Paradox
©
Fisana

Jump to content


Photo
- - - - -

Shorting Game Stop stock today is costing billionaires billions


  • Please log in to reply
55 replies to this topic

#41 TVCasualty

TVCasualty

    Embrace Your Damage

  • Moderator
  • 14,636 posts

Awards Bar:

Posted 02 February 2021 - 09:59 AM

From what I've read the Game Stop story is more complicated than it seems. The person behind the squeeze (Roaring Kitty) is a CFA who did his due diligence and concluded that the stock was seriously undervalued. The value of the company's real estate alone justified a higher price than it was selling for when he bought in, apparently.

 

 

And then there's crypto...

Dogememe.jpg

 

 

Looks like the way to make money there is to set up buy and sell orders within a relatively tight price range so as to extract a few bucks every time it dips and rebounds rather than buying a bunch and just holding in hopes it goes stratospheric. The trick is determining the right prices to buy and sell at.

 

This just happened with XRP (another crypto currency), which seems to have some potential like Bitcoin. I still don't know what to make of Dogecoin since there's no limit on how many coins can be mined, unlike with Bitcoin or XRP.

 



#42 TVCasualty

TVCasualty

    Embrace Your Damage

  • Moderator
  • 14,636 posts

Awards Bar:

Posted 02 February 2021 - 12:08 PM

Forgot to attach an example of someone making money off the Doge roller coaster vs. just holding on and hoping it goes to "the Moon."

 

doge.jpg

 

 



#43 FLASHINGROOSTER

FLASHINGROOSTER

    Semi-Pro Taco Robot

  • Black VIP
  • 2,880 posts

Awards Bar:

Posted 02 February 2021 - 06:22 PM

Ya it looks like the short squeeze was over last thursday, I am seriously starting to wonder if this whole thing was really just a hedge fund game. Another fund took notice and bought a ton of stock driving the price way up, with an agreement to sell to the other funds that desperately needed to get out, of course at lower rate than was being offered at the time. Just undersell the folk HOLDING and cash out.

 

It appears to be the same rigged game as always, especially now that they know to watch for it. Fool me once!


Edited by FLASHINGROOSTER, 02 February 2021 - 06:23 PM.


#44 xlcor

xlcor

    Mycophage

  • Free Member
  • 149 posts

Posted 02 February 2021 - 06:38 PM

Hello all. The serpent gods appeared to me during my first DMT trip. They said I'd be a cosmic pussy if I sold. I'm now existentially chained to my 4 gamestonks until they hit $69,420 per share.

 

The wisdom at r/wallstreetbets is that highly illegal shit is happening. Like rich-old-white-dudes-go-to-federal-prison levels fucked up. I don't understand what an economy is so I can at best summarize imperfectly. My understanding is that there are basically virtual stocks in the air right now, that nobody can account for. These are the ghosts of actual stocks, created by sketchy book keeping that clearing houses use to sell more shorts than there are existing stocks. If so, this will culminate in more and more "Failures to Deliver" as shorts are called for stocks that don't exist. Clearing houses will get in trouble, hedge funds will get in trouble, brokerages will get in trouble. At the point this materializes, the short squeeze will truly happen in earnest, and on that day people will be able to say, "You want this stock? Okay. See the current market price? Add a 0 on the end. Now do it again."

 

Again, this is an imperfect take on the wisdom of reddit, so it's probably even more fictitious than Lord of the Rings.


  • TVCasualty, Myc and makinbones69 like this

#45 makinbones69

makinbones69

    Mycotopiate

  • VIP
  • 1,143 posts

Awards Bar:

Posted 02 February 2021 - 06:59 PM

I aint seen no serpent gods in a while and if I did idk how much I'd trust em. And I don't know much about the market. But I know what goes up must come down. and so be careful if ur invested in some significant way gentleman. Thats my last piece on the issue. I still read and learn about it tho. Its alot to take in though. I'd say I'm simple minded but its a gd lot to take in trust me. I suspect the proof will be whipping up more pudding to be sure of as we go along.

Edited by makinbones69, 02 February 2021 - 07:00 PM.

  • TVCasualty and xlcor like this

#46 TVCasualty

TVCasualty

    Embrace Your Damage

  • Moderator
  • 14,636 posts

Awards Bar:

Posted 02 February 2021 - 08:04 PM

It's like a butterfly no one noticed flapped its wings and the resulting hurricane tore some walls down that were obscuring dark and sordid going's on and the people inside were caught with their pants down.

 

The revealing of such rampant and unapologetic fuckery to the public at a level most of the public seems skeptical could possibly be happening might turn out to be the most important development in all this. It's bringing a level of scrutiny to finance that the vultures are not accustomed to, among other seismic shifts.

