 21, 2011)

I think risk is underpriced in the current environment.

If it only takes a few billion for people to smarten up, we got off cheap.


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## MrBlackhill (Jun 10, 2020)

I think this guy did a good summary of GME situation.


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## emperor (Jul 24, 2011)

I hope reddit holds it together. I'm not a big fan of stocks just because of all the government and corporation manipulation but if regular people team up and stick together to manipulate things in our favor I might start looking into stocks again. Wonder if anything would happen if everyone makes a run on the banks or buy up all the paper gold then demand physical all at the same time.


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## m3s (Apr 3, 2010)

emperor said:


> Wonder if anything would happen if everyone makes a run on the banks or buy up all the paper gold then demand physical all at the same time.


The house of cards would collapse. Janet Yellen would print some more wealth. The masses would discover crypto


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## MrBlackhill (Jun 10, 2020)

When amateurs heard about "infinite loop" and "GME could be going $1000", they bought... maybe at $300... Now it's currently at -25% after hours. Is the show already over? Or is this just a pause to take some profits before the next squeeze?


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## jargey3000 (Jan 25, 2011)

if i know my human stupidity /greed/ stubborn herd instincts, this is just a pause...
if i had any guts I'd but 100 at $300 lol


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## Ukrainiandude (Aug 25, 2020)

MrBlackhill said:


> When amateurs heard about "infinite loop" and "GME could be going $1000", they bought... maybe at $300... Now it's currently at -25% after hours. Is the show already over? Or is this just a pause to take some profits before the next squeeze?


I don’t think the amount of shorts can be covered in a few hours, it would take around five days give or take.


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## james4beach (Nov 15, 2012)

Ukrainiandude said:


> I don’t think the amount of shorts can be covered in a few hours, it would take around five days give or take.


But it's not just short covering going on. There are new positions being established every day, new people buying. Once you've got a trend like this, it's human nature to chase it (greed).

Even once the short positions are gone, it could still go higher. Very unpredictable, how high it could go. Or it could crash 90% tomorrow... no way to know.


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## james4beach (Nov 15, 2012)

If GME keeps going up, the company can issue billions of $ in shares (and they really should) and become a tech giant.

Does anyone think GME will become large enough, through this rally, to become a new significant tech giant? If the rally continues a while longer, they can issue enough equity to completely escape from their current line of business. Then GME could acquire AMD, for example, and become one of the world's top chip makers.

If GME grows a bit more than that, they could also acquire CSCO and become a tech conglomerate which both manufactures chips and makes the world's networking equipment.

They would be unstoppable. Endless possibilities. What is to stop this from becoming a $1 trillion market cap company?

Already it is being said that the demand for AMC shares has rescued the company from insolvency. AMC issued $305 million in new shares and now has enough liquidity to easily keep operating. If the shares keep surging, AMC can issue more shares and completely cure its balance sheet.


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## Ukrainiandude (Aug 25, 2020)

james4beach said:


> But it's not just short covering going on. There are new positions being established every day, new people buying. Once you've got a trend like this, it's human nature to chase it (greed).
> 
> Even once the short positions are gone, it could still go higher. Very unpredictable, how high it could go. Or it could crash 90% tomorrow... no way to know.


I agree, it is completely unpredictable. If history teaches anything, in 2008 short squeeze of Volkswagen get up to $500, stayed for a week and dropped. Currently trades at $200. But that was solid company with real product.


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## james4beach (Nov 15, 2012)

Ukrainiandude said:


> I agree, it is completely unpredictable. If history teaches anything, in 2008 short squeeze of Volkswagen get up to $500, stayed for a week and dropped. Currently trades at $200. But that was solid company with real product.


These companies are better, because nobody cares about fundamental value.

If the management of these companies has any brains at all they will be issuing billions of $ worth of shares tomorrow, and every day the price ratchets higher. This is quite literally free money.

Elon Musk already knows that game. This is the world we live in now.


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## doctrine (Sep 30, 2011)

I'm not surprised to see GME at $300, but I would say the end is closer than the beginning here. A big part of the thesis is that all the calls expiring Friday will force massive buying. However, those calls are already being covered with no shares being traded. I see more and more talk of selling online. Maybe not all selling, but on the weekend it was 100% "buy all-in" and now its maybe closer to 60-40. Exhaustion is coming. Every day requires more and more capital to sustain the rally.


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## andrewf (Mar 1, 2010)

james4beach said:


> If GME keeps going up, the company can issue billions of $ in shares (and they really should) and become a tech giant.
> 
> Does anyone think GME will become large enough, through this rally, to become a new significant tech giant? If the rally continues a while longer, they can issue enough equity to completely escape from their current line of business. Then GME could acquire AMD, for example, and become one of the world's top chip makers.
> 
> ...


This is essentially a lottery. A small number of people will make a lot of money, and a lot of bag holders are going to lose (substantially) all of their investment. Anyone who thinks this is going to the moon is probably forgetting that it is not bitcoin with an inelastic supply, but that GME could raise a few billion in cash and crater the stock price. So, in the grand scheme of things, I hope the company is the one that 'wins' this lottery and not the speculators on either side of the trade.


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## james4beach (Nov 15, 2012)

andrewf said:


> I hope the company is the one that 'wins' this lottery and not the speculators on either side of the trade


I agree, and really want the companies to win. Blackberry, AMC, GameStop should be issuing shares as fast as humanly possible.

This is free money landing on their doorsteps and I want them to walk away with the cash. AMC has already benefited partially but they can (and should) flood the market with billions of $ in equity issuance, I hope.

This is like a gift from heaven to them. Well actually, it's almost literally the Federal Reserve & US Treasury's money ending up on their doorstep. Time to take it.


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## fplan (Feb 20, 2014)

Raising cash now seems very good idea.. This Friday price will reach around 400. Issuing 5mil new shares bring lot of money .

Daily trade volume is More than 100mil so 5mil may not do much damage to the retail traders.. 

This party might end soon.. corrupt media is already cheerleading for hedge funds by blaming WSB and spending fake news..


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## MrBlackhill (Jun 10, 2020)

GME reached the +10,000% in 6 months...


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## jargey3000 (Jan 25, 2011)

jargey3000 said:


> if i know my human stupidity /greed/ stubborn herd instincts, this is just a pause...
> if i had any guts I'd but 100 at $300 lol


DOH! touched $480 this morning. quick $18 grand!!!


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## Beaver101 (Nov 14, 2011)

^ Must be the cabin fever causing the bungee-jumping attempts. Just hope the cord don't snap. LOL.


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## m3s (Apr 3, 2010)

So the hedge funds can still trade while all the brokerages have locked out retail investors

I have no interest in trading this but it's just wrong. There's going to be a lawsuit here


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## jargey3000 (Jan 25, 2011)

jargey3000 said:


> DOH! touched $480 this morning. quick $18 grand!!!


DOH! DOH! $207 a moment ago! knew I shoulda sold @$480!,


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## MrMatt (Dec 21, 2011)

m3s said:


> So the hedge funds can still trade while all the brokerages have locked out retail investors
> 
> I have no interest in trading this but it's just wrong. There's going to be a lawsuit here


Well they'll just say "It's for their own good".
They've really opened a can of worms here.

They've also managed to get politicians from across the spectrum to get on them, this isn't going well for Robinhood and others.


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## sags (May 15, 2010)

Sorry Jargey........it goes like this movie scene..........."now youse can't leave".

215.55 USD −130.82 (37.77%)


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## Eder (Feb 16, 2011)

m3s said:


> So the hedge funds can still trade while all the brokerages have locked out retail investors
> 
> I have no interest in trading this but it's just wrong. There's going to be a lawsuit here


Rigging the game in broad daylight...pretty sure this will cost TD Ameritrade among other platforms.


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## m3s (Apr 3, 2010)




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## bgc_fan (Apr 5, 2009)

I've been watching the whole situation with some amusement, but it's evident that the institutional investors have more political weight and pull than the retail investors.

There's also some conflict of interest, if you ask me. Citadel Securities provided Melvin Capital Management a bailout due to the short losses, but Citadel Securities also pays Robinhood for its trading information. So to protect its interests, it would look like Citadel Securities is leaning on Robinhood to stop allowing trades in specific securities. 

Then you add the fact that the hedge funds have the clout to get the SEC to look into this, even though they are the ones that put themselves in this position because they shorted more shares than actually exist. 

Kind of a rigged game.


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## sags (May 15, 2010)

You can bet the regulators will lump Bitcoins and all crypto into the "need for more regulation" category as well.

I expect Janet Yellen will ban all financial institutions from handling transactions in crypto, accompanied by criminal penalties.....and that will the end of them.


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## m3s (Apr 3, 2010)

sags said:


> You can bet the regulators will lump Bitcoins and all crypto into the "need for more regulation" category as well.
> 
> I expect Janet Yellen will ban all financial institutions from handling transactions in crypto, accompanied by criminal penalties.....and that will the end of them.


Biden just put Gary Gensler head of the SEC. Gensler taught and researched blockchains at MIT. He's extremely well educated on crypto especially for a boomer

Janet Yellen is the best thing to ever happen to cryptocurrency. She loves to print money and has threatened to tax unrealized gains (good luck with that!)

The US just legalized institutions to trade and hold cryptocurrencies. Now there's a conference for all the new US institutions that want in next week


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## MrMatt (Dec 21, 2011)

m3s said:


> Biden just put Gary Gensler head of the SEC. Gensler taught and researched blockchains at MIT. He's extremely well educated on crypto especially for a boomer
> 
> Janet Yellen is the best thing to ever happen to cryptocurrency. She loves to print money and has threatened to tax unrealized gains (good luck with that!)
> 
> The US just legalized institutions to trade and hold cryptocurrencies. Now there's a conference for all the new US institutions that want in next week


They're only going to allow tracable and controllable crypto.
They really don't like the idea of a real cryptocurrency.


