Posted on 01/26/2021 6:54:35 PM PST by wrrock
The small investors on the r/Wallstreetbets subreddit (which has 2 million subscribers) and other sites are taking part in a conscious collective effort to drive the prices of these stocks up--most famously GameStop.
Many fund managers short sell stocks as a hedge and/or speculation. But if the price goes up to fast, short sellers get stuck and have to cover the short position by purchasing the stocks outright. This causes upward pressure on the prices of stocks.
Here is a list of stocks with the highest percentage of short positions compared to eligible shares.
Note: The price is unpredictable and the stocks can come down just as fast as they rise.
(Excerpt) Read more at toptradeguru.com ...
Is there an ETF for that?
I see that Bed, Bath and Beyond, my most recent pet peeve for what they did to Mike Lindell and MyPillow is on the short list....
I hope it’s because consumers are boycotting them and the traders have began to notice.
Louis Rossmann has some videos explaining the naked short sellers getting slaughtered over their greed on Gamestop stock. It’s one time the average Joe gets revenge on Hedge Funds that profit at other peoples expense.
Can someone explain to me what is up with GameStop? Smells like some sort of stock manipulation, but I am a simple crofter’s son not familiar with the sophisticated ways of the world...
It’s simple really. To short a stock you borrow that stock and sell it immediately in the hopes it will go down. IF it goes down you buy it back at a reduced price and return the shares. You profit on the difference.IF it goes UP like Gamestop has, you are on the hook for the difference. There is NO LIMIT to your losses. Also you are paying, at this point, 20+% interest on the margin on which you borrowed the shares. There is over 100% of the stock shorted. Uh oh. These hedge Fund managers HAVE to buy the stock no matter what the price now and nobody is selling to make them sweat for once.
We are watching history.
I opened up accounts for my two sons early last year. Not a vast amount;
Very low five figures. Bought like crazy when the market crashed. On is up 140%; the other about 80. Though a small investor I am judiciously but continuously backing out to cash. I sense a huge correction coming,
Good thing I am flat ass broke. I don’t have to worry me none about such machinations...
It’s a game of musical chairs. Unless you can afford the loss stear clear. The music will stop.
I don’t know about an ETF or how that would work but one can look up heavily shorted stocks yourself. Word on the street is that a Reddit stock forum chat group noticed Gamestops short being well over 100% and started a stampede to put the screws to the short sellers. It’s working.
You can’t short sell stocks in a 401K or an IRA as such. I’m mostly in fixed interest so I shouldn’t be hurt too bad.
It’s difficult to find real fun these days.
Maybe a similar action could be run on Schmuckie to get AOC to replace him.
That would be fun.
He tried it on Volkswagen.
Volkswagen got wind of the plot and bought up their shares.
The guy lost everything and stepped in front of a train.
I have 2 sons that have been telling me updates over the last 4 or 5 days. The tards (they call themselves that) were GameStop fans and figured out the wall street guys had over short it (140% of the stock float so lots of naked shorts). Thousands or tens of thousands of millennials have decided To screw the big hedge funds for their greed. I will say it is humorous to see the big hedge funds sweating bullets for their now 3.5-4.0 billion dollar loss so far over the last week or two. The tards decided to buy and hold. Force the price up. Then others did the same. There are kids (relatively) sitting 100k or more in stock due to the run up. They are saying they won’t sell to drive the shorts to hell. They seem quite pleased with themselves. I have no clue what the SEC will do.
It’s very much a David vs Goliath. I read some of it on Reddit.
I don’t have a problem with the shorts getting crushed. I just hate to see some less sophisticated guy buy thinking it will keep going up. When this is over it will plummet.
I will add this. If the tards do hold, then the shorts have to buy to cover their shorts. If that happens the price will temporarily go very much higher. There are more shorts than stocks in float. Think about that. 140% more. People are jumping in at these prices thinking the shorts will get slaughtered. I’m not convinced when I read some 20 something saying he can pay off his student loan or buy a car or a house based on the current price. They say they are holding but greed is a funny thing.
That’s easy, you have your brokerage put a stop on it. When it reaches a certain point, it gives a sell order and you’re out. I’d say most people aren’t in it for the money, they just like watching the shorts getting hoisted by their own petard. If they break even they’re happy and have something to tell their grandkids.
Just one additional thought. They also think their efforts will be historic. So greed vs vanity. Both are powerful.
Also the shorts aren’t backing down. Vanity on both sides. Robinhood investors against the giant hedge funds. Right now the little guys have the stock from 12 to 147.
Some of those graph look like an after-hours Biden vote counting operation. They should say the stocks goy “Rubyed” ala the woman who ran the op in Fulton County, GA.
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