I have an odd feel like I'm unwillingly accelerating towards the point where 99% of my posts are just quoting Honk and then just putting italics around "Honk"
I should find this unfortunate but instead it's like I may have found my true calling in life.
I had a dream where all the 90's Disney cartoon shows had a team up starting with Ariel getting annoyed at Aladdin swimming down to take a special pearl from an oyster.
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Dark Raven XLaugh hard, run fast,be kindRegistered Userregular
I had a dream where all the 90's Disney cartoon shows had a team up starting with Ariel getting annoyed at Aladdin swimming down to take a special pearl from an oyster.
:winky:
Oh brilliant
+1
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joshgotroDeviled EggThe Land of REAL CHILIRegistered Userregular
Nightcrawler. Awesome German swordfighter who will call you liebchen.
I had a dream where all the 90's Disney cartoon shows had a team up starting with Ariel getting annoyed at Aladdin swimming down to take a special pearl from an oyster.
I had a dream where all the 90's Disney cartoon shows had a team up starting with Ariel getting annoyed at Aladdin swimming down to take a special pearl from an oyster.
Did TaleSpin show up?
Baloo and Jasmine's Dad and Zeus were in a diving bell of some sort. I don't know why.
I had a dream where all the 90's Disney cartoon shows had a team up starting with Ariel getting annoyed at Aladdin swimming down to take a special pearl from an oyster.
I had a dream where all the 90's Disney cartoon shows had a team up starting with Ariel getting annoyed at Aladdin swimming down to take a special pearl from an oyster.
Did TaleSpin show up?
Baloo and Jasmine's Dad and Zeus were in a diving bell of some sort. I don't know why.
I had a dream where all the 90's Disney cartoon shows had a team up starting with Ariel getting annoyed at Aladdin swimming down to take a special pearl from an oyster.
Did TaleSpin show up?
Baloo and Jasmine's Dad and Zeus were in a diving bell of some sort. I don't know why.
Because they can't breathe underwater otherwise
Genie could have solved this problem
But why didn't he?
Maybe it was subconscious grief for Robin Williams
I have an odd feel like I'm unwillingly accelerating towards the point where 99% of my posts are just quoting Honk and then just putting italics around "Honk"
I should find this unfortunate but instead it's like I may have found my true calling in life.
Goose detected
0
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joshgotroDeviled EggThe Land of REAL CHILIRegistered Userregular
Nightcrawler. Awesome German swordfighter who will call you liebchen.
I had a dream where all the 90's Disney cartoon shows had a team up starting with Ariel getting annoyed at Aladdin swimming down to take a special pearl from an oyster.
Did TaleSpin show up?
Baloo and Jasmine's Dad and Zeus were in a diving bell of some sort. I don't know why.
Because they can't breathe underwater otherwise
Genie could have solved this problem
But why didn't he?
Maybe it was subconscious grief for Robin Williams
Who do you think gave them the diving bell
Like if you cry every tym 💔💔💔
[Muffled sounds of gorilla violence]
+1
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TavIrish Minister for DefenceRegistered Userregular
seeing finance bros use “and first they came for” is very fuckin’ funny
"The wrong people are getting rich! Stop demonstrating how easy this is!"
If Reddit cared enough to continue, couldn't they just keep an eye out and fuck over every stock shortening plan from now on? It seems like they worked it out this time using public knowledge
He isn't really correct about what a hedge fund is, or what it's for
Hedge funds are "gambling" in the same sense that insurance companies are
The fact that a particular hedge fund or funds are being fucked by the WSB option trades is a function of the fact that they left themselves exposed to a risk that either isn't reflected in their hedging strategy or isn't adequately mitigated (that is, they assessed the potential impact of this scenario incorrectly)
The funds suffering could have trivially avoided this by not shorting in excess of float, which would have influenced the price of the options WSB are buying
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ChanusHarbinger of the Spicy Rooster ApocalypseThe Flames of a Thousand Collapsed StarsRegistered Userregular
Nightcrawler. Awesome German swordfighter who will call you liebchen.
BAMF my homies
Allegedly a voice of reason.
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joshgotroDeviled EggThe Land of REAL CHILIRegistered Userregular
edited January 2021
Nightcrawler. Awesome German swordfighter who will call you liebchen.
Gotta be honest, I'm getting slightly worried that the Gamestop shenanigans are just going to wind up leaving retail investors out of pocket somehow
Some folks are definitely going to get burned, but this is probably a much needed, highly visible expose into just how fucked the market has been behaving, and I hope it leads to reform.
With folks like Elizabeth Warren ascendant and Dems holding both chambers and the presidency, and now that this is extending past gamestop and into bed bath and beyond, AMC theaters, etc... this could grow large enough to become actual national discourse and some new market regulations.
syndalis on
SW-4158-3990-6116
Let's play Mario Kart or something...
+7
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syndalisGetting ClassyOn the WallRegistered User, Loves Apple Productsregular
edited January 2021
Simply put, they need to figure out a mechanism to make betting against the success of the business illegal, or at least not financially viable. The entire shorting mechanism has perverse incentives and is rife for abuse. And its an incredibly powerful way to leverage negative insider info to profit.
syndalis on
SW-4158-3990-6116
Let's play Mario Kart or something...
0
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IlpalaJust this guy, y'knowTexasRegistered Userregular
Nightcrawler. Awesome German swordfighter who will call you liebchen.
Oh my god that dumb fucking Juggernaut Doom has "DOOM" on his fucking knuckles he's so fucking stupid.