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## m3s (Apr 3, 2010)

MrMatt said:


> They're only going to allow tracable and controllable crypto.
> They really don't like the idea of a real cryptocurrency.


Privacy coins will probably be banned and that's reasonable

There's already new blockchain tech that will be both private but still traceable for governments. Some kind of balance like this will likely prevail

Bottom line is US banks, including Visa, want to use blockchain tech and have officially been approved to do so by the OCC


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## MrMatt (Dec 21, 2011)

m3s said:


> Privacy coins will probably be banned and that's reasonable


No it isn't.
I have the right to act without government surveillance, unless it is proven I am doing something criminal.
The whole "if you have nothing to hide" argument makes even less sense today.
My entire financial situation should not be public knowledge.



> There's already new blockchain tech that will be both private but still traceable for governments. Some kind of balance like this will likely prevail


No there isn't.
If it can be traceable for government, it can be tracable/crackable by others.




> Bottom line is US banks, including Visa, want to use blockchain tech and have officially been approved to do so by the OCC


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## m3s (Apr 3, 2010)

MrMatt said:


> No there isn't.
> If it can be traceable for government, it can be tracable/crackable by others.


It would be as secure as crypto itself and controlled by the end user. It's still under development though and years away.

I can't see full privacy coins being legal. At the same time good luck controlling a decentralized network


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## MrMatt (Dec 21, 2011)

m3s said:


> It would be as secure as crypto itself and controlled by the end user. It's still under development though and years away.
> 
> I can't see full privacy coins being legal. At the same time good luck controlling a decentralized network


No.
If anyone other than the end user has access, it isn't as secure

As they say
"Three people can keep a secret, if two of them are dead"

I can't see the government liking privacy coins.


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## OptsyEagle (Nov 29, 2009)

For the most part the honest people like the ability to do things without government oversight but don't understand that in order that you can be able to do that something, that most likely you will never need to do in your lifetime, you are allowing criminals to benefit immensely from their various criminal activities. Sex/slave trafficking. Drug trafficking. Murder for hire. Racketeering. Loan sharking. Bribes/Corruption. Terrorism. All pretty nasty stuff I would rather live without.

It has been proven, over and over again, that if you take away the benefits of crime, you actually reduce the desire to commit it. I am fine with cash. Crypto should be banned immediately. Just my opinion, of course.


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## m3s (Apr 3, 2010)

OptsyEagle said:


> It has been proven, over and over again, that if you take away the benefits of crime, you actually reduce the desire to commit it. I am fine with cash. Crypto should be banned immediately. Just my opinion, of course.


This is yet another factually inaccurate narrative pushed by mainstream media to boomers who never question or research what they like to hear.

Trillions in fiat currency is used for illicit activities which large banks facilitate and profit from since the being of fiat. Law enforcement has gotten much wiser at tracing crypto so even though criminal activity was already much lower rates than fiat it has dropped dramatically.

Hypocritical boomers who invest in banks that facilitate sex slave/trafficking, drug trafficking, murder for hire, racketeering, loan sharking, terrorism with fiat disgust me


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## MrMatt (Dec 21, 2011)

OptsyEagle said:


> For the most part the honest people like the ability to do things without government oversight but don't understand that in order that you can be able to do that something, that most likely you will never need to do in your lifetime, you are allowing criminals to benefit immensely from their various criminal activities. Sex/slave trafficking. Drug trafficking. Murder for hire. Racketeering. Loan sharking. Bribes/Corruption. Terrorism. All pretty nasty stuff I would rather live without.
> 
> It has been proven, over and over again, that if you take away the benefits of crime, you actually reduce the desire to commit it. I am fine with cash. Crypto should be banned immediately. Just my opinion, of course.


By that logic, all your personal financial statements should be published to the world, along with 24/7 video of the inside or your house, just so we know if you're committing crimes.

The problem is that if you let the government watch and control something, they WILL abuse it.
That's why it is so important to ensure we have adequate protections and safeguards.


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## MrBlackhill (Jun 10, 2020)

I'm wondering if you guys use credit cards, debit cards and rewards cards?

That's the only way I pay, so all my transactions are already tracked.

But I agree that we must protect our privacy.


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## OptsyEagle (Nov 29, 2009)

m3s said:


> This is yet another factually inaccurate narrative pushed by mainstream media to boomers who never question or research what they like to hear.
> 
> Trillions in fiat currency is used for illicit activities which large banks facilitate and profit from since the being of fiat. Law enforcement has gotten much wiser at tracing crypto so even though criminal activity was already much lower rates than fiat it has dropped dramatically.
> 
> Hypocritical boomers who invest in banks that facilitate sex slave/trafficking, drug trafficking, murder for hire, racketeering, loan sharking, terrorism with fiat disgust me


I am not just talking about stopping the Escobars of the world. They will be alright, I am sure. But what about your or your neighbor.

Think about this. You have $5,000,000 in cash in a bag in your closet. All illegal proceeds of crime. You want to spend it. How are you going to do that? 

Now let's say you have $5,000,000 in bitcoin. Your life just got a lot better.


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## OptsyEagle (Nov 29, 2009)

MrMatt said:


> By that logic, all your personal financial statements should be published to the world, along with 24/7 video of the inside or your house, just so we know if you're committing crimes.
> 
> The problem is that if you let the government watch and control something, they WILL abuse it.
> That's why it is so important to ensure we have adequate protections and safeguards.


I have no idea what you are talking about. We were talking about whether it is really worth it to you to have this avenue of no government oversight, called crypto currency. I argued that your life is in more peril, because of the people who commit the crimes I listed then anything to do with a corrupt government.

Not sure how listing my bank statements online changes much of that.


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## Eder (Feb 16, 2011)

Boomer hate...lol.
Anyway back to Game Stop...class action suit against Robinhood Financials filed today...hope they get cleaned as they are subsidized in part by among others Citadel. Might be coincidence but Citidel reloaded a huge short position just before Robinhood halted the ability to buy Game Stop shares.
Good times!


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## m3s (Apr 3, 2010)

OptsyEagle said:


> OK. You have $5,000,000 in cash in a bag in your closet. All illegal proceeds. What are you going to do with it? Good luck.
> 
> Now let's say you have $5,000,000 in bitcoin. Your life just got a lot better.


If you believe fiat money isn't being laundered you are clueless. It's far easier to conduct nefarious activity with fiat today. The entire BTC market cap is tiny compared to the fiat known to be used illegally and yet you don't have an issue with fiat

BTC is only useful as a store of value. It's not much use for funding illegal activity because it would need to be converted to fiat or transactions that are traceable. You didn't even try to educate yourself and are happy to invest in banks that profit on far more illegal activity


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## jargey3000 (Jan 25, 2011)

sags said:


> Sorry Jargey........it goes like this movie scene..........."now youse can't leave".
> 
> 215.55 USD −130.82 (37.77%)


you think that's funny, saggy??


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## OptsyEagle (Nov 29, 2009)

m3s said:


> If you believe fiat money isn't being laundered you are clueless. It's far easier to conduct nefarious activity with fiat today. The entire BTC market cap is tiny compared to the fiat known to be used illegally and yet you don't have an issue with fiat
> 
> BTC is only useful as a store of value. It's not much use for funding illegal activity because it would need to be converted to fiat or transactions that are traceable. You didn't even try to educate yourself and are happy to invest in banks that profit on far more illegal activity


Look. Ending crypto is not going to end all crime. I know that. What I am saying is that while we stand up here and talk about how much better the world would be with crypto, when almost none of us need it to help us do what we want to do in life, there are others within our society that can benefit from much crime easier because of it. It is my opinion that those crimes are infinitely more negative to us then anything positive that crypto might provide us.

If your 13 year old daughter was kidnapped 2 blocks away from your home and sold to an Arab in Tangiers because her blond hair would go well with the brunette he bought last week, I think we would all see the pros and cons of this thing a little more clearer. I am sure that Arab would find some other way to buy this purchase but do we really want to make it easier for him? These pricks are a cost on all of us. We need to do whatever we can to make their lives more miserable.


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## MrMatt (Dec 21, 2011)

OptsyEagle said:


> I am not just talking about stopping the Escobars of the world. They will be alright, I am sure. But what about your or your neighbor.
> 
> Think about this. You have $5,000,000 in cash in a bag in your closet. All illegal proceeds of crime. You want to spend it. How are you going to do that?
> 
> Now let's say you have $5,000,000 in bitcoin. Your life just got a lot better.


How?
If they know that your $5M in cash in your closet was proceeds of a crime, you can still spend a few dollars here and there.
That cash isn't tracked.

I don't see how having everyone track my $5M in bitcoin makes my life any better? If anything it makes it worse.

Yes governments would LOVE to replace cash will a fully tracked and traceable alternative.


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## m3s (Apr 3, 2010)

OptsyEagle said:


> It is my opinion that those crimes are infinitely more negative to us then anything positive that crypto might provide us.


Your opinion has nothing substantial to back it up

There are many benefits to crypto that the majority cannot fathom yet. DeFi now gives up decentralized exchanges that can't just decide on a whim to block retail investors from trading GME for example.

Show me any evidence of Arabs buying 13 year old girls next door with crypto currency. Or is this just racist boomer imagination?


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## fireseeker (Jul 24, 2017)

Maybe take the crypto argument to the appropriate thread?

This supposed to be about GameStop.


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## james4beach (Nov 15, 2012)

fireseeker said:


> This supposed to be about GameStop.


Right, there are crypto-related threads.