 

Hope some good comes of it, but like one person pointed out in a thread elsewhere there are buildings that occupy entire city blocks filled with analysts and fund managers currently working 18-hour days to make sure that something like this never, ever happens again.


  • makinbones69 likes this

#47 makinbones69

makinbones69

    Mycotopiate

  • VIP
  • 1,143 posts

Awards Bar:

Posted 02 February 2021 - 08:14 PM

And they proved quantum entanglement. I said goddam son!
Because u know quantum entanglement proofs lend weight to the particles direct effect even if light-years away... aka butterfly effect. Just before I get a hater please realize it's a country nerd joke.
Great thread here tho. Puddings proof all day i really have enjoyed reading along here.
I should say I'm not being a condescending nerdhole I really found this informative and have enjoyed reading along...just sayin. My "whatever the psychiatrist wanna label me" ass is out. I mean that tho cool thread.

Edited by makinbones69, 02 February 2021 - 08:46 PM.


#48 FLASHINGROOSTER

FLASHINGROOSTER

    Semi-Pro Taco Robot

  • Black VIP
  • 2,880 posts

Awards Bar:

Posted 03 February 2021 - 06:06 PM

Tim Dillion had a good joke about it

 

 

HOLD THE LINE. Don’t give up hope. The only things that stand in our way are: every hedge fund, every institutional bank, the CIA, our government, the entire media except Barstool Sports, and most of the tech world.



#49 xlcor

xlcor

    Mycophage

  • Free Member
  • 149 posts

Posted 04 February 2021 - 01:44 AM

Hey guys, big drama happening at r/wallstreetbets. This might very well become a case study in how online communities die and reform.



#50 Juthro

Juthro

    dope smoking hillbilly

  • OG VIP
  • 9,553 posts

Donator


Awards Bar:

Posted 04 February 2021 - 03:28 AM

Hey guys, big drama happening at r/wallstreetbets. This might very well become a case study in how online communities die and reform.

I don't follow the site. Could you please share more of what you're talking about for the uninformed (I said please :)



#51 Arathu

Arathu

    Dirtmaker

  • OG VIP
  • 6,905 posts

Awards Bar:

Posted 04 February 2021 - 06:02 AM

Collecting and trading human lifetime........bad ju-ju.......as too, is greed.......

 

Trading my own time for this monopoly paper is bad enough........I welcome the collapse with open eye's and heart.....

 

When the water stinks, break the dam...........and try to be above the water course....

 

A


  • Myc and Juthro like this

#52 TVCasualty

TVCasualty

    Embrace Your Damage

  • Moderator
  • 14,636 posts

Awards Bar:

Posted 04 February 2021 - 11:41 AM

 

Hey guys, big drama happening at r/wallstreetbets. This might very well become a case study in how online communities die and reform.

I don't follow the site. Could you please share more of what you're talking about for the uninformed (I said please :)

 

 

Don't know if this is accurate, but it's going around:

 

wsb.jpg

 

 

I've started to see screen shots of staggering, horrifying, suicide-inspiring levels of Game Stock stock losses being posted today. Others are still saying "Hold!" Many are deeply regretting taking online advice from people they'd never met (and never will because in most cases they didn't use their real names), as if doing something like that ever made any sense.

 

 

Why the hell would someone put the bulk of their savings, or their student loans in a lot of cases (uh-oh), into something like this?!? I mean I kind of know and this is just a rhetorical question asked out of baffled exasperation.

 

Crashing a market for fun is only fun if you don't crash yourself in the process, or so it would seem to me but then I haven't fully embraced a suicidal degree of Nihilism and declared "fuck it all" quite yet. Perhaps I should embrace what increasingly seems inevitable, since trying to hold on and make it all work is clearly not working out, either (and not just in my case).

 

 

The big players will probably orchestrate similar stunts in the future since they all now realize they can use social media to lure in vast schools of ignorant fish who can be easily manipulated by gaming the "trends" so that they fall for pump-and-dumps.

 

I guess one caveat that seems solid so far is that if you heard a stock or trading tip on Facebook, Twitter, or any open-to-the-public social media site or account, it's already obsolete and following it will most likely result in a loss, and possibly a staggering loss.


  • Juthro and FLASHINGROOSTER like this

#53 xlcor

xlcor

    Mycophage

  • Free Member
  • 149 posts

Posted 04 February 2021 - 02:01 PM

I don't follow the site. Could you please share more of what you're talking about for the uninformed (I said please :)

 

I would have shared more if I knew more at the time. This is brand-spanking new drama so it might even be weeks before we know what might have happened behind the scenes.