FF XIV - Qih'to Furishu (on Siren), Battle.Net - Ilpala#1975
Switch - SW-7373-3669-3011
Fuck Joe Manchin
The first day of a new job sucks. But also I am now just hyperaware of every interaction I have, because really I'm doing an aggressive surveil as to whether it won't work out like my last job.
Gotta be honest, I'm getting slightly worried that the Gamestop shenanigans are just going to wind up leaving retail investors out of pocket somehow
Some of them are going to lose out. What's happening to the hedge funds is that they have to close out their short positions by a certain date (by buying gamestop stock). The only reason that the price keeps accelerating is that there is a critical mass of retail investors buying up short options. If that slows, or enough of the retail investors cash out, the bubble bursts, the price returns to normal, and the hedge funds close out their shorts without massive losses
The reason you're seeing things like people pumping billions into the distressed funds is that they are assuming that the critical mass will dissipate before the short positions come due. For the likes of Melvin capital, they were wrong about that and those funds are now turbofucked
All that said, the retail investors can only be out the money they put in. Their worst case is that they have paid for an option contact that is now useless. The hedge fund's potential losses are theoretically limited only by the price of the stock they shorted, meaning they could have put in relatively small amounts of money but be on the hook for very large amounts of money.
Gotta be honest, I'm getting slightly worried that the Gamestop shenanigans are just going to wind up leaving retail investors out of pocket somehow
Gamestop was already on a slow decline accelerated by Covid. That's what the shorters were banking on
I mean the people who are buying Gamestop shares right now because it's basically free money.
0
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IlpalaJust this guy, y'knowTexasRegistered Userregular
Nightcrawler. Awesome German swordfighter who will call you liebchen.
I'd ask if you meant "now" now but then again I was saying people better pull the ripcord to break even after buying at $100 and man that initial buy aint looking like a bad decision anymore.
FF XIV - Qih'to Furishu (on Siren), Battle.Net - Ilpala#1975
Switch - SW-7373-3669-3011
Fuck Joe Manchin
Gotta be honest, I'm getting slightly worried that the Gamestop shenanigans are just going to wind up leaving retail investors out of pocket somehow
Gamestop was already on a slow decline accelerated by Covid. That's what the shorters were banking on
I mean the people who are buying Gamestop shares right now because it's basically free money.
Oh yeah, those people are going to get rinsed when the music stops
However again, the risk is only what you bought in with from a retail investor perspective
Worth considering that the WSB types are not buying gamespot stock, they are buying option contracts because those have a multiplier effect of causing brokers and funds to buy gamespot stock to cover their positions, so buying $100 worth of long options on gamespot drives up the stock price more than buying $100 of stock
Posts
Elf
:winky:
Did TaleSpin show up?
Baloo and Jasmine's Dad and Zeus were in a diving bell of some sort. I don't know why.
LOL
BAD RAVEN BAD
Because they can't breathe underwater otherwise
Genie could have solved this problem
But why didn't he?
Maybe it was subconscious grief for Robin Williams
Goose detected
What protein(s)?
kielbasa, chicken, and shrimp
Who do you think gave them the diving bell
Like if you cry every tym 💔💔💔
Especially today of all days
Not 'haha' funny, obviously, more 'get fucked' funny
If Reddit cared enough to continue, couldn't they just keep an eye out and fuck over every stock shortening plan from now on? It seems like they worked it out this time using public knowledge
He isn't really correct about what a hedge fund is, or what it's for
Hedge funds are "gambling" in the same sense that insurance companies are
The fact that a particular hedge fund or funds are being fucked by the WSB option trades is a function of the fact that they left themselves exposed to a risk that either isn't reflected in their hedging strategy or isn't adequately mitigated (that is, they assessed the potential impact of this scenario incorrectly)
The funds suffering could have trivially avoided this by not shorting in excess of float, which would have influenced the price of the options WSB are buying
Switched is the wrong word.
Gamestop was already on a slow decline accelerated by Covid. That's what the shorters were banking on
Some folks are definitely going to get burned, but this is probably a much needed, highly visible expose into just how fucked the market has been behaving, and I hope it leads to reform.
With folks like Elizabeth Warren ascendant and Dems holding both chambers and the presidency, and now that this is extending past gamestop and into bed bath and beyond, AMC theaters, etc... this could grow large enough to become actual national discourse and some new market regulations.
Let's play Mario Kart or something...
Let's play Mario Kart or something...
Switch - SW-7373-3669-3011
Fuck Joe Manchin
Some of them are going to lose out. What's happening to the hedge funds is that they have to close out their short positions by a certain date (by buying gamestop stock). The only reason that the price keeps accelerating is that there is a critical mass of retail investors buying up short options. If that slows, or enough of the retail investors cash out, the bubble bursts, the price returns to normal, and the hedge funds close out their shorts without massive losses
The reason you're seeing things like people pumping billions into the distressed funds is that they are assuming that the critical mass will dissipate before the short positions come due. For the likes of Melvin capital, they were wrong about that and those funds are now turbofucked
All that said, the retail investors can only be out the money they put in. Their worst case is that they have paid for an option contact that is now useless. The hedge fund's potential losses are theoretically limited only by the price of the stock they shorted, meaning they could have put in relatively small amounts of money but be on the hook for very large amounts of money.
I mean the people who are buying Gamestop shares right now because it's basically free money.
Switch - SW-7373-3669-3011
Fuck Joe Manchin
Oh yeah, those people are going to get rinsed when the music stops
However again, the risk is only what you bought in with from a retail investor perspective
Worth considering that the WSB types are not buying gamespot stock, they are buying option contracts because those have a multiplier effect of causing brokers and funds to buy gamespot stock to cover their positions, so buying $100 worth of long options on gamespot drives up the stock price more than buying $100 of stock