I did consider buying GameStop but instead decided to gamble in some other securities.


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## Eder (Feb 16, 2011)

In my younger day I would have gone along with the ride but I don't really need (and to risk) more money.

I do enjoy following...gets deeper & deeper...

RobinHood taking orders from the players that pay them for their trading info,
huge blocks moved after retail traders frozen out this morning...most covered their new shorts during this manipulation at about $140-$130...billions made in broad daylight.
Janet Yellen beneficiary of many of these funds adding up to millions for speaking engagements.
Retail can't buy calls but the shorts are buying puts.
Still 120% of float short...
Class action lawsuit filed, gofundme page set up to offset fees although I'm sure many lawyers will do the suit for a % of the settlement.
Big fines in store from the SEC most likely but they would be cheaper than eating 2 billion loss on GME.
GME up 50% after hours. Somebody should be going to jail here.

Greed definitely is entertaining.

Now back to your stupid crypto boring boomer hijack.


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## james4beach (Nov 15, 2012)

Eder said:


> RobinHood taking orders from the players that pay them for their trading info,


It's actually pretty funny. Robinhood uses a Payment for Order Flow (PFOF) method which was invented by Bernie Madoff.

Yes, that same Madoff!

So all Robinhood orders get routed to Citadel, a market maker. They don't go the public markets, and Citadel rips off every Robinhood trader (by a tiny amount).

The recent GME action is a whole different thing, and I don't know what's going on there but it's crazy and should be interesting as it plays out.

Overall, there's nasty stuff going on 'under the hood'. These Reddit and Robinhood kids think they are "sticking it to the man" while they simultaneously feed Goldman Sachs, Citadel, and other market makers and options specialists. The options market makers must be loving all of this.

But go ahead, kids. Keep feeding Wall Street while telling yourselves you are "sticking it to the man"


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## m3s (Apr 3, 2010)

james4beach said:


> But go ahead, kids. Keep feeding Wall Street while telling yourselves you are "sticking it to the man"


I doubt all of them are on Robinhood but they're already pumping for decentralized exchanges. Defeats this shady centralized manipulation. Eventually we will have tokenized stocks


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## james4beach (Nov 15, 2012)

m3s said:


> I doubt all of them are on Robinhood but they're already pumping for decentralized exchanges. Defeats this shady centralized manipulation. Eventually we will have tokenized stocks


That was my interpretation for what the crypto coins really are. Unregulated, decentralized trading (speculation) securities.


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## m3s (Apr 3, 2010)

Seems personal (TSLA was the most shorted stock in dollars)


__ https://twitter.com/i/web/status/1354890601649610753


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## MrMatt (Dec 21, 2011)

james4beach said:


> That was my interpretation for what the crypto coins really are. Unregulated, decentralized trading (speculation) securities.


No, they're fully regulated, just not by a central government, and nobody has the power to seize control and "fix" things

The thing people miss about cryptocurrency is it only exists under those particular rules, because all the participants agree to them, you're free to make your own, and nobody is obligated to use any of it.

With most crypto, there is nobody out there that can simply block trades of some, but not others etc. That's what scares them, the lack of control.

It isn't a lack of regulation, it's a lack of control.


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## sags (May 15, 2010)

The bad news for the brokers, bankers, and billionaires......the Democrats are in charge now and Elizabeth Warren is unleashed.


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## m3s (Apr 3, 2010)

Robinhood spent a lot of money advertising on reddit and is ironically now wildly unpopular on reddit for removing GME and others even from their search.. Last time reddit was this angry they destroyed EA games

Companies are using their centralized control to de-platform, manipulate and collude more than ever lately. Combine this with all the money printing and 2021 could be the year the masses discover the wonders of decentralization


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## MrBlackhill (Jun 10, 2020)

Little swings.










Interesting ranges.


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## m3s (Apr 3, 2010)

In response to this Musk put bitcoin in his twitter profile with "in retrospect, it was inevitable"


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## jargey3000 (Jan 25, 2011)

re Gamestock....what I'd like to know is: where are all the reddit users getting all the money, to buy the stock & drive up the price? aren't most of them just sorta gamer-loses, living in their parents' basements?


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## like_to_retire (Oct 9, 2016)

jargey3000 said:


> re Gamestock....what I'd like to know is: where are all the reddit users getting all the money, to buy the stock & drive up the price? aren't most of them just sorta gamer-loses, living in their parents' basements?


You don't need to buy much more than 1 stock to bid the price up. And with commission free trading it's not a problem.

ltr


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## jargey3000 (Jan 25, 2011)

like_to_retire said:


> You don't need to buy much more than 1 stock to bid the price up. And with commission free trading it's not a problem.
> 
> ltr



true......
I guess I just thinking about my standard 5,000 lot purchase...😜😜😜


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## m3s (Apr 3, 2010)




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## sags (May 15, 2010)

I heard that interview live.......but one day before he tweeted that he bought Gamespot shares to all his followers.

Then he sold them the next morning and announced it on that interview. He did announce he was giving the profits to a non profit organization.

If he felt the need to tweet to his followers he was buying the stock, then he should have also tweeted before he sold them.

Otherwise, It looks like a pump and dump.


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## Eder (Feb 16, 2011)

jargey3000 said:


> re Gamestock....what I'd like to know is: where are all the reddit users getting all the money, to buy the stock & drive up the price? aren't most of them just sorta gamer-loses, living in their parents' basements?


There is a lot of trades on the buy side originating in dark pools.


----------



## Rusty O'Toole (Feb 1, 2012)

"u can’t sell houses u don’t own u can’t sell cars u don’t own but u _can_ sell stock u don’t own!? this is bs – shorting is a scam legal only for vestigial reasons "

This sounds quaint coming from Elon Musk who sells cars he doesn't own all the time. Order a car from Tesla online and expect to wait 3 or 4 months while they build it, if you are lucky. 3 or 4 years if it is a newly announced model they haven't started building yet, but are taking orders and deposits for.
A hundred years ago my grandfather routinely sold tons of tomatoes to the local cannery at this time of year, with a foot of snow on the ground. How could he sell tomatoes that didn't exist? Because he was a farmer and growing things was his business. He would sign a contract to supply so many tomatoes, of a certain quality, at a certain time next summer. The cannery always contracted for their tomatoes in advance, they even supplied the seed to guarantee uniform quality.
As for houses you can go to a new subdivision and buy a house they haven't even started building yet, for delivery a year or more from now.
For a short seller to borrow stock and sell it, is the same as a business ordering merchandise on credit and selling it before they pay for it. In both cases the seller hopes to sell for more than he has to pay, and make a profit. Short selling stock and commodities has been going on for hundreds of years. Nobody who understands business or investing sees anything wrong about it.


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## Rusty O'Toole (Feb 1, 2012)

jargey3000 said:


> re Gamestock....what I'd like to know is: where are all the reddit users getting all the money, to buy the stock & drive up the price? aren't most of them just sorta gamer-loses, living in their parents' basements?


One Wall Street Bets regular calculated that if they all bought 11 shares they would own the whole company. Not Reddit, just the WSB board. There are investors on WSB and elsewhere who bought thousands of shares when they were $3 and $4 a share. One of the biggest WSB hodlers invested $51,000 more than a year ago which is now worth about $30 million. He has diamond hands.
You can buy a call option for a fraction of what the stock costs and the option seller will buy the stock to hedge his position. In this way an amount of money that could buy 100 shares of stock, might result in buying 1000 shares.
WSB plungers are big on call options.


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## MrBlackhill (Jun 10, 2020)

I have a question out of total ignorance.

If WSB ends up holding all the shares and they are not selling, so there are no transaction and no price movement anymore, only bidding higher and higher until some "weak hands" sell for the profits.

But if both sides stop selling and buying, then there are no price movement anymore, then instead of bidding higher and higher to try to buy back the borrowed shares, they could just settle an agreement that they would not return the borrowed shares, but their current value only (since the price stopped moving).

I mean, if I borrow a $20,000 car to my friend, then sell it for that $20,000 cash and now my friend wants his car back but the dealer doesn't want to sell it because it's now worth $200,000 and he's aiming to get $2M from me, I could just tell my friend I'll give him $200,000 cash instead of giving him back the car. And if everybody makes that kind of agreement then the car drops down to its true value once no one needs to buy it back anymore. And my friend is happy and buys another kind of car instead.

But I guess this kind of "strategy" is not possible, because you need the cash. And there's always transactions. And if it were possible, then maybe that's why the market is down, to get some cash.

While WSB holders of GME are making money, every other investor, including retail investors, are losing money from a dropping market.


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## Eder (Feb 16, 2011)

Imo the market is dropping because its overvalued and needs to shed 15%. GME is the silly excuse Wall St uses today to pretend they know why markets fell.


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## james4beach (Nov 15, 2012)

jargey3000 said:


> re Gamestock....what I'd like to know is: where are all the reddit users getting all the money, to buy the stock & drive up the price? aren't most of them just sorta gamer-loses, living in their parents' basements?


We don't actually know who is making the big trades in this story. It may not, in fact, be small guys.

There could be institutions and hedge funds that are driving these price movements. My guess is that the rich (hedge funds) will win on these trades. Probably primarily a hedge fund vs hedge fund battle.


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## MrBlackhill (Jun 10, 2020)

Eder said:


> Imo the market is dropping because its overvalued and needs to shed 15%. GME is the silly excuse Wall St uses today to pretend they know why markets fell.


I agree that it is overvalued and deserved that correction.

-----

Someone became a billionaire due to Gamestop.









