Current Events > RoaringKitty returns causing GME surge and RH shuts off buy

(+) Yeah! (+)

Tyranthraxus posted...

I don't see how going from ~$20 to almost $700 5 years ago isn't already MOASS. Anyone waiting for something even bigger is a fool.

Some people are straight delusional about stock prices. I've seen people on Reddit say shit like $100,000 a share. Who's going to pay that? It ain't going to be the hedge funds. They don't have that kind of money. They'll cover what they can and declare bankruptcy. And they won't be buying from retail. They'll be buying from their unaffiliated-on-paper other hedge fund directly off market.

A couple people in retail will get rich. Maybe. But in either case you're never going to be able to sell for MOASS prices because trading will get halted and shortys will just go bankrupt. And no you're not hurting the 0.1% by doing this either because it's all LLCs.

You have to keep in mind half of those posts aren't actually serious. The name APE is self-deragotory to suggest they are idiots and not giving financial advice. I doubt even they are serioua about $100,000 a share.

I think most of them know they're not getting millions for one share, but the goal is approaching there and see what happens.

and yes it is easy to just direct register shares, just nobody who is not involved knows or cares about it. Likely including Russia, if it is true that Putin doesn't even use the internet and has someone else look for him instead.

the hedge funds definitely don't want to contribute, they all know and many participate.

it's also not as easy as supply and demand. If trades go through dark pools they have less effect on price, and some other tools are available too.

Rai_Jin posted...

I think most of them know they're not getting millions for one share, but the goal is approaching there and see what happens.

and yes it is easy to just direct register shares, just nobody who is not involved knows or cares about it. Likely including Russia, if it is true that Putin doesn't even use the internet and has someone else look for him instead.

the hedge funds definitely don't want to contribute, they all know and many participate.

it's also not as easy as supply and demand. If trades go through dark pools they have less effect on price, and some other tools are available too.

Why don't any hedge funds want to contribute? If the ape theory is real, then it's pretty easy money.

The ape theory needs to say that hedge funds are all colluding to keep the little guy down. And that hedge funds definitely aren't actively trying to get an edge over each other every day in the market. Or at least on this one issue, keeping gamestop from shooting to the moon, they've all secretly agreed not to get involved.

Kuuko posted...

Why don't any hedge funds want to contribute? If the ape theory is real, then it's pretty easy money.

The ape theory needs to say that hedge funds are all colluding to keep the little guy down. And that hedge funds definitely aren't actively trying to get an edge over each other every day in the market. Or at least on this one issue, keeping gamestop from shooting to the moon, they've all secretly agreed not to get involved.

The hedge fund behind Melvin and Robinhood was Citadel.
Citadel made news the other year as making more money than any hedge fund ever has in the history of the world.
Look it up.

Before then the record was held by one that helped spawn the 08 crisis.

That said are you sure other hedgies aren't into it?
Users used to claim here Black rock was buying GME to me in my threads.

Yes, I know Citadel bailed out Melvin and it made them the ultimate enemy of apes - the true mastermind behind all the ills of the world.

Some investment firms probably are riding the apes idiocy in driving the price up, dipping in and out as whenever the apes convince each other to start a big rally. But for some weird reason no hedge fund seems to be trying to do the "MOASS" ultimate squeeze on Citadel once and for all collapsing the economy and making them the new overlords of the world. If they are secretly planning to do it then they're really good at hiding it. But as I said before, the SEC's findings are that the lion's share of gamestop's wild swings are massive numbers of retail investors tossing in tons of money. Not other hedge funds.

Kuuko posted...

Lol I can tell you are an ape or at least learned about the stock market through the ape movement because you're fundamentally misunderstanding basic tenets of the stock market and think invisible enemies are everywhere conspiring to stop you and gamestop from being profitable. It is honestly impressive the cargo cult has lasted this long, and lasted this long without ever actually learning anything at that. I have a feeling you also think every failing company is manipulated by naked short sellers or something right.

