The GameStop/Reddit thing is huge with the young folk

[jon-nyc]

[Horace]

I remember stories from 25 years ago about teenagers posting to Usenet or whatever nascent forums might have existed at the time, doing pump and dumps. They made a lot of money and got to keep all of it, though somehow were convinced to stop. Apparently it wasn't technically illegal.

[George K]

[jon-nyc]

[Jolly]

Hard to feel sympathy for hedge funds.

[LuFins Dad]

How the hell is Gamestop still at $325?

[Loki]

@lufins-dad said in The GameStop/Reddit thing is huge with the young folk:

How the hell is Gamestop still at $325?

The power of the mob who refuses to sell combined with a short squeeze. Your question is why I think this is an amazing phenomenon.

[George K]

[Jolly]

@lufins-dad said in The GameStop/Reddit thing is huge with the young folk:

How the hell is Gamestop still at $325?

Greed.

[89th]

It’ll crash back down to $5 eventually. Would love to short the stock now but the whole things far too risky...might as well go to the casino and play roulette for a few hours.

[jon-nyc]

So this happened.

[jon-nyc]

And this.

https://www.tmz.com/2021/01/31/plane-flies-over-robinhood-hq-with-suck-my-nuts-banner-san-francisco/

[Loki]

https://www.fool.com/investing/2021/01/31/the-worst-mistake-gamestop-investors-can-make-righ/

For a sense of scale, one single contract at $320 requires an investor to pony up $32,000 to buy the shares at expiration. At some point between market close on Friday Jan. 29 and market open on Monday Feb. 1, affected former GameStop options investors will wake up to find they are now GameStop shareholders. Not only are they now shareholders, but they are out tens of thousands or hundreds of thousands of dollars or more.

[jon-nyc]

Squeezes like this rarely end well,

He spelled ‘never’ wrong.

[Loki]

@jon-nyc said in The GameStop/Reddit thing is huge with the young folk:

Squeezes like this rarely end well,

He spelled ‘never’ wrong.

I suspect the 3 million kids bought options with their stimulus money for 320 not caring if they lost that. I doubt they can come up with 32k so it should be very interesting to see how this unwinds.

[jon-nyc]

I don’t know what broker is offering margin to guys with small accounts unless they have other positions to cover it.

But I don’t really know what’s out there these days.

[Jolly]

They've moved on to PMs. Specifically, silver.

[jon-nyc]

Like the Hunt brothers.

[Loki]

Horace- how is your silver doing? Did you hold?

[Horace]

@loki said in The GameStop/Reddit thing is huge with the young folk:

Horace- how is your silver doing? Did you hold?

Currently up 100% from when I bought it. I don't have plans to sell, though.