GameStop’s Massive Surge Creates A New Billionaire As Reddit Traders Bet Against Wall Street


Pet supplies entrepreneur Ryan Cohen has been buying up GameStop stock to help spark a turnaround at the brick-and-mortar video game retailer, feeding a frenzy among retail traders who are expecting big gains.




www.forbes.com







> GameStop shares are up more than 800% since his declaration, and the value of Cohen's stake has skyrocketed to about $825 million. Tack that onto the proceeds Cohen received from PetSmart's $3.4 billion acquisition of Chewy in 2017, and _Forbes _estimates the 35-year-old is worth about $1 billion.


----------



## MrBlackhill (Jun 10, 2020)

Eder said:


> Imo the market is dropping because its overvalued and needs to shed 15%. GME is the silly excuse Wall St uses today to pretend they know why markets fell.


Though I'm currently watching lots of videos and reading lots of articles about the situation and some say that the market is dropping also due to margin calls on hedge funds that need more capital to cover their margins. Also, when the market gets very volatile, the hedge funds must stay into a risk boundary and that forces them to sell stocks.


----------



## MrBlackhill (Jun 10, 2020)

This is actually not unique, but it'll part of history.









How The GameStop Pop Compares To Tilray, Volkswagen, Other Historical Short Squeezes - GameStop (NYSE:GME)


Video game retailer GameStop Corp. (NYSE: GME) is getting a lot of attention so far in 2021 for its dramatic short squeeze that has sent shares soaring from a 52-week low of $2.57 to as high as $483 Thursday morning.




www.benzinga.com


----------



## m3s (Apr 3, 2010)

Ontario Teachers Pension Fund is involved now


----------



## sags (May 15, 2010)

So the hedge funds decided to get cute, cry wolf for days but all the time they keep their shorts alive.

A report now shows that only 8% of the shorted shares liquidated. More than 100% of the shares are still sitting there and they got hosed again on Friday for another $8 billion when the stock price ran up again.

They are showing no respect for the Redditors. They talk all day about trying to protect the "ignorant masses" from themselves, as if they really give a crap about them.

Well it didn't work and now the hedge funds and their creditors are royally screwed.

They have exposed themselves to unlimited upside losses as the Redditors say.....my shares are not for sale until we all decide they are for sale.

Why would the hedge funds hold the shorts and face financial oblivion ? They say new hedge fund money flowed into the shorts.

Only one reason I can think of......they are expecting the government to step in and close all buying of the stock.

They will try to force the stock price down so the hedge funds can buy Gamestock shares for a dollar or two and get themselves out of trouble.

They will try to blatantly manipulate the market to save themselves.


----------



## m3s (Apr 3, 2010)

Occupy Wall Street.. again?


----------



## Eder (Feb 16, 2011)

Well the kids are bad for markets but perhaps good for society...









AMC May Have Just Been Saved From Bankruptcy By Reddit’s Stock Market Moves


AMC theaters' stocks went up, saving the company.




screenrant.com


----------



## sags (May 15, 2010)

CNBC's Jim Cramer was so upset he called in from a hospital bed to beg the Reddit crowd to cash out and go home.

I wonder how much his personal fund has on the line............how much Jimbo ?


----------



## m3s (Apr 3, 2010)

> Google confirmed that they removed the bad reviews, which were enough to bring the total star rating down to one star. A screenshot posted by the outlet showed Robinhood with nearly 275,000 reviews and a one-star rating, then another screenshot later Thursday showed the app with about 180,000 reviews and a four-star rating.


Lots of collusion between the big corpos lately. Discord also banned wallstreetbets

Crypto exchanges are all flooded with all time high signups and traffic..


----------



## sags (May 15, 2010)

Kevin O'Leary was ecstatic in an interview this morning. 

He is rooting for the little guy. He said it is long past time to address wealth and income disparity. He hopes the hedge funds go broke.

Kevin......who knew ?


----------



## m3s (Apr 3, 2010)

Janet Yellen Received $810K In Speaking Fees From Hedge Fund Embroiled In GameStop Saga

Citadel paid Yellen $810,000 to speak at several events from October 2019 to October 2020, according to Yellen’s filings with the Office of Government Ethics.

The Chicago-based hedge fund paid Yellen $292,500 for a speech on Oct. 17, 2019, $180,000 for one on Dec. 3, 2019, and $337,500 to speak at a series of webinars held from Oct. 9-27, 2020.


----------



## sags (May 15, 2010)

Yup......while millions of Americans stand in food lines and get evicted from their homes.

Last week was the first round. More coming on Monday and it will require the heavy hand of government to shut down.

But that won't be the end of it. The long predicted social rebellion against the privileged 1% has begun.


----------



## Money172375 (Jun 29, 2018)

sags said:


> Kevin O'Leary was ecstatic in an interview this morning.
> 
> He is rooting for the little guy. He said it is long past time to address wealth and income disparity. He hopes the hedge funds go broke.
> 
> Kevin......who knew ?


O’Leary also said it is NOT retail investors who are driving this. I haven’t followed it too closely but he mentioned that the dollar amounts and volume of trades can’t be done by retail investors.


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## sags (May 15, 2010)

I don't know. A lot of the people on the Reddit website say they own 1 share or 2 shares. A few people own a lot of shares, like the de-facto leader who owns 50,000 and has an option to purchase another 50,000. He invested $50,000 in 2018 and already took out $13 million and has $22 million still in his account. He can also buy 50,000 more shares @ unknown price.

When the experts say the Redditors will lose everything.......many might only be losing $250, so they don't care.

It was also pointed on the Reddit site that the shorts were holding and the hedge funds started selling to each other for lower amounts trying to force the price down. The "leader" told everyone to "hold" and they did....and then drove the price back up 1 share at a time (the limit for share purchase of that stock).

By restricting the sale of shares to 1 share, the brokers led right into the Reddit crowds hands. That is all they want to buy and it drives the price up.

Now the hedge funds face Monday and they are being outmanuverred and running out of ideas.

It is the millions of "uneducated" Redditors doing it........but some smart people are leading it.


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## m3s (Apr 3, 2010)

Hedge funds, brokerages, lobbyists colluding with MSM and running PR campaigns, damage control ads

YouTube, Discord, Twitter, Facebook etc all blocking, suppressing and gatekeeping content that is not in violation of any terms

Now the crypto exchanges are all being overwhelmed with incoming accounts and deposits


----------



## Ukrainiandude (Aug 25, 2020)

m3s said:


> Janet Yellen Received $810K In Speaking Fees From Hedge Fund Embroiled In GameStop Saga
> 
> Citadel paid Yellen $810,000 to speak at several events from October 2019 to October 2020, according to Yellen’s filings with the Office of Government Ethics.
> 
> The Chicago-based hedge fund paid Yellen $292,500 for a speech on Oct. 17, 2019, $180,000 for one on Dec. 3, 2019, and $337,500 to speak at a series of webinars held from Oct. 9-27, 2020.


 Corrupted government officials. Why anyone would surprised of FED printing money to bail the hedge funds out and claiming it’s for general public good.
Current US government seems to be even more corrupt and bought by big money than previous one.


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## MrMatt (Dec 21, 2011)

sags said:


> Kevin O'Leary was ecstatic in an interview this morning.
> 
> He is rooting for the little guy. He said it is long past time to address wealth and income disparity. He hopes the hedge funds go broke.
> 
> Kevin......who knew ?


Anyone who's seriously listened to O'Leary knows.

He plays a caricature of "evil businessman".

But most of what he does is try to help and educate, and get a good deal for himself.
Some people don't like "tough love", but that's his style.


----------



## m3s (Apr 3, 2010)

This seemed like more of an authentic O'Leary


----------



## Ukrainiandude (Aug 25, 2020)

Interesting read








Thread by @compound248 on Thread Reader App


@compound248: Dear Media, What’s happening with RobinHood? A quick primer. This is a “plumbing” issue. It is esoteric, even for those on Wall Street. A very long thread on how the toilet is clogged.🚽🧻🪠 Read on...…




threadreaderapp.com


----------



## MrMatt (Dec 21, 2011)

m3s said:


> This seemed like more of an authentic O'Leary


Yes it does, it just doesn't play well on network TV.
It's more entertaining to see Jim Cramer yell and scream, or watch Kevin tear apart a poorly thought out business.


----------



## MrBlackhill (Jun 10, 2020)

Kevin O'Leary cheers GameStop frenzy despite risk as 'real world' lesson for novice investors


"I think this is fantastic what's going on. Leave it alone," O'Shares ETFs co-founder and "Shark Tank" investor Kevin O'Leary told CNBC.




www.cnbc.com





Video of Kevin O'Leary on the situation.


----------



## james4beach (Nov 15, 2012)

Is anyone considering playing GameStop on the way down? I think the only way I can possibly be comfortable doing that is using deep-in-the-money put options.

The DITM put should give you an experience very similar to being outright short. It's not a lot of leverage, and not much premium or time decay (which is good).

The idea would be to wait until the price stops advancing. I think seeing three days without a new high might be a reasonable criteria to short.


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## off.by.10 (Mar 16, 2014)

sags said:


> But that won't be the end of it. The long predicted social rebellion against the privileged 1% has begun.


lol no. More like someone or a small group of people have figured out how to use social media to leverage the mob on financial markets. Not unlike what politicians have been doing for a good while.

The idiots will certainly believe they're robbing the 1%. But it's not what will actually happen.


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## nobleea (Oct 11, 2013)

off.by.10 said:


> lol no. More like someone or a small group of people have figured out how to use social media to leverage the mob on financial markets. Not unlike what politicians have been doing for a good while.
> 
> The idiots will certainly believe they're robbing the 1%. But it's not what will actually happen.


I'm pretty sure the truth is closer to this. They're just being played, like they always have. Except now they think they're truly in control.