Dude, Robinhood halting GME trades is a textbook example of the system being rigged against the common man. They did it back in 2021 and they're doing again. Hell, GME was identified as a stock to buy up to cause a liquidity squeeze in the first place because it had more shorts than shares that existed. How is that even possible?

I don't understand how people can be so blind to obvious rigging.

Sad_Face posted...

Dude, Robinhood halting GME trades is a textbook example of the system being rigged against the common man. They did it back in 2021 and they're doing again. Hell, GME was identified as a stock to buy up to cause a liquidity squeeze in the first place because it had more shorts than shares that existed. How is that even possible?

I don't understand how people can be so blind to obvious rigging.

Not currently, know. It was halted on all platforms today and yesterday, which is common when a stock is super volatile.

Tyranthraxus posted...

Some people are straight delusional about stock prices. I've seen people on Reddit say s*** like $100,000 a share. Who's going to pay that? It ain't going to be the hedge funds. They don't have that kind of money. They'll cover what they can and declare bankruptcy. And they won't be buying from retail. They'll be buying from their unaffiliated-on-paper other hedge fund directly off market.

@Tyranthraxus you didn't understand the GME gambit then. The whole point was to cause a gamma short squeeze and prevent hedgefunds from being able to close out their shorts. That's how they got to the "ludicrous" share costs.

Remember, with shorting, you borrow a stock and immediately sell it to buy back at a lower price and pocket the change. Short at $20, you sell stock at $20, and if it goes to $10, you buy it back and return the stock and profit at $10 a share. Shorting 1000 shares means you make $10 x 1000 = $10K. But the price goes up to $30, you need to buy that stock at $30 instead of $20, meaning you're at a $10 loss, at 1K shares, that's $10K you need to fork up to close the short.

What made the GME stock special was that it was shorted an EXORBITANT amount, 120-140% shorted. Aka, there's a max of ~40% more shorts than shares that exist. Wallstreetbets caught onto this and went to buy up as many shares as possible, rallying the entire country to do so. The price rises upon the obvious need to purchase it back to close out the shorts with extremely (comparatively low) liquidity. This is called a gamma short squeeze event.

CyborgSage00x0 posted...

Not currently, know. It was halted on all platforms today and yesterday, which is common when a stock is super volatile.

They do that on centralized crypto exchanges as well. You can argue it's well intentioned to protect panic moves but that's still a form of rigging.

GME and AMC halted at least 35 times combined today. That's some bullshit.

Sad_Face posted...

Dude, Robinhood halting GME trades is a textbook example of the system being rigged against the common man. They did it back in 2021 and they're doing again. Hell, GME was identified as a stock to buy up to cause a liquidity squeeze in the first place because it had more shorts than shares that existed. How is that even possible?

I don't understand how people can be so blind to obvious rigging.

Robinhood was grilled in front of Congress because of that exact accusation. The conspiracy is that the hedge funds demanded Robinhood turn off the buy button because the redditors were about to blow up the world economy and make all hedge funds bankrupt. The reality is more boring. Robinhood is a highly incompetent tech startup and deliberately advertised as the platform for the casual investors who had no idea what they were doing. So naturally the majority of apes were Robinhood users. The SEC's investigation found that Robinhood and others couldn't handle the massive amount of volatility and liquidity needed, on top of being overwhelmed by the massive number of new accounts flooding in. No one should be, or ever should have, used Robinhood anyway since they've proven their incompetence in a number of other unrelated episodes anyway. So it's weird apes latched on to the idea that they're part of the global conspiracy, more than the idea that they just proved their incompetence once again.

Anyway, that point had nothing to do with why other hedge funds don't just use infinity pool theory to take over the world. Why don't they just turn off everyone's buy buttons whenever they want? Other hedge fund buys position counter to yours? Just tell Fidelity and Schwab to turn off the buy button for the other hedge fund. Unless they're always colluding on every transaction ever. But bajillions are at stake here, and all they need to do is buy gamestop. Surely one hedge fund could break the secret agreement they all have to get infinity dollars. No no, only apes are smart enough to execute this trick.

https://gamefaqs.gamespot.com/a/forum/1/1a0ab06d.png

https://gamefaqs.gamespot.com/a/forum/b/ba6c61fd.jpg

Rai_Jin posted...

https://gamefaqs.gamespot.com/a/forum/1/1a0ab06d.png

https://gamefaqs.gamespot.com/a/forum/b/ba6c61fd.jpg

After 3 years what GME person is still using RH though

WingsOfGood posted...

