The house always wins unless you have a Boesky, a Jim Brown, a Miss Daisy, two Jethros and a Leon Spinks, not to mention the biggest Ella Fitzgerald ever.
Yeah, but you gotta find somebody willing to bankroll it too.
Anyone who can actually beat the house just gets kicked out after all. Of course that basically can't happen at anything but blackjack afaik.
And essentially what happened with GME during that initial pump.
That's the big joke in all this. They all think if they hold and direct register their shares the shorts will crumble and it will all come down. I'll admit I even felt that way at the beginning. But it's become incredibly obvious the system will ensure the shorts (at least most of them) all survive, and if they can't do that, will make damn sure the retail investors never get paid. The hedge funds don't have to play by the rules.
Edit: Also I think they already dealt with the most serious liabilities by trading in dark pools amongst themselves.
Retail can't ever get paid if they just HODL. Short sellers can cover an infinite amount of shorts with a single share, buying it back from the entity they just returned it to. They pay through the nose to cover to whoever is selling at the time which will never be a HODLer
I work in the industry as a broker, and the extreme efforts a bunch of super small accounts went to move their GME shares to transfer companies in an effort to prevent their shares from being shorted still mystifies me. Do they cover some of that kind of thing or nah?
I work in the industry as a broker, and the extreme efforts a bunch of super small accounts went to move their GME shares to transfer companies in an effort to prevent their shares from being shorted still mystifies me. Do they cover some of that kind of thing or nah?
Yes, it's covered
At some point after the squeeze it was decided that there was actually a bunch of "fake" shares, perhaps ten times more than the number of shares disclosed by Gamestop, so if the Squeezers can ensure they have all the "real" shares out of circulation, when foul is called they'll be the ones to benefit.
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KoopahTroopahThe koopas, the troopas.Philadelphia, PARegistered Userregular
Anyone catch Dumb Money yet? I want to give it a shot because of the cast alone. I figured a lot of the 'saga' will be talked up or muddied up for entertainment.
I work in the industry as a broker, and the extreme efforts a bunch of super small accounts went to move their GME shares to transfer companies in an effort to prevent their shares from being shorted still mystifies me. Do they cover some of that kind of thing or nah?
Yes, it's covered
At some point after the squeeze it was decided that there was actually a bunch of "fake" shares, perhaps ten times more than the number of shares disclosed by Gamestop, so if the Squeezers can ensure they have all the "real" shares out of circulation, when foul is called they'll be the ones to benefit.
Nice, I'll give it a watch and probs forward it to some of our newer guys.
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CambiataCommander ShepardThe likes of which even GAWD has never seenRegistered Userregular
I work in the industry as a broker, and the extreme efforts a bunch of super small accounts went to move their GME shares to transfer companies in an effort to prevent their shares from being shorted still mystifies me. Do they cover some of that kind of thing or nah?
Yes, it's covered
At some point after the squeeze it was decided that there was actually a bunch of "fake" shares, perhaps ten times more than the number of shares disclosed by Gamestop, so if the Squeezers can ensure they have all the "real" shares out of circulation, when foul is called they'll be the ones to benefit.
Nice, I'll give it a watch and probs forward it to some of our newer guys.
Oh please do, it's so much more wild than that short spoiler can convey.
"If you divide the whole world into just enemies and friends, you'll end up destroying everything" --Nausicaa of the Valley of Wind
Watched it this morning, and I had no idea that whole deal ran so deep or crazy, that it's still ongoing even. I figured it was just a blip, some folks made some bones, plenty of folks wished they had, and that was that. Sure, maybe a few would try to make fetch happen again to far lesser success, but I wasn't expecting
People to be desperate enough for a hit to be analyzing children's storybooks for hidden clues about a secret plan to turn Bed Bath and Beyond into a company to rival Amazon.
It's fucked up that our economy is in such state that people feel like they have to believe stuff like this to have the hope to keep trudging along.
"Go down, kick ass, and set yourselves up as gods, that's our Prime Directive!"
I was thinking about something when he brought up the way conspiracists in general and this group in specific think their beliefs are way, way, way more popular than they are. You can find a similar level of mythologizing and echo-chambering for basically anything you'd like--it's necessary for groups like the crypto cons and conspiracists, but not exclusive to them. And the ones with myths and foundations that aren't intrinsically insane, where confidence that your position is the majority might be wrong but at least seems less crazy, where people are similarly hostile to anything that isn't feeding the myth, can be a lot harder to identify if you're standing at the edge.