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## james4beach (Nov 15, 2012)

off.by.10 said:


> lol no. More like someone or a small group of people have figured out how to use social media to leverage the mob on financial markets. Not unlike what politicians have been doing for a good while.
> 
> The idiots will certainly believe they're robbing the 1%. But it's not what will actually happen.


Absolutely. There is now a false sense of control among "disaffected small investors" who think they actually control this game.

It's much more likely that professional traders and/or hedge funds are pushing the narrative (and marketing it through social media). Just a new twist on the same old scam.

*Retail investors are going to lose their shirts.*

I took a quick look at put options today. The bid/ask spreads are insanely wide and even DITM, they still have massive volatility premiums. The options market is already pricing in the crazy uncertainty so I don't see any good way to trade this, even if expecting a decline.


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## off.by.10 (Mar 16, 2014)

james4beach said:


> It's much more likely that professional traders and/or hedge funds are pushing the narrative (and marketing it through social media). Just a new twist on the same old scam.


Indeed, there is a huge disconnect between the "why can't I buy GME anymore???" investors you see popping up on various boards and the amount of research that must have been put into starting this thing.

Some of the crap was so well written even I felt like buying stock after reading it, even though I knew full well it was full of lies and bad arguments. It's worded like a 10 year old put it together but I wouldn't be surprised if it was the product of months of A/B testing to see what's best at triggering people's emotions. Either that or people who are really, really good at sales.


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## james4beach (Nov 15, 2012)

off.by.10 said:


> Some of the crap was so well written even I felt like buying stock after reading it, even though I knew full well it was full of lies and bad arguments.


Exactly. Professional spam is what it is. I fight spam and scams, professionally. I'm about 90% sure this is a professional operation, a form of spam and very astute marketing in the new age.

I have a keen eye for it from nearly 20 years of understanding spam and internet marketing tactics. I think it fooled everyone; it got through all the spam filters.



> Either that or people who are really, *really good at sales*.


No question these are marketing people. A new breed of spammer, really. Marketers.

Spammers who are so good that they fooled the world's mainstream media into blasting their message across TV headlines around the world.

Really what the scam artists did is fine tune the message to exploit the current public sentiment. See if this was the 1990s, they would have had a more positive upbeat spin on it. But for today, they've adjusted it to the dark cynicism, something that actually appeals to BOTH left and right leaning people, and fine tuned the message for optimal effect.

Then they expertly co-opted the social media platforms, with some understanding of how those algorithms work, to amplify the pump & dump jobs.

Very astute.


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## Eder (Feb 16, 2011)

It was interesting watching the ticker today...one fund selling small trades to another fund over & over, rinse repeat. Looks like the shorts are fighting back hard.


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## Ukrainiandude (Aug 25, 2020)

Eder said:


> It was interesting watching the ticker today...one fund selling small trades to another fund over & over, rinse repeat. Looks like the shorts are fighting back hard.


Why is the volume so low? Just because the limits the brokerages are allowing?

Anyways, no point in selling now....the squeeze hasn't happened and the HF's havent closed even 10% of their short positions...why sell now?

This is a game...the longer they hold out, the more interest they bleed. VW hedge funds were able to bleed for 35ish days or so in 2008....We are talking hundreds of millions being lost daily/weekly for these guys....you GME holders have them by the balls...keep pushing.


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## Ukrainiandude (Aug 25, 2020)

Volkswagen short squeeze


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## andrewf (Mar 1, 2010)

MrMatt said:


> Anyone who's seriously listened to O'Leary knows.
> 
> He plays a caricature of "evil businessman".
> 
> ...


He isn't all that bright. He's mostly a TV personality, and got lucky selling a pig in a poke with The Learning Company.


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## MrMatt (Dec 21, 2011)

james4beach said:


> Exactly. Professional spam is what it is. I fight spam and scams, professionally. I'm about 90% sure this is a professional operation, a form of spam and very astute marketing in the new age.
> 
> I have a keen eye for it from nearly 20 years of understanding spam and internet marketing tactics. I think it fooled everyone; it got through all the spam filters.
> 
> ...


Motley Fool used to be good, but it's turned into clickbait subscription ads.
It's just where the money is.

Lots of companies do this, they abandone their niche to grow sales, then become one of the many indistinguishable companies.
Like the home decor store craze of a few years ago.


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## james4beach (Nov 15, 2012)

andrewf said:


> He isn't all that bright. He's mostly a TV personality, and got lucky selling a pig in a poke with The Learning Company.


Many believe that he actually ripped off a lot of investors, and he's been sued repeatedly for that transaction. He's been accused of misrepresenting the financial condition of his company.

He settled out of court for huge amounts of money.

This is not a guy anyone should trust.


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## james4beach (Nov 15, 2012)

Is anyone considering buying GME put options?

I'm thinking about it. I would only do it with a trivially small amount of money, because this is obviously extremely dangerous.


----------



## sags (May 15, 2010)

The leader of the Reddit group posted his Gamestop holdings. He lost $5 million today and didn't sell. Last week he lost $14 million and didn't sell.

The group is wild........"If he stays.....I stay".......is the rally cry.

The on site "financial plumbing" expert who explains what is happening to his fellow Redditors says basically.........

Last Thursday the hedge funds started trading with each other, a few shares at a lower price each time. They tricked the algos into showing a mass selloff to scaret the Redditors into selling their shares for a declining share price.

It didn't work, as the Redditors are too well informed and didn't sell and as soon as the hedge funds stopped.....the share price went back up.

So over the weekend the hedge funds decided to put the focus on silver today as a distraction, but that didn't work either. The Redditors are still holding.

The bottom line is the hedge funds can't buy shares at this price or it will bankrupt them and the Redditors won't sell to them anyways.

Research showed there are still more shares shorted than the total shares for the company.

It is the mother of all short squeezes and eventually the hedge funds will be forced to start buying the shares and when they do it will drive up the price of shares. The hedge funds tried to get out from under by claiming to close their short positions but research showed the shares were still more than 100% shorted. They tried to fool the Redditor crowd and now they are screwed.

It sounds like the Redditors have decided that $1000 per share is their selling price.

Robinhood raised another $2 billion in equity. The hedge funds are bleeding cash. Investors will have to raise cash by liquidating "good company" stocks.

Without regulation that basically steals the money from the Redditors........hedge funds and their lenders are whooped.


----------



## sags (May 15, 2010)

This Reddit leader guy DFV has already become a folk hero to millions of followers.

They await his next moves.........


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## nathan79 (Feb 21, 2011)

james4beach said:


> Is anyone considering buying GME put options?
> 
> I'm thinking about it. I would only do it with a trivially small amount of money, because this is obviously extremely dangerous.


Not me. I'd rather support the WSB movement and buy a single share. If I can contribute even a little bit to the short squeeze, that would leave me feeling more satisfied than betting against them. If enough people bought just one share it would really have an impact. I realize that either way I'm likely to lose money, so that wouldn't even factor into my motivation.


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## james4beach (Nov 15, 2012)

nathan79 said:


> Not me. I'd rather support the WSB movement and buy a single share.


I mean, you're only supporting hedge funds by buying, or trading it at all for that matter


----------



## Eder (Feb 16, 2011)

If after all this Gamestop goes on to be a viable eSports business it will all have been worth it...all the employees getting pay checks and malls getting rent...I'd love to see them survive.

In the meantime the shorts want to make it so they can't issue equity or borrow money. I say f the shorts, hope they lose another 12 billion, mom & pop pensions shouldn't be funding these slickers anyway...I'll buy my token share tomorrow with you.


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## andrewf (Mar 1, 2010)

james4beach said:


> Is anyone considering buying GME put options?
> 
> I'm thinking about it. I would only do it with a trivially small amount of money, because this is obviously extremely dangerous.


Looks like July '21 220 puts cost ~$150. Maybe not all that crazy. I would expect the stock to be back at $30 by then. So you could make $40 on a $150 put. I don't really think it is worth getting involved in this shitshow, though.


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## andrewf (Mar 1, 2010)

I have to say, I wonder what Gamestop is waiting for--why have they not raised capital? It's being handed to them on a platter.
Do they just not have any investment bankers on speed dial?


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## james4beach (Nov 15, 2012)

andrewf said:


> I have to say, I wonder what Gamestop is waiting for--why have they not raised capital? It's being handed to them on a platter.
> Do they just not have any investment bankers on speed dial?


Yeah, you've got to wonder. American Airlines did the right thing. I wish Blackberry would issue equity too.

I might gamble on some AMC puts. Unit price is much lower. With GME you're looking at a very large notional position for a board lot contract.


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## Eder (Feb 16, 2011)

I agree that GME, should it issue shares, could have billions in the bank to reinvent itself. Looks like its up to 86% short atm.


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## doctrine (Sep 30, 2011)

RIP Gamestop. Turns out, a majority of the shorts covered last week. This information is rarely available realtime and so it is like trading on a 48-72+hour delay if that is your only thesis. The whole weekend of "the squeeze hasn't been squoze" is fake news - it already happened. And so if anything will be new shorts and quants coming in greater numbers that will profit this all the way back down to $40 and maybe below.


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## MrBlackhill (Jun 10, 2020)

doctrine said:


> RIP Gamestop.


I have no clue about the current situation, but my feeling is...

I'm wondering if people are still holding just because they are told to and in a few days from now institutions will be laughing when the shares will be worth only $30 or less. I believe the short squeeze is losing power.

The shorts have already covered a lot. Not sure if the shorts are still in a bad position anymore.

GameStop Short Interest Plunges in Sign Traders Are Covering


----------



## off.by.10 (Mar 16, 2014)

sags said:


> The leader of the Reddit group posted his Gamestop holdings. He lost $5 million today and didn't sell. Last week he lost $14 million and didn't sell.