After 3 years what GME person is still using RH though

Most Apes.

Rai_Jin's post should suffice in who's closing the button.

Kuuko posted...

Robinhood was grilled in front of Congress because of that exact accusation. The conspiracy is that the hedge funds demanded Robinhood turn off the buy button because the redditors were about to blow up the world economy and make all hedge funds bankrupt.

How are you calling this a conspiracy? They were losing money and I explained the dynamics of what made the price skyrocket and the motive to stop the GME trading.

Kuuko posted...

Anyway, that point had nothing to do with why other hedge funds don't just use infinity pool theory to take over the world. Why don't they just turn off everyone's buy buttons whenever they want? Other hedge fund buys position counter to yours? Just tell Fidelity and Schwab to turn off the buy button for the other hedge fund. Unless they're always colluding on every transaction ever. But bajillions are at stake here, and all they need to do is buy gamestop. Surely one hedge fund could break the secret agreement they all have to get infinity dollars. No no, only apes are smart enough to execute this trick.

Who do you think owned the majority of GME shorts? If you're a hedgefund, why would you try and shoot others in the back and back the GME holders? 75% of the hedgefunds' ability to make money is the connections and access to insider information.

Sad_Face posted...

How are you calling this a conspiracy? They were losing money and I explained the dynamics of what made the price skyrocket and the motive to stop the GME trading.

The dynamics of the price skyrocketing is mostly because redditors convinced each other to buy it, according to the SEC's research. The same is true now. Unless you think the SEC is part of the conspiracy too and they're covering it up with that explanation.

Sad_Face posted...

Who do you think owned the majority of GME shorts? If you're a hedgefund, why would you try and shoot others in the back and back the GME holders? 75% of the hedgefunds' ability to make money is the connections and access to insider information.

Melvin Capital and a few other funds shorted GME. Why would a hedge fund trade against a different hedge fund? Because that's what they do every day? 80% of stock market trade are institutional investors trading against each other. They're not all teaming up - it's the exact opposite. Professional traders are constantly trying to one up every other professional trader. Except apparently when redditors are buying gamestop - then they set aside their differences at all costs to make sure redditors don't take over the world.

https://gamefaqs.gamespot.com/a/forum/4/42e42970.jpg

Now why would they even care if a bunch of self identified "idiots" lose money?

WingsOfGood posted...

Now why would they even care if a bunch of self identified "idiots" lose money?

Because, for good or for bad, the government tries not to let fraudulent actors scam innocent people out of their money. Even if they're idiots, and deluded enough to insist that they're not getting scammed.

Gamestop right now is like one of those romance scammers targeting old people. Where they butter you up, promise you they're in love, promise you you'll get married, and promise you you're making tons of money on a weird crypto website link they sent you. Everything is perfect on the inside. On the outside, all of your friends and family are telling you you're throwing money away and this isn't real. If you reject that evidence then your life is good. Gamestop apes unfortunately had to internally reckon with the fact that the price wasn't shooting up to infinity, and had to think of reasons why the lie was still true. It's like the romance scammer blocking their target. Apes were losing hope. Stock was plummeting with no demand and the slow realization that maybe they just invested in a dying retail company. Now in 2024, with Keith Gill's tweet, it's like the romance scammer from a few years ago just hit you up again and was like "hey, yeah I'm still in love with you. you'll still get rich. it was all real now send me more money" and the apes just dumped more money into the stock with renewed hope and delusion.

Real people get burnt at the end of the day when the conspiracy turns out not to be true and they threw their money in for nothing. Look at the Bed Bath and Beyond apes for example, who held their meme stock all the way into bankruptcy, and so sadly won't even see the current meme stock bump affect them.