 

I've been looking and the most substantial information has already been posted by TVC. The timeline, from what I understand, is that the WSB moderators got Mark Cuban to do an interview with the entire subreddit. Once people caught wind of this, shit started going downhill. I'm pretty sure this is the direct result of an April Fools' prank done by WSB a year or two ago. They made a thread. Commenting on that thread granted you moderator privileges. I'm sure it's these thread-moderators coming back to sell out the subreddit.

 

Some of the top mods that have been loyal to the subreddit have created some other subreddits. Some of the top content makers have created other subreddits. Nobody is coordinated. Their Discord with 700k+ users was deleted. WSB is currently floating in the wind and it'll be years before they get back together, if ever.

 

Doing some more research. I'll report back if I find anything substantial.

 

 

 


I've started to see screen shots of staggering, horrifying, suicide-inspiring levels of Game Stock stock losses being posted today. Others are still saying "Hold!" Many are deeply regretting taking online advice from people they'd never met (and never will because in most cases they didn't use their real names), as if doing something like that ever made any sense.

 

The horrifying losses are actually not new. One of the most famous posts from WSB is the infamous GUH of user ControlTheNarrative, wherein he lost around $50k on some bad bets he swore "literally could not go tits up." Someone did a very rough study once and determined that WSB lost around $300k every month, based on the accumulated loss-porn screenshots posted by all users. This started off as nothing more than a loss-porn joke, I remember when people started organizing it in October. It spiraled way out of control and the influx of new users, almost 3mil in the span of 3 weeks, is part of what killed the sub I'm sure.


Edited by xlcor, 04 February 2021 - 02:10 PM.

  • Juthro likes this

#54 TVCasualty

TVCasualty

    Embrace Your Damage

  • Moderator
  • 14,636 posts

Awards Bar:

Posted 04 February 2021 - 03:18 PM

 

The horrifying losses are actually not new. One of the most famous posts from WSB is the infamous GUH of user ControlTheNarrative, wherein he lost around $50k on some bad bets he swore "literally could not go tits up." Someone did a very rough study once and determined that WSB lost around $300k every month, based on the accumulated loss-porn screenshots posted by all users. This started off as nothing more than a loss-porn joke, I remember when people started organizing it in October. It spiraled way out of control and the influx of new users, almost 3mil in the span of 3 weeks, is part of what killed the sub I'm sure.

 

 

I meant the losses just from the GS squeeze alone. Many of them were new to stocks and got caught up in the excitement and had no idea what they were doing, but did it anyway with their own hard-earned cash or stimulus check (assuming it wasn't a student loan).

 

 

I'm wondering how much of the r/wsb drama and chaos are due to efforts by people with a large stake in keeping things the way they are. I imagine fund managers at Melvin (or any big company in the game) would be very interested in either helping make that happen or at the very least helping make it worse.

 

The chaos would also be helpful if there happened to be an ongoing attempt to obscure any evidence or digital trails that would reveal any orchestrated efforts on the part of major players to attract rookies (by pretending to be one of them, or on their "side") and then quickly separating them from their money while continuing to tweet shit like "Hold!!" or "To the Moon!!" while all the trained, professional astronauts are already back home laughing and counting their money.

 

I'd be very curious to know how many ACTUAL small-time retail investors made real money from this. Not even Roaring Kitty (with his now-legendary ~$17 million profit) qualifies since he's a full-time professional (he's a CFA) who does his due diligence and all that who just doesn't happen to work for a hedge fund and seems to have higher ethical standards than most pros in Finance.


Edited by TVCasualty, 04 February 2021 - 03:19 PM.


#55 FLASHINGROOSTER

FLASHINGROOSTER

    Semi-Pro Taco Robot

  • Black VIP
  • 2,880 posts

Awards Bar:

Posted 04 February 2021 - 07:20 PM

FOMO

 

big FOMO moment.

 

Another one of those situations where the financial experts were calling what was going to happen but due to the obvious corruption in the system the little guy didn't want to listen to a word they had to say.

 

They didn't want to be tricked out of missing a once in a lifetime stock situation.

 

 A classic reminder of how greed wins in the end. Warren buffet has the quote something like

 

"You should be fearful when everyone else is being greedy and greedy when everyone else is fearful"



#56 Justintime

Justintime

    Justincase

  • OG VIP
  • 3,048 posts

Awards Bar:

Posted 04 February 2021 - 11:02 PM


New term. Financial terrorist incoming.




Like Mycotopia? Become a member today!