You do realize that without a 3rd party audit, one can photoshop whatever holdings they want, right?


----------



## Argonaut (Dec 7, 2010)

This GameStop event was truly fascinating, and while it felt last week like it would be one of the biggest ever stories in the stock market... this week it looks like it's just fizzling out.

I got in GME last Monday at 71.00, as I have been reading WallStreetBets for a long time, and the short squeeze looked like a compelling opportunity.

You have to eliminate the noise and follow the data. The only thing I was watching was the short interest. I trusted the S3 short numbers that appeared over the weekend. If they're suspicious or whatever, who cares? They're still out there. Short interest plummeted: the party is over.

I was absolutely shocked I could get 316.00 at open on Monday. In at 71.00, out at 316.00. Not perfect but definitely my best ever short term trade.

WallStreetBets was truly naive with their diamond hands approach. In this sort of temporary phenomenon you have to plan your exit before you're left holding the bag.

I checked my GME sell fills on Monday... most of them sold 1 share at a time. Very sad for the small guys caught up in the trade. There's a lot of people hurting out there, and hope can be a terrible thing.


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## james4beach (Nov 15, 2012)

I looked at the possibility of trading AMC. I really wanted to play the way down, since it's clear that GME and AMC were going to drop after the pump lost steam.

The options prices just seem to make it impossible (as expected in an efficient market, actually). I studied the AMC options very carefully. But the puts were so incredibly expensive, that it really would have taken outlandishly sharp movements for them to show a profit, and even then, I'd only capture a fraction of the move.

Today was a sharper drop in AMC than I expected (down 40% so far today). The puts I was looking at did gain value... sadly I missed that opportunity ... but the puts were just such a terrible deal. Such massive premiums on them that you would have lost money in all but the craziest movements.

Even if GME and AMC fall another 30% or more in the coming days, I suspect you can't profit from that using options. You could probably make money if they sharply crash another 60% day after day, but that's really the high/unexpected side of what could happen.

The options market is pretty damned smart. This reminds me why it's dangerous to play in the options market.


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## sags (May 15, 2010)

If the hedge funds closed all their positions when the price was bouncing around between $250 and $300 a share........they lost a lot of money.


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## Argonaut (Dec 7, 2010)

james4beach said:


> The options market is pretty damned smart. This reminds me why it's dangerous to play in the options market.


Hey j4b, the options market is a wonderful thing. There's always tools to use. In this scenario you could have done a spread. Either a debit put spread or a credit call spread. Or maybe both at the same time. That would mitigate, and even benefit from, the high cost of premiums.

Unfortunately a lot of brokers won't let you do this. I'm at RBC and they only allow covered calls or straight buys of puts/calls. 
And even if you're allowed, you still have to understand your maximum risk. And options are crazy enough that there's some scenarios with heavy volatility where you'd be hit for more than your "maximum" loss.


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## james4beach (Nov 15, 2012)

Argonaut said:


> Hey j4b, the options market is a wonderful thing. There's always tools to use. In this scenario you could have done a spread. Either a debit put spread or a credit call spread. Or maybe both at the same time. That would mitigate, and even benefit from, the high cost of premiums.
> 
> Unfortunately a lot of brokers won't let you do this. I'm at RBC and they only allow covered calls or straight buys of puts/calls.
> And even if you're allowed, you still have to understand your maximum risk. And options are crazy enough that there's some scenarios with heavy volatility where you'd be hit for more than your "maximum" loss.


Wow Argonaut, good to see you posting!

I definitely don't have the options expertise to pull off the things you describe. A friend of mine is currently short GME calls. I don't know how far out he went, but I suspect he made an ok trade. He sold various calls at huge premiums, before the crash of the last couple days.

I looked at some of those options and was shaking my head. Who on earth was buying GME calls at strike 400 or 500, plus the massive premiums on top of them? Amazing.


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## james4beach (Nov 15, 2012)

sags said:


> If the hedge funds closed all their positions when the price was bouncing around between $250 and $300 a share........they lost a lot of money.


I seriously doubt that hedge funds lost money on GME.

sags, don't buy the story they are peddling on TV. Hedge funds are making a killing off GME, both long and short. This whole fiasco was very profitable for them. There may be a couple hedge funds which blew up along the way, but Wall Street as a whole profited from this. They love high trading volumes and they love trading against retail investors.


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## Eder (Feb 16, 2011)

The buying volume definitely was investment firms jumping on board. They put a couple decent dents into a few hedge funds. Many retail buyers made huge bank as well. 
Was very entertaining while sh t was hitting the fan.


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## andrewf (Mar 1, 2010)

off.by.10 said:


> You do realize that without a 3rd party audit, one can photoshop whatever holdings they want, right?


Even more phone, you can just edit the source of a webpage to show any balance/position you want.


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## james4beach (Nov 15, 2012)

andrewf said:


> Even more phone, you can just edit the source of a webpage to show any balance/position you want.


I'm just guessing here but I really think small investors "got played" by this whole thing.

I think it was a classic pump & dump, but intelligently framed as the little guy beating Wall Street. Well marketed on social media by spammers and scam artists. With some very smart spin about how "it's cool to lose money" and "let's screw Wall Street".

Short squeezes are not a new thing, nor are internet forums promoting them. Goes back to at least the year 2000. The big difference here is how large a social media response occurred. Very likely, some original traders are behind this and made tons of money -- MOSTLY at the expense of retail novices who had no clue what game they had joined.

Even if there wasn't some scam artist behind the original idea, it's clear the hedge funds took control of this trade by January 22 or 25. Once the hedge funds are in control, you're playing a very dangerous game as these guys aren't amateurs. They know what pump & dump is, and they know how to trade these things.


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## andrewf (Mar 1, 2010)

james4beach said:


> I'm just guessing here but I really think small investors "got played" by this whole thing.
> 
> I think it was a classic pump & dump, but intelligently framed as the little guy beating Wall Street. Well marketed on social media by spammers and scam artists. With some very smart spin about how "it's cool to lose money" and "let's screw Wall Street".
> 
> Short squeezes are not a new thing, nor are internet forums promoting them. Goes back to at least the year 2000. The big difference here is how large a social media response occurred. Very likely, some original traders are behind this and made tons of money -- MOSTLY at the expense of retail novices who had no clue what game they had joined.


Yeah, retail definitely got screwed most out of this episode. And really, any shorts just had to be reasonably liquid to wait this out, and Wall Street isn't betting the firm on GME. The worst case scenario for Wall Street is the companies would issue equity at high valuations and the intrinsic value of the shares they sold short rises.


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## james4beach (Nov 15, 2012)

andrewf said:


> Yeah, retail definitely got screwed most out of this episode. And really, any shorts just had to be reasonably liquid to wait this out


A fair guess, I think.

I'm hesitating to post this next part, but I think it's helpful to illustrate just how skilled _real_ Wall Street is and how it's such a stupid idea to gamble against them.

One of my friends works at a very large investment bank. In his personal account, he was accumulating short (equivalent) positions relating to the recent rallies. To speculate like this in his personal account, he first has to get regulatory approval, and he did it all legally. These procedures slowed down his personal trades. He also faces restrictions, like has to hold positions for a minimum X days and can't close them.

In his day job, this guy is a professional bank trader. Screwing the Reddit novices was trivial. He's literally doing it with one hand tied behind his back and will still make massive trading profits.

And people think they are hurting Wall Street? Get real.


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## Eder (Feb 16, 2011)

Interesting comment from all this on Reddit


mcuban

52.9k points · 7 hours ago· edited 6 hours ago

Final thought. First thanks for the great questions. Thanks for changing the game. Thanks for taking on Wall Street. Thanks for making kids around the country if not the world( including my son and daughter). WSB changed the game far more than everyone on this board will ever get credit for.
That said, you will do all this again. You will go after WS and the next time you will be smarter. There was only one thing that messed you all up: RobinHood and the other zero commission brokers that everyone used didnt have enough capital to fund the fight. They let you down in a big way.
When you load back up, fight a broker with TRILLIONS OF DOLLARS in assets on their balance sheet. Someone that can be there when the fight starts and wont blink an eye.
No disruption is easy or happens in a straight line. Stay with it. I am a believer

and




mcuban


7.1k points · 7 hours ago


Yes. WSB leveraged the value of community. They took it to the people and made it bottom up. There is so much power and upside in this. Sometimes its expensive to learn. Anyone who has traded for a while has learned an expensive lesson they couldnt afford. I know i have.
next time WSB will be smarter. And next time can still be around GME, AMC, etc.
There will be a point in the stock where wall street starts saying "I told you so", let that happen for a few weeks.
Then hit them again, at a broker with the financial strength to never have to shut you off


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## james4beach (Nov 15, 2012)

Eder said:


> There will be a point in the stock where wall street starts saying "I told you so", let that happen for a few weeks.
> Then hit them again, at a broker with the financial strength to never have to shut you off


There's a fundamental misunderstanding in all this. They think Wall Street dislikes what happened - not true. They love this. Trading activity and volume = profit opportunity.

Wall Street will fully endorse Reddit, or whoever, continuing to do this as much as they like. It's great for business.

If you really want to screw Wall Street, you should avoid speculative trading and gambling. Passive long term positions are how to screw hedge funds and Wall Street. Minimize your trading. That's how you screw Wall Street and deprive them of profits.


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## off.by.10 (Mar 16, 2014)

How convenient that they come up with a narrative and someone else to blame for the losses. I'm not sure if we should file this one under chronic gambler or evil mastermind.


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## gardner (Feb 13, 2014)

I thought most of the Robinhood guys were buying on margin. Have all the margin calls kicked in?