Kuuko posted...

Because, for good or for bad, the government tries not to let fraudulent actors scam innocent people out of their money. Even if they're idiots, and deluded enough to insist that they're not getting scammed.

elon musk

1337toothbrush posted...

elon musk

Certain parts of the government not the whole thing. Also, no one will touch him even if he does shady things.

Kuuko posted...

Because, for good or for bad, the government tries not to let fraudulent actors scam innocent people out of their money.

It does everyday in the stock market. No one cared to halt enzc when a bunch of people kept saying it was going to run. People on this board lost money on that. Where was all the hub bub then?

You just want to treat GME differently as do these other guys like Jim Kramer.

The only real difference in GME than these other stocks is GME actually had a real short squeeze and it was due to government negligence as in the SEC did nothing when Melvin broke the law in overshorting. Maybe if you work for the government or a hedge fund GME is just egg on your face and you want it to go away?

WingsOfGood posted...

It does everyday in the stock market. No one cared to halt enzc when a bunch of people kept saying it was going to run. People on this board lost money on that. Where was all the hub bub then?

You just want to treat GME differently as do these other guys like Jim Kramer.

The only real difference in GME than these other stocks is GME actually had a real short squeeze and it was due to government negligence as in the SEC did nothing when Melvin broke the law in overshorting.

There's no law in shorting anything. Melvin got rightfully fucked by overexposing themselves. You still seem to be under the ape spell that shorting is an inherently evil practice, because that is a necessary truth for the rest of the mythos to add up and for apes to be good guys fighting the evil bad guys. It's not evil, it's just a quirky way Melvin was gambling on the stock prices of failing companies.

I don't know anything about ENZC but it looks like some shit penny stock. What was the issue with it? People here dreamt it would turn into a non-shit penny stock and got burned when it remained a penny stock? If it's part of the meme basket then it's tiny enough I never see it mentioned anywhere so I don't know more about it.

To your point, Gamestop isn't the only stock- AMC and Bed Bath & Beyond were the other major ones, as you may know. And they did also similarly have trading halted due to the massive volume generated by apes. No one even got punished for fucking over the regular investors who invested in these stocks, including Gill, so I don't know why we're complaining about it now anyway. All the BBBY dorks are utterly fucked. Anyone who bought into AMC from 2021 is utterly fucked even with the current mania. Some GME apes might have broken even at the moment if they didn't buy at the top, but at the bottom after the mania, and then take profits now. They'll likely also be utterly fucked in the near future when this current run-up ends.

IMO it is pretty fucked up what the cult leaders are doing to regular people with the conspiracies and grand delusions of how everyone here will be a billionaire. I think Gill had plausible deniability in 2021 that he had no idea what it would turn into, but now his plausible deniability is a little more stretched. Like if it turns out he bought gamestop last week, then goes on his twitter this week posting all the movie gifs that are definitely not related to meme stocks and apes wink wink, and sells after the stock pumps, that would be fraudulent. Like I said before, hopefully he's just doing this now for attention though, and not just to profit off of stupid redditors.

Kuuko posted...

There's no law in shorting anything. Melvin got rightfully f***ed by overexposing themselves.

Naked shorting is the illegal practice of selling short shares that have not yet been determined to exist or that the trader hasn't secured in some way. Ordinarily, traders must first borrow a stock or determine that it can be borrowed before selling it short.Dec 22, 2023

https://www.investopedia.com/terms/n/nakedshorting.asp

btw before you try and claim "oh no that is just conspiracy!"

you would be wrong

from same article on investopedia

More recently, naked shorting was partially blamed for the GameStop meme stock phenomenon of 2021. During the two previous years, GameStop had posted big losses, leading to a large drop in its share prices. This problem was noticed by hedge funds, which took out major short positions in the stock. In 2020, at least half of GameStops stock was borrowed for short positions.12 By 2021, 140% of GameStop shares were shorted, meaning 40% of the shares shorted werent really out there to trade on; that is, they were likely involved in naked short sales.13 Online investors soon noticed this giant hedge, setting up the Reddit forum r/WallStreetBets to implement a short squeeze and bid up the stock to counter the shorting of the hedge funds. As the share price increased, it wasnt just the hedge funds that lost; short sellers who hadnt borrowed the shares couldnt deliver.13

Fyi the reason this all happened to begin with was DFV noticed they had naked shorted the stock meaning it would squeeze.

and it did

Sad_Face posted...

