The Official Stock Market Thread

[sbfinley]

Originally Posted by mike1498

And for the people saying if this was a pump and dump this would be over,

The 1% in GME that actually know what's going on is dictating the other 99% to hold. They know this stock can go even higher so why would the dump happen yet? Theoretically this could continue on as long as they can convince others this is a war against the wealthy. People will be holding the bag and it won't be the 1% in GME that actually understands what is happening. They know exactly what they are doing. Otherwise this would be a "war". They know these 16 year olds on a discord have no clue what they're in.

Seriously, if you don't believe me, join a stock discord. The people the heaviest invested are telling these newcomers what to do.

This.

They are correct holding the line at least until tomorrow when options expire, financially speaking. There is no exit strategy, however, that doesn’t dry hump a majority of the investors. Just looking at outstanding shares and the average volume this week, the average cost basis for GME in total has to be somewhere in the $130-$200 range if not more currently. Even if the end position leaves the stock at 100% over pre pump position some 50% of investors closing red or bag holding until eternity. I guess on dividends you could turn green in about 20-25 years.

[TheFrenzy]

Originally Posted by mike1498

The 1% in GME that actually know what's going on is dictating the other 99% to hold. They know this stock can go even higher so why would the dump happen yet? Theoretically this could continue on as long as they can convince others this is a war against the wealthy. People will be holding the bag and it won't be the 1% in GME that actually understands what is happening. They know exactly what they are doing. Otherwise this would be a "war". They know these 16 year olds on a discord have no clue what they're in.

Seriously, if you don't believe me, join a stock discord. The people the heaviest invested are telling these newcomers what to do.

And ironically, the ones claiming to be taking on the rich will actually benefit off the poor. But most of them don't see this.

Boom.

This slimiest thing about this is the way influencers are leveraging the beliefs and ideologies of ignorant investors to get them to put their savings on the line.

Just look at blatant propaganda going around:

This video appeared yesterday and already has ~150k views. It claims that billionaire investor Lee Cooperman broke down crying over "poor people making money."


In reality, that interview clip was from over a year ago and the guy was talking about where he and a senator disagree.


There's another clip of the guy going viral which stitches together two clips from opposite ends of an interview and cuts out the 20 minutes of really insightful stuff in-between.

To the knowledgeable investors who can get in, get out, and make a few bucks—kudos. This post has nothing to do with you. But broadly speaking, this is a massive clusterf*ck and a good example of how easily people right now will fall for any conspiratorial narratives that fits their worldview.

[Zauron]

Originally Posted by sbfinley

This.

They are correct holding the line at least until tomorrow when options expire, financially speaking. There is no exit strategy, however, that doesn’t dry hump a majority of the investors. Just looking at outstanding shares and the average volume this week, the average cost basis for GME in total has to be somewhere in the $130-$200 range if not more currently. Even if the end position leaves the stock at 100% over pre pump position some 50% of investors closing red or bag holding until eternity. I guess on dividends you could turn green in about 20-25 years.

The entire plan was to hold strong today, when the shorts had to be bought back. Set ridiculous buy prices because they had to be bought. Shutting down trade of the stock just go them more amped up to hold for crazy prices.

[monkeymcgee]

Originally Posted by TheFrenzy

To the knowledgeable investors who can get in, get out, and make a few bucks—kudos. This post has nothing to do with you. But broadly speaking, this is a massive clusterf*ck and a good example of how easily people right now will fall for any conspiratorial narratives that fits their worldview.

I'm with you on that--this was a lucrative trade for me, but I don't like the crusade narrative being spread far and wide right now. That's going to bring in (and has brought in) people who have no idea about the thesis of this trade and won't understand when to get out of it AND likely can't afford to lose what they put in. I can't support that, so I'm done arguing about the merits of this trade.


On the other hand, I'd really suggest the "elites" stay off CNBC complaining about the unwashed masses getting into GME--that ain't helping this situation. Cooperman's comments yesterday morning about people collecting government money to throw into GME were not helpful. I saw those being spread a lot more than the vids you linked and those were actually said about this situation.

[Wiseguy917]

Any thoughts on AFRM for a long play?

[finfangfan]

While some in here think brokerages did nothing wrong against individual investors yesterday, thankfully it appears the SEC does.


SEC reviewing recent trading volatility amid GameStop frenzy, vows to protect ‘retail investors’
PUBLISHED FRI, JAN 29 20219:26 AM ESTUPDATED FRI, JAN 29 20219:39 AM EST

https://www.cnbc.com/2021/01/29/sec-...investors.html

In a statement, the SEC vowed to to protect individual, retail traders and also promised to scrutinize actions taken by brokerages that may “disadvantage investors or otherwise unduly inhibit their ability to trade certain securities.”