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## sags (May 15, 2010)

Gamestop shares are up 10% to $100 at this point today.


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## james4beach (Nov 15, 2012)

Argonaut said:


> I was absolutely shocked I could get 316.00 at open on Monday. In at 71.00, out at 316.00. Not perfect but definitely my best ever short term trade.


Congrats, that's a really successful speculation.

Seeing this GME and AMC rally today, I bought some AMC puts. We'll see what happens. My contract is trading at $0.90 and I'm effectively short AMC now.


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## Argonaut (Dec 7, 2010)

I would probably avoid the meme stock names now in either direction. The short squeeze trade has played out, now either side is pure speculation.

I put my profits into XOM w/ July at-the-money covered calls, and the SLV ETF. I'm not bullish on XOM, but I don't think they're going out of business either. With a high dividend yield attached, covered calls can bring total income to about 25% annually. Not bad for a fairly neutral strategy.

Ironically silver was (mostly erroneously) pumped as the "next" squeeze, but I have been bullish on the metal despite that, and was annoyed at the dumb press it got earlier this week. I just like silver when it's over the 50:1 ratio with gold, and because of all the trillions of new money and debt in our crazy system.

Anyway it's nice to flip wild bubble money into "real" investments. Win-win.


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## m3s (Apr 3, 2010)

Argonaut said:


> I just like silver when it's over the 50:1 ratio with gold, and because of all the trillions of new money and debt in our crazy system.
> 
> Anyway it's nice to flip wild bubble money into "real" investments. Win-win.


The reddit/MSM pump on silver was very suspect but I wonder what kind of delayed impact the run on physical silver will have. Or could all the silver stores have just collude to say they're all sold out?

Either way silver looks overdue. But why paper SLV instead of PSLV?


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## jargey3000 (Jan 25, 2011)

Argonaut said:


> This GameStop event was truly fascinating, and while it felt last week like it would be one of the biggest ever stories in the stock market... this week it looks like it's just fizzling out.
> 
> I got in GME last Monday at 71.00, as I have been reading WallStreetBets for a long time, and the short squeeze looked like a compelling opportunity.
> 
> ...



Nice, argo!


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## Argonaut (Dec 7, 2010)

m3s said:


> Either way silver looks overdue. But why paper SLV instead of PSLV?


As far as I can tell they're the same sort of product, although PSLV lets you take physical delivery at a lower threshold.
Seems like the PSLV threshold is still above $250,000, and I don't have that much invested in silver.
SLV is much more liquid, with one of the best options markets of any security in the world. I can sell calls to get out with a premium if I want.
I have a decent size of physical silver, and SLV is a nice digital supplement given my $USD influx with my GME trade.


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## Argonaut (Dec 7, 2010)

This is a key piece of the puzzle about what happened last week with GameStop, and how the hedge funds covered their shorts quickly and mysteriously without a Volkswagen-like short squeeze.
Everyone could see the squeeze playing out, and the rise in GME was mostly longs driving up the price to squeeze Melvin Capital and others.
Shareholders held on and demanded ludicrous share prices in anticipation of the stock going parabolic. I know I originally set a ladder of sell limits at 777, 2727, 7777, and 8888.
So there was not much liquidity of the float available at reasonable prices. So how did the hedge funds get out?

They bought up shares of XRT, the SPDR Retail ETF! During the mania, GameStop became 20% of the weight of the ETF. It's equal-weight, but rebalanced quarterly, so it was sitting with a huge GME position. And the ETF market makers don't care what the price of GME is. Presumably SPDR didn't even buy extra GME shares with their ETF inflows because they became so overweight. So hedge funds bought XRT, redeemed it for shares of the underlying stocks, covered their GME shorts, and presumably sold the rest of the junk in the ETF.

Honestly it was a pretty genius maneuver, and whoever thought of it deserves a mega-bonus.
I'm not on the hedge fund side or anything, and was definitely rooting for the little guy. I got my pound of flesh too, and knew when to get out. But I can always take a step back and be objective in my analysis. You have to when it comes to money.


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## james4beach (Nov 15, 2012)

Looks like some TD customers are gambling on this too... perhaps inside the RRSP? Yikes.


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## MrMatt (Dec 21, 2011)

james4beach said:


> Looks like some TD customers are gambling on this too... perhaps inside the RRSP? Yikes.
> 
> View attachment 21224


Doesnt' make sense to me, I don't think TD allows margin in RRSPs, I don't think anyone does.


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## james4beach (Nov 15, 2012)

Argonaut said:


> As far as I can tell they're the same sort of product, although PSLV lets you take physical delivery at a lower threshold.
> Seems like the PSLV threshold is still above $250,000, and I don't have that much invested in silver.
> SLV is much more liquid, with one of the best options markets of any security in the world. I can sell calls to get out with a premium if I want.
> I have a decent size of physical silver, and SLV is a nice digital supplement given my $USD influx with my GME trade.


The Royal Canadian Mint's MNS also has a physical delivery option. If this demand stays strong, it's going to keep trading at a premium.


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## Argonaut (Dec 7, 2010)

james4beach said:


> The Royal Canadian Mint's MNS also has a physical delivery option. If this demand stays strong, it's going to keep trading at a premium.


I was really disappointed with MNT when I used it for myself and for clients. I like the concept. But the liquidity is awful, and it often doesn't even reflect what the metals are doing in a given day. I'm sure you can play in-and-out games with NAV premium/discounts but I don't want to mess around with that.

GLD and SLV are the standard bearers if you have USD or have enough capital to make Norbert's Gambit worthwhile. In CAD I believe CEF and CGL.C are better options. Even CGL if you think USD is weakening, which it likely would in a metals bull run. Also, BMG130 is a pretty cool mutual fund option for smaller dollar amounts. It has Gold, Silver, and Platinum all in one... and I think the latter is undervalued.


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## Ukrainiandude (Aug 25, 2020)

james4beach said:


> The Royal Canadian Mint's MNS also has a physical delivery option. If this demand stays strong, it's going to keep trading at a premium.


Someone rather rich must’ve felt better about having access to physical metal 
On December 8, 2020, the Mint received a formal notice of redemption by a holder of 6,000,000 ETRs under the Canadian Gold Reserves Program (*representing approximately 24% of the outstanding gold ETRs* on that date) that it intends to redeem such ETRs. The Mint does not believe that this redemption is likely to have an impact on trading liquidity of ETRs under the Canadian Gold Reserves Program.


Canadian Gold Reserves - Canadian Silver Reserves - Royal Canadian Mint | Réserve d'or canadienne - Réserve d'argent canadienne - Monnaie royale canadienne


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## james4beach (Nov 15, 2012)

Argonaut said:


> I was really disappointed with MNT when I used it for myself and for clients.


It's supposed to be a long term holding is it not? I agree that liquidity is poor for trading in and out, but I would assume you wouldn't be doing that too often.



Ukrainiandude said:


> the Mint received a formal notice of redemption by a holder of 6,000,000 ETRs


Yes I noticed it too, and it's amazing. That's a huge delivery! But I guess it shows just how much demand there is for physical bullion.


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## Ukrainiandude (Aug 25, 2020)

Argonaut said:


> GLD and SLV are the standard bearers


Isn’t PHYS and/or PSLV a better option with relatively high liquidity and back up by physical metal stored in Ontario vs ishares GLD and SLV stored by crooks from JP Morgan and God knows how many times counted (1 ounce of metal in storage can be used to back up several ETFs units, but it should be one for one). 
I personally holding physical metal platinum and gold as small portion of my savings, don’t really see the point of using ETFs for that purpose (I am aware of margin and storage hassle, but long term it matters less).


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## gardner (Feb 13, 2014)

MrMatt said:


> Doesnt' make sense to me, I don't think TD allows margin in RRSPs, I don't think anyone does.


You can do a market buy and due to price movement wind up committing to pay more than you had bargained on. Maybe even have cash for. This puts you in a debit balance and they will sell something to cover it.


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## Argonaut (Dec 7, 2010)

Man, it's a shame what's happened to WallStreetBets. I use Reddit a lot as a time-waster, and have been subscribed to WSB for years. It used to be a good mix of crazy gains, ridiculous losses, memes, laugh-out-loud humour, and occasionally even some insightful analysis.
Now it's a GME cult that has collectively lost its mind. Maybe even taken over by bots and/or con artists. Hopefully the cult dies away as the stock levels out.


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## sags (May 15, 2010)

Robinhood and other brokers who removed or restricted the "buy side" of GME and other stocks still have a lot of questions to answer.

There are investigations and lawsuits that will take time. This story is far from over.

What I see......on CNBC and other business channels, is a continual anti-small retail investor bias. They bring hedge fund managers and company CEOs on television all day long to pump their companies. I have yet to hear a CEO say his company is crap and a bad investment. They all have a story explaining away their bad metrics, poor business model, and how glorious their future is.

They seldom bring on anyone who would disagree with bullish sentiment....like Peter Schfiff and others and any time they do the hosts and other guests spend their time mocking him. They forget that Schiff predicted BOTH the dot com and housing bubbles. I remember both times. I heard him predict them and watched them happen. There is NO doubt he accurately predicted both of them. He may be overly bullish on gold, but I think it far more likely that if the financial system collapses due to "printing" too many dollars, the reset will be with a currency based on gold.........not bitcoins.

The Redditors say the stock markets are rigged against small retail investors, because there is plenty of evidence that they are and no evidence they aren't.

It will be interesting to see what the Congressional hearings and investigations reveal about all this.


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## MrMatt (Dec 21, 2011)

gardner said:


> You can do a market buy and due to price movement wind up committing to pay more than you had bargained on. Maybe even have cash for. This puts you in a debit balance and they will sell something to cover it.


