Posted on 01/29/2021 4:41:43 AM PST by blam
This is a revolt.
People are there to screw the system. It’s not an investment for most of them. It’s put in a few hundred bucks for revenge on Wall Street.
That’s why nobody is selling.
Well that and the fact they believe the price will go above $1000 over the next few days ...
Bkmk
One stockbroker defending this kept saying “This is my life you are F$%King with! Why would I let you destroy it!”
Same funds have strip mined a lot of companies with no care about the people they destroy.
Burn it down. I know it will tank my 401K, but at this point in the game I have zero trust I will be allowed to use it anyway.
Normally, the broker wouldn't tell you it has to be returned by a fixed date, but as in the case of GME, the fees you pay on the loan may be variable so it becomes a game of how long can you hold your breath underwater. To use your example, if you borrowed a stock at $100 to sell, repurchased at $50 to close out the short your profit would be $50 less the fees you paid for the loan. Those fees could easily wipe out your "profit."
“It is not about the money, it is the message”.
Remember that. This isn’t about a bunch of redditors making money, it is about tanking a hedge fund that thought it could sell the same stock a few times over without owning any of it.
I agree, it would be crazy to buy GME expecting to make money. But that isn’t the goal for these guys.
But Gamestop is too big to fail. /s
You are a vile, piece of shit hedge fund manager and want to make money off a company failing. Say, widgets. But you don't own any stock in widgets. You borrow the stock from someone at, say $10. They give you the share of stock and you give them an IOU for one share of stock. You immediately sell that borrowed stock for $10 to someone else.
Here's the rub..... You now have $10 that is not really yours. You sit on it for a bit and when widget stock goes down to, say, $7 you take that $10 and buy a share of widget stock. You then pay back the person who gave you the initial share of stock. But you don't pay the $10, you pay with the share of stock that is now worth $7. You made $3 on that sale.
BUT, in this case, the borrowed shares INCREASED in value to, say, $15. So in order to pay back the borrowed share (which you got $10 for) You now have to pay $15 to pay that share back to the lender. You LOSE $5 in that transaction. That is what is happening now. Investors are jacking up the price of a stock and it is costing these hedge funds massive amounts of money to pay back.
I am 80% there.
Thank you for your patience.
I follow.
You guys are really good.
Better than Dan Bongino and Rush Limbaugh.
Ben Shapiro’s YouTube video on this was clear enough for anyone to understand.
Personally, I think that was his best show in a long time. Oldest son and I were discussing it into the wee hours this morning after he got home last night around 8pm.
Rush’s show and his callers yesterday finally brought my oldest son and I together on what I consider to be core economic and values related issues that I’d been struggling to verbalize to my son for some time.
If I could say thank you to Rush for the 30+ years I’ve been listening to his show, I’d point to yesterday as being the most meaningful, insightful and yes UNIFYING show I’ve ever heard, period.
What’s going on in this country has finally been fully exposed as a rigged game and it really is us the little guys against them, the global elites who showed how desperate they are to control all the levels of power and money.
Some of us (FR) have known it either directly or instinctively for a long time now. Talking and listening to my recent college grad son wake up to that fact yesterday after four years of liberal progressive college education last night was absolutely priceless.
Thank you Rush! You’re a big reason why that happened. Praying for you!
Daniel Drew is famously credited with an expression that describes the nature of short selling: "He who sells what isn't his'n, must buy it back or go to pris'n."
This stuff has been around a long timee since Daniel Drew died in 1879.
Yes, but in doing so caused hedgies to lose tens of billions, and pulled the wool from more eyes.
Live that quote!
“The thing is.... GameStop cannot stay at $300 per share. It’s financials will not support that. “
If people holding the majority of gamestop stock refuse to sell it, how will it go down?
I meant I love that quote!
Typically, you the private investor do not “buy” the stock.
You contract the broker to act as your agent, who buys the stock.
They buy the stock with your money, and have some rights of ownership. For instance, there are times they can liquidate “your” stocks to cover “their” bets in order to protect the system.
Unless you have something physical in your hand, do you really own it?
Rush isn’t some rube, new to the wealthy/financial class.
But with his days numbered he may be being more straightforward and honest than in earlier years.
Agreed, but what if the folks propping it up are doing it with money that they really don't care about? I wish I'd been able to get into this right at the beginning. It would be fun to put a bit of disposable cash into this just to enjoy all the screaming from the hedge fund thieves. Would be worth every penny, even if I lost it all.
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