I bet a lot more people fall into toxic communities with a less crazy foundation that work like this than ones that are so blatantly counterfactual. And once you're used to that mode of community, it's probably easy to slide into other ones that are further from reality. It's something I'm wary of now when I'm looking at joining an online community, because even benign or mundane subjects can have communities with serious brain worms.
Yeah, I have been taking several calls from people who just do not know how things work. Some I could convince to come back to reality, even pointing to like margin disclosure forms and things as processes. Some were just not on the same planet. A couple grew hostile, but it's been interesting to watch to say the least.
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CambiataCommander ShepardThe likes of which even GAWD has never seenRegistered Userregular
I will say that - as the history in this thread demonstrates - that I fell in with the hype at the time and was approaching conspiratorial thought. What makes me different is that 1) I was never true believer enough to sink my entire fortune into GME; I bought two stocks total, and did make a small profit on both, since I never had "diamond hands" and sold early enough and 2) Even while I was saying, "isn't this suspicious?!" (of Robinhood), I was still circumspect enough to realize that I didn't have enough understanding of this realm to really know, and that I was satisfied with their being an official investigation (which their was). And of course, after my stock was sold, I was much less hooked on the story and eventually just stopped thinking about it - though I did have GME tracked on my phone for a long while after, until recently I was like, "why is this still on here?" and removed it.
I wonder if maybe the main things that saved me is my inability to be that certain about most things, and my underlying awareness, based on my upbringing with conspiratorial minded parents, that I am perfectly susceptible to wild conspiracy theories and to periodically remind myself when something sounds too unbelievable that I need to check myself from going all-in.
"If you divide the whole world into just enemies and friends, you'll end up destroying everything" --Nausicaa of the Valley of Wind
I will say that - as the history in this thread demonstrates - that I fell in with the hype at the time and was approaching conspiratorial thought. What makes me different is that 1) I was never true believer enough to sink my entire fortune into GME; I bought two stocks total, and did make a small profit on both, since I never had "diamond hands" and sold early enough and 2) Even while I was saying, "isn't this suspicious?!" (of Robinhood), I was still circumspect enough to realize that I didn't have enough understanding of this realm to really know, and that I was satisfied with their being an official investigation (which their was). And of course, after my stock was sold, I was much less hooked on the story and eventually just stopped thinking about it - though I did have GME tracked on my phone for a long while after, until recently I was like, "why is this still on here?" and removed it.
I wonder if maybe the main things that saved me is my inability to be that certain about most things, and my underlying awareness, based on my upbringing with conspiratorial minded parents, that I am perfectly susceptible to wild conspiracy theories and to periodically remind myself when something sounds too unbelievable that I need to check myself from going all-in.
The bit of the video about apes tending to self select for overconfidence was very insightful.
The Robinhood thing seemed suspicious to me when I first heard it, because it was first told to me by someone conflating Robinhood halting buys with NYSE halting buys.
Conspiracy theorists will jump from theory to theory with no care about inconsistencies because for them, because it's not about the subject matter - it's about the emotional gratification of feeling like they're subject matter experts who will eventually be vindicated and lauded by a hidden majority.
It's the intersection of Dunning-Kruger, narcissism, the need for validation, and a lack of self-awareness.
Yeah this video was god damn jaw dropping. I thought a lot more people made money on the pump and dump but finding out they invented a conspiracy theory to justify their fuck up? Fucking yikes town.
Dan highlights this in the video, but these guys would be more sympathetic if they weren't you know awful. Using ableist slurs or "wife changing" money just paints them as particularly vile individuals.
I would like some money because these are artisanal nuggets of wisdom philistine.
TetraNitroCubaneThe DjinneratorAt the bottom of a bottleRegistered Userregular
I still find it humorous that they got taken to the cleaners by the very individual they revered and worshiped - Only for him to fuck off, and for them to still worship him afterward.
Yeah this video was god damn jaw dropping. I thought a lot more people made money on the pump and dump but finding out they invented a conspiracy theory to justify their fuck up? Fucking yikes town.
Dan highlights this in the video, but these guys would be more sympathetic if they weren't you know awful. Using ableist slurs