Good point.
I never do market buys for that reason. I actually don't know why you would do a market buy.


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## sags (May 15, 2010)

Elon Musk is pumping Dogecoin, after pumping GME and Bitcoin.

Will Janet Yellen and all the regulators be investigating his social media posts as well ?









Treasury Secretary Janet Yellen calls meeting with US market regulators to discuss volatility in the wake of GameStop mania


Regulators have indicated they're looking into the Reddit-fueled trading craze and whether it amounts to market manipulation.




markets.businessinsider.com


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## Argonaut (Dec 7, 2010)

sags said:


> Robinhood and other brokers who removed or restricted the "buy side" of GME and other stocks still have a lot of questions to answer.
> There are investigations and lawsuits that will take time. This story is far from over.


I agree with most of what you say, sags. It's a rigged game, and retail investors have the odds stacked against them.
However, people need to look out for themselves. No one besides yourself (and immediate family) truly cares about you and your money.
People who put their life savings or borrowed money to take a huge positions into GameStop when it was already in the 300/400 range are just as dumb as the hedge funds who sold it 140% short. Congress, the SEC, and lawsuits won't save them.


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## james4beach (Nov 15, 2012)

MrMatt said:


> I never do market buys for that reason. I actually don't know why you would do a market buy.


It's the default and I think people just get used to this order type.



Argonaut said:


> People who put their life savings or borrowed money to take a huge positions into GameStop when it was already in the 300/400 range are just as dumb as the hedge funds who sold it 140% short. Congress, the SEC, and lawsuits won't save them.


Yes, people were being very greedy and stupid. Sadly the mainstream media actually encouraged them, by running stories about how this is a "social revolution" and how this is a "redistribution of wealth". Not to mention the garbage info they were getting on social media.

Meanwhile... AMC is crashing and so far, my put options are gaining value. But I'm hoping for a price well below $7, otherwise my puts won't really perform.


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## Argonaut (Dec 7, 2010)

james4beach said:


> Meanwhile... AMC is crashing and so far, my put options are gaining value. But I'm hoping for a price well below $7, otherwise my puts won't really perform.


I would cash out as soon as you get a gain you're comfortable with. A lot of the option value is probably tied up in Implied Volatility, as these stocks have been super volatile lately.
As things start to settle down, IV will decrease. You could end up in a funny place where even during declines, the puts decrease in value. What's your strike?


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## sags (May 15, 2010)

Argonaut said:


> I agree with most of what you say, sags. It's a rigged game, and retail investors have the odds stacked against them.
> However, people need to look out for themselves. No one besides yourself (and immediate family) truly cares about you and your money.
> People who put their life savings or borrowed money to take a huge positions into GameStop when it was already in the 300/400 range are just as dumb as the hedge funds who sold it 140% short. Congress, the SEC, and lawsuits won't save them.


You gotta know when to fold them........


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## james4beach (Nov 15, 2012)

Argonaut said:


> I would cash out as soon as you get a gain you're comfortable with. A lot of the option value is probably tied up in Implied Volatility, as these stocks have been super volatile lately.
> As things start to settle down, IV will decrease. You could end up in a funny place where even during declines, the puts decrease in value. What's your strike?


I agree. I paid a huge premium for the volatility and I am aware that most of the value is the volatility premium. I have a March expiry, strike $5 so I am way OOTM.

My hope was that as the stock falls towards $5 that I'd see a better increase in value.


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## james4beach (Nov 15, 2012)

This Bloomberg article says that Senvest Management, a huge hedge fund, made $700 million on GameStop. Congratulations to Reddit and wallstreetbets for making hundreds of millions of dollars for Wall Street. By the end of October, Senvest owned more than 5% of the company. A huge position.

How did Senvest know when to sell and cash out GME? They sold when Elon Musk started pumping the stock.



> After the market’s close on Jan. 26, Tesla Chief Executive Elon Musk tweeted “GameStonk!!” a rallying cry to users of Reddit’s WallStreetBets forum, who had put their support behind GameStop.
> 
> Senvest, which had slowly been trimming its position, decided to get out completely.
> 
> “Given what was going on, it was hard to imagine it getting crazier,” Mr. Mashaal said.


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## gardner (Feb 13, 2014)

james4beach said:


> It's the default and I think people just get used to this order type.


It is a hassle to look up and enter the limit price, and on TD at least, half the time click through the confirmation that your limit is above current asking (or below current offer). But I always always always use limit orders. Naive newbies don't know any better.

I believe the default should be a limit with a few cents -- maybe 1% around the bid/ask. But then explaining why orders don't execute and partial fills would become a burden on the broker.


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## sags (May 15, 2010)

When Pro-line betting started, people figured out that due to time zones, they knew the results of European soccer games and could still bet on them.

They cleaned up for awhile until Pro-line figured it out and accounted for the time zone difference.

Point is........sometimes there are unique openings to get in and get out, but sooner or later they will change the game when it doesn't favor them.


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## sags (May 15, 2010)

james4beach said:


> This Bloomberg article says that Senvest Management, a huge hedge fund, made $700 million on GameStop. Congratulations to Reddit and wallstreetbets for making hundreds of millions of dollars for Wall Street. By the end of October, Senvest owned more than 5% of the company. A huge position.
> 
> How did Senvest know when to sell and cash out GME? They sold when Elon Musk started pumping the stock.


So they owned a large position in heavily shorted stock that may go to $0 and would have been a terrible investment...and then watched the $$$ go by as the stock rose, and then cashed out at the top ?

Gee........how lucky was that ?


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## james4beach (Nov 15, 2012)

sags said:


> So they owned a large position in heavily shorted stock that may go to $0 and would have been a terrible investment...and then watched the $$$ go by as the stock rose, and then cashed out at the top ?
> 
> Gee........how lucky was that ?


I don't think it's nefarious. Many institutions and hedge funds have positions in this stuff like this.

They were just blessed with an insanely strong rally and sold, when given the opportunity. Remember how I was posting here at the exact same time, that Ontario Teachers has to sell their BlackBerry position? In fact here is my exact post when BB was trading at $28 ... I said the pension plan has to sell! If I was in charge I would have hit the sell button.

Here's the price chart. I described that as a "no brainer" decision and said "Ontario Teachers Pension Plan had better be selling at least part of this position" at around $28

I identified the peak price, highest day, almost to the dollar. This doesn't mean that I orchestrated the wallstreetbets pump job. I think many experienced investors and traders know an opportunity when they see one.


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## Ukrainiandude (Aug 25, 2020)

sags said:


> It will be interesting to see what the Congressional hearings and investigations reveal about all this


I don’t think anyone from big financial companies will be held responsible for this. They got 74 years old newly appointed minister of finance on their side. 7 million dollars for giving webinars is a poorly concealed bribe.


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## m3s (Apr 3, 2010)

No wonder she likes printing money


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## james4beach (Nov 15, 2012)

james4beach said:


> Exactly. Professional spam is what it is. I fight spam and scams, professionally. I'm about 90% sure this is a professional operation, a form of spam and very astute marketing in the new age.
> 
> I have a keen eye for it from nearly 20 years of understanding spam and internet marketing tactics. I think it fooled everyone; it got through all the spam filters.
> 
> ...


Maybe @off.by.10 and I got it right in posts #100 and #101.

Keith Gill, aka 'Roaring Kitty' on social media, has been sued for securities fraud on GME. He's a licensed securities professional -- not an amateur -- who is alleged to have misrepresented himself as a "small guy" and Robinhood kid.

He then manipulated the market and pumped the stock for personal profit. It's alleged that he used extensive social media marketing through Reddit, Youtube, Twitter.

Though, these aren't government charges. I'll be more interested to see what the DoJ and SEC do.

More interesting details about this current lawsuit here:









Reddit’s lead GameStop hypebeast is being sued for his role in the stock surge


The suit claims he “incited a market frenzy.”




www.theverge.com


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## james4beach (Nov 15, 2012)

This is getting interesting! Here is the rebuttal from Roaring Kitty


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## off.by.10 (Mar 16, 2014)

Interesting does not even begin to cover it. I love how with some handwaving gamestop will somehow insert itself between the publishers and their customers and collect a share of the digital revenue stream. If they had started on that 10 years ago then yeah, I could perhaps believe it. But now? Between the phone app stores, console makers and large publishers with their own systems, the space is already extremely crowded. The existing players control either the content of the device it runs on. What does gamestop control?

That guy is either dumb and lucky or smart and lying through his teeth.


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## MrBlackhill (Jun 10, 2020)

james4beach said:


> This is getting interesting! Here is the rebuttal from Roaring Kitty


Ha! Also found this. I'm not sure I understand the goal of the questioning and it's such bad questioning. Looks like a bad comedy show.


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## Bananatron (Jan 18, 2021)

Weird things going on this afternoon. GME ran up over 100% in the last 2 hours of trading and now Reddit is unavailable. Probably not a coincidence.


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## MrBlackhill (Jun 10, 2020)

Wow and another +50% after hours.


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## MrBlackhill (Jun 10, 2020)

How could we forget about GME? Back to $270. Madness.


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## Bananatron (Jan 18, 2021)

MrBlackhill said:


> How could we forget about GME? Back to $270. Madness.


What a crazy day. Ran up to $350, then crashed through multiple halts down to $190, before finally stabilizing at $260. Insanity.


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## m3s (Apr 3, 2010)

Lightning strikes twice


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## MrMatt (Dec 21, 2011)

m3s said:


> Lightning strikes twice


Stupid strikes a lot more than twice.

I think GME is headed for a wild ride, but there is no way I'd put this valuation on a dying industry.


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