Rush Limbaugh: GameStop Shows 'Everything' Is Rigged for Elitists

The key is you have to have enough cash in the account all the time to pay off the loan.

The biggest problem of all. They can run the stock up (infinite) longer than you can stay solvent. That is what happened with Game Stop and the big boys are going to make sure the little guys who did that pay for it. Watch.

Wow! I didn’t know they passed that. I thought Congress still had carte blanche and could trade on insider information.

Quite a Friday. Citadel, without government intervention, is going down. Boeing is THAT CLOSE to completely leaving WA state, and Nancy’s buying stock illegally.

And it’s pay day.

Nice.

I was thinking about it this morning. I believe the Fed will quietly bail out the hedge funds by making a buried transaction and life will go on.

Full disclosure...... yesterday before open I bought puts in game stock with an expiration date today. Owned them 2 hours and tripled the money. But, I don’t think that will happen today.

The barstool sports guy also did a good job explaining this.

Robinhood is kinda like Facebook, they make their money selling their users information, and probably with minimal disclosure. There is no privacy anymore.

yesterday before open I bought puts in game stock

Anything over 10 is probably too high for this stock. This story is much more involved than market price fundamentals.

gamestop is up to $380.00...

don't sell, hold on to those shares!

When you buy a stock, you don't get a physical stock certificate. You broker gets confirmation of your "ownership" and maintains it for you. Those same brokers maintain Stock Loan Departments which are nothing more than stocks available for loan at a price.

If I want to short a stock, I contact a stock loan department to borrow it. If I approve of the financial terms, I borrow it and sell it hoping that, when I have to return it to the Stock Loan Department, I'm buying it back at a lower price.

I agree

Which is another way robinhood makes money, by loaning out their long street name securities.

Robinhood, TD or whomever can’t trade volumes which exceed their existing deposits with their clearing house. Hence, the need for the capital infusion.

They all do it but I believe (not certain) that when you set up an account you can opt-out on making any of your positions available for loan.

Yes... TD had a notice of some limits to trading today. Im not a complicated derivative trader. Did not really limit anything I would do.

Wow, Big Tech Colludes With Wall Street to Protect Elites and Hedgefunds Against Ordinary Investors

Posted on January 28, 2021 by Sundance

It started with a bunch of smart ordinary Wall Street market watchers assembling on Reddit and noticing that hedgefunds were making millions destroying the stock value of GameStop (GME) -and others- by short selling the stock and trading the position.

[Short Lesson to Understand Short-Selling Here]

The hedgefunds were so greedy the short-sellers borrowed more than 140% of the total number of shares of stock of GME (GameStop) in order to destroy it. The stock value dropped from $20 to $4 as the sharks made millions in the short-sells. That’s when the Reddit investment community,Wall Street Bets, noticed an opportunity.

One of the issues with short-selling is that short-sellers must always eventually purchase the stocks they borrowed. That means if the stock value increases you are committed to buying it, you will lose money, and you cannot get away from the loss in your short-sell position so long as the stock value is high.

Knowing the borrowed shares were more than the total number of outstanding shares of the entire GME stock, the rebellious alliance knew the short-sellers (hedgefunds) would have to eventually buy them. So the independent group, mass numbers of individual investors, started purchasing shares and driving up the GameStop stock value.

The GME stock skyrocketed and the short-sellers (hedgefunds on Wall Street) were freaking out. The higher the stock went, the more it was going to cost the hedgefunds to get out of their short position. Billions were being wiped out as the pesky rebel alliance kept purchasing shares and driving up the value. [Go Deep] That’s when the biggest eye-opening series of events in financial history took place….

♦ First Big Tech jumped-in to protect the hedgefunds. The servers that handled Reddit’s investor discussion “WallStreetBets” were shut down, essentially trying to break down the communication of the rebel alliance. They used the oft-familiar “hate speech” justification, but that was really a ruse… Big Tech was supporting Wall Street.
♦ Then the New York Stock exchange stepped-in to protect the hedgefunds by blocking trades of GameStop and other Reddit targeted stocks (Nokia, Blackberry, AMC theaters). Ameritrade also blocked any trades. The NYSE was essentially trying to protect the institutional investors, billionaires, from the citizens, independent investors. Wall Street went to war against day-traders, ordinary Americans.
♦ Then the stock trading App “Robinhood” which was used by the citizens to make their trades, actually stepped-in to stop users from purchasing GameStop shares. The Robinhood app will now only allow sales of GME and the other stocks because the app is protecting the billionaire class from their short position.

Wall Street, the New York Stock Exchange, the entire financial trading system is trying to protect the short-sellers by driving down the shares of stocks so that the short-sellers can get out of their positions. Never has there been such blatant market manipulation by the organized efforts of the elite financial class.

Big Tech and Wall Street are working together to keep a rigged system tilted in their favor and their aligned efforts are spotlighting just how rigged that system is.

The elites don’t care what happens to the ordinary citizens in the stock market… they are protecting their own status. All of this is brutally illegal market manipulation and collusion by the financial sector. [Story Here and Story Here]

Keep watching….

Masks are dropping at an alarming rate as more people are witnessing in real time just how this market is rigged against the interests of ordinary Americans.

The stolen election and the stolen short are causing massive issues with the woke younger generation. They are getting pissed that the system is stacked against them to ever have a decent life to raise their family. No house, no new car, no decent job and the government and the rich work together to keep them oppressed.

They see the powerful change the rules just when the youth have a chance. Used Covid-19 to change voting rules. The powerful used all they can to protect a hedge fund which over shorted a stock! The hedge fund is now claiming victimhood status after it was proven that they shorted 120 to 140 percent of a company’s existing stock! What will the SEC do about that!

And of course Elon is piling on..... he hates the shorters and the SEC. His tweets are great! This episode will be a game changer for the youth!

When you buy a stock, you don't get a physical stock certificate. You broker gets confirmation of your "ownership" and maintains it for you.

This I did not know.

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Those same brokers maintain Stock Loan Departments which are nothing more than stocks available for loan at a price.

At what price? Does the broker set the price? Because as I understand, the hedge funds have an estimate what the stock price will eventually be so why is the broker setting the price? Or does the borrower wait until the broker offers a "loan" of the stock agreeable to the buyer's estimate of what the stock will eventually be?

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If I want to short a stock, I contact a stock loan department to borrow it. If I approve of the financial terms, I borrow it and sell it hoping that, when I have to return it to the Stock Loan Department, I'm buying it back at a lower price.

Does the broker tell you when you must return the stock? The buyer does not decide this? And the borrower immediately sells the stock and awaits a time to pay for it? When the time is right, however decided, the "loan" is the stock price at the time of payback? If I paid $100 a share when I borrowed the stock but it is only worth $50 a share when I pay back, then I have made $50 a share?

I am trying so hard to understand this. And I do invest in the stock market but through a mutual fund type thing.

“It’s financials will not support that. It has to come down eventually.”

No company financials support their price. None. Not a single company on any board can justify their price. It is all baseball trading card level pricing.

Bkmk

Clearly rigged. THis is why so many love Trump—he calls out the BS.

Shorting a stock has a time limit. You owe that stock back later, plus a fee.

If you borrow the stock at $20, thinking it will go down, and it does go down to $10, you buy one share at $10 and keep the $10, minus perhaps a $1 fee, for a $9 profit.

If the stock goes up, you lose money.

This is more about naked shorts, which are illegal. It means someone pretends to give you stock to short but they don’t actually have any. It is a fraud contract on the market. This is what is happening here. Hedge funds have fraud contracts they’sold’ to each other; illegal naked shorts. Naked, because the contracts have no real stock behind that that is involved.