@Tyranthraxus you didn't understand the GME gambit then. The whole point was to cause a gamma short squeeze and prevent hedgefunds from being able to close out their shorts. That's how they got to the "ludicrous" share costs.

Remember, with shorting, you borrow a stock and immediately sell it to buy back at a lower price and pocket the change. Short at $20, you sell stock at $20, and if it goes to $10, you buy it back and return the stock and profit at $10 a share. Shorting 1000 shares means you make $10 x 1000 = $10K. But the price goes up to $30, you need to buy that stock at $30 instead of $20, meaning you're at a $10 loss, at 1K shares, that's $10K you need to fork up to close the short.

What made the GME stock special was that it was shorted an EXORBITANT amount, 120-140% shorted. Aka, there's a max of ~40% more shorts than shares that exist. Wallstreetbets caught onto this and went to buy up as many shares as possible, rallying the entire country to do so. The price rises upon the obvious need to purchase it back to close out the shorts with extremely (comparatively low) liquidity. This is called a gamma short squeeze event.

No I understand it very well. I'm saying the $700 or whatever was the squeeze. Anyone who continued to hold after that was a .... whatever they call themselves.

MOASS isn't a thing. Even if shares magically jumped to some stupid number to where shorts can't close they just shut down the whole hedge fund instead and you still don't get the money.

Tyranthraxus posted...

No I understand it very well. I'm saying the $700 or whatever was the squeeze. Anyone who continued to hold after that was a .... whatever they call themselves.

That was what you saw. What is your reasoning to conclude that was the max was $700 without the tampering that went on?

https://gamefaqs.gamespot.com/a/forum/1/1b75a345.jpg

Sad_Face posted...

That was what you saw. What is your reasoning to conclude that was the max was $700 without the tampering that went on?

Because that's when the squeeze stopped and the stock started crashing. If you bought at $700 well sucks for you but cash out at $500 and cut your losses. Don't "diamond hands" thinking it's going to go back. People were posting screenshots of calls with strike prices of $3000 on WSB ffs.

For anyone else who bought in earlier, when it started cratering was the time to sell and take whatever profit you could get. Just because you didn't get maximum profit is no reason to not get any profit at all.

As for "the real value of the stock" it ain't $700. GME was manipulated by short attacks to be worth way less than it actually was but the true unmanipulated value of the company is still way less than $700 a share. The Short Squeeze price wasn't based on company value. It was based on a combination retail pump & margin calls.

https://gamefaqs.gamespot.com/a/forum/a/a807a5b9.jpg

https://gamefaqs.gamespot.com/a/forum/4/42b74b5f.jpg

Look likes it was a pump and dump. Value dropping off

Scardude posted...

Look likes it was a pump and dump. Value dropping off

by who exactly?

It rose from investor excitement and just as quickly faded. Last I checked. Value dropped. Are you expecting it to go up again?

Scardude posted...

It rose from investor excitement and just as quickly faded. Last I checked. Value dropped. Are you expecting it to go up again?

The stock market is anything but rational.

Scardude posted...

It rose from investor excitement and just as quickly faded. Last I checked. Value dropped. Are you expecting it to go up again?

Who are these investors who got excited?

Tyranthraxus posted...

Because that's when the squeeze stopped and the stock started crashing. If you bought at $700 well sucks for you but cash out at $500 and cut your losses. Don't "diamond hands" thinking it's going to go back. People were posting screenshots of calls with strike prices of $3000 on WSB ffs.

This is exactly why I say you didn't understand what was going on. It's what you saw.

Tyranthraxus posted...