MORE IN LINk

[xbignick]

Big red day, kind of unnoticed with GME, AMC and others taking headlines.

[finfangfan]

For sure... every one of my positions is red now. Last 20 minutes or so have been a deep drop.

[monkeymcgee]

I closed my long dated calls (ARK funds, PLTR, QS) this morning--they were all up quite a bit, but I have a feeling we may be in for a rough couple of weeks as the dust settles from the enthusiastic speculative plays. Don't need to be stressing over those in the interim and will open them back up later.

[mike1498]

This is bad. There are so many kids who actually don't understand what's happening into these meme stocks. They think it can only go up. I just got texts from some of my friends who have never been in the market before dropping a good amount of money into AMC and others

[Onepocketj]

Originally Posted by mike1498

This is bad. There are so many kids who actually don't understand what's happening into these meme stocks. They think it can only go up. I just got texts from some of my friends who have never been in the market before dropping a good amount of money into AMC and others

A fool and his money...
If they are dumb enough to throw their money at something they have no clue about, I don't feel real sorry for them.

[sbfinley]

Originally Posted by xbignick

Big red day, kind of unnoticed with GME, AMC and others taking headlines.

It’s a direct macro effect of the short squeeze volatility though. Apple is down 5% coming off an amazing earnings call. The top 30 market caps are all red and the VIX is up 15%. Firms are cutting both long and short positions to reduce exposure and that’s not even taking to account positions being cut to reduce margin calls. It’s a short term blip that I believe will correct soon, but there is literally no news or data recently released that should have foretold a 2% market sell off before lunch.

[mike1498]

Originally Posted by Onepocketj

A fool and his money...
If they are dumb enough to throw their money at something they have no clue about, I don't feel real sorry for them.

Telling people in a discord it can only go up isn't misleading? How is the people pushing "this is a war against the elite" and that this can "only go up" not manipulating the market? These are legit 16-22 year olds that have no clue what they are doing

[TheFrenzy]

With everything being depressed by these shenanigans, I'm looking at this as an easy way to lock in 5% profits while all the fools are chasing 5000% profits. Just moved a few grand into my money market fund and picked up more of my long term ETFs. 61 more clean energy shares and 50 more airlines shares, please and thank you.

[TheFrenzy]

Originally Posted by mike1498

Telling people in a discord it can only go up isn't misleading? How is the people pushing "this is a war against the elite" and that this can "only go up" not manipulating the market? These are legit 16-22 year olds that have no clue what they are doing

I think what we're seeing is that greed, callousness, and the "I got mine" mentality is by no means limited to billionaire hedge fund managers.

People want to eat the rich, but they'd just as soon eat their neighbor.

[jeg2315]

Originally Posted by sbfinley

It’s a direct macro effect of the short squeeze volatility though. Apple is down 5% coming off an amazing earnings call. The top 30 market caps are all red and the VIX is up 15%. Firms are cutting both long and short positions to reduce exposure and that’s not even taking to account positions being cut to reduce margin calls. It’s a short term blip that I believe will correct soon, but there is literally no news or data recently released that should have foretold a 2% market sell off before lunch.

I could see this stretching out for a couple weeks as this whole thing plays out before dying down. Thought about jumping in today on some megas/large caps, but only bought a few longer-term AAPL calls.

[discostu]

I sit on the sidelines in this thread, but this entire GameStop / AMC phenomenon is amazing.

My brother (a financial whiz) was talking about this scenario a year or so ago when we were talking about how it's relatively easy to skew the card market through platforms like Twitter.

I love the story, I love the action, and I think I'm loving the all of the insanity of peeling away the curtain.

[xbignick]

[cnewby]

Originally Posted by xbignick

Seems criminal to me.

[Josh611]

Originally Posted by jeg2315

I could see this stretching out for a couple weeks as this whole thing plays out before dying down. Thought about jumping in today on some megas/large caps, but only bought a few longer-term AAPL calls.

I bought AAPL stock and a March call spread today as well. Little surprised on the sell off after the quarter.

[xbignick]

Update:

[Josh611]

If they’ve really limited that much that’s insane.

1 share of some of those?

[xbignick]

LOL

[finfangfan]

DMYD and VGAC having nice afternoon surges.

[jeg2315]

Some of those restricted names are surprising...wonder how serious the liquidity crisis is.