As for "the real value of the stock" it ain't $700. GME was manipulated by short attacks to be worth way less than it actually was but the true unmanipulated value of the company is still way less than $700 a share. The Short Squeeze price wasn't based on company value. It was based on a combination retail pump & margin calls.

No one thought that. I agree that the short squeeze wasn't based on company value. But the company value was never a major factor in why people were rallying around GME (it certainly was a reason why hedgefunds were shorting it to oblivion, I'll give you that). It's the sheer accounting fraud that people were going to exploit and abuse and this fraud, the over 140% short is what both you and Kuuko are heavily undervaluing.

Sad_Face posted...

It's the sheer accounting fraud that people were going to exploit and abuse and this fraud, the over 140% short is what both you and Kuuko are heavily undervaluing.

Nah it's way more convoluted than you think it is.

Short S borrows share from trader A and sells to B. S then borrows from B and sells to A. Then S borrows from A again and sells to B. Repeat ad nauseam . You say 140% of the company was shorted when really it was actually just the same share being shorted 140 times. Retail never came close to full ownership of GME and never will. MOASS was doomed from the start. One hedgefund was overleveraged and went bankrupt. Citadel lost like a billion trying to bail out Melvin. After that pretty much all the losses were incurred by retail dumbasses who decided buying massively overpriced stock was some form of protest and not just giving away money to the people you hate the most.

Everyone at the time was like "OMG Fidelity hasn't restricted buying GME/AMC everyone go there!" And they did completely oblivious to the fact that at the time Fidelity was the 2nd largest holder of AMC and was eager to sell it all at insane squeeze prices.

Tyranthraxus posted...

After that pretty much all the losses were incurred by retail Adumbasses who decided buying massively overpriced stock was some form of protest and not just giving away money to the people you hate the most.

About that:

https://gizmodo.com/gamestop-short-sellers-have-lost-more-than-2-billion-i-1851476931

The meme stock rally triggered by the return of Roaring Kitty to social media has cost GameStop stock short-sellers more than $2 billion in just two days, according to data firm S3 Partners.

Ihor Dusaniwsky, S3's managing director of predictive analytics, wrote on X: After being down $862 million in mark-to-market losses yesterday, $GME [GameStop] shorts are down another $1.36 billion in mark-to-market losses today.

GameStop stock was up 21% Tuesday afternoon as trading was halted, after multiple pauses in trading on Monday, when the stock closed up 74%.

Short-selling is an investment strategy in which a trader borrows shares and sells them, with the intent of buying them back later at a lower price, returning the borrowed shares (plus interest) to the lender, and profiting off the difference.

Dusaniwsky added that GameStops short interest is $1.92 billion, and that 63.2 million shares have been shorted.

We are seeing continued squeeze-related short covering due to the rebirth of the meme trade, he wrote.

That 2 Billion loss was from yesterday

WingsOfGood posted...

Who are these investors who got excited?

You didn't even answer my question. But to answer you in good faith. Retail and reddit. Link below similar to your latest.

https://www.google.com/amp/s/www.foxbusiness.com/. markets/gamestops-stock-surge-continues-punishing-short-sellers.amp

Scardude posted...

You didn't even answer my question. But to answer you in good faith. Retail and reddit. Link below similar to your latest.

https://www.google.com/amp/s/www.foxbusiness.com/. markets/gamestops-stock-surge-continues-punishing-short-sellers.amp

I don't expect it to do anything just enjoying the show.

But your claim is nonsense.

If reddit and retail could make it go up it would have done so long time ago.

So you think that all of the sudden they have the power to make the price spike so they can pump then dump?
That makes no sense.

The best part of this for me is wsb is kind of back. Some of the gain and loss porn posts have been fun.

Its crashing

Noname13 posted...

Its crashing

It was $10 at week start.

Explain what you mean by crashing

Its down like 9 bucks today which is bad. Its probably going to keep crashing down. Its a volatile stock

Noname13 posted...

Its down like 9 bucks today which is bad. Its probably going to keep crashing down. Its a volatile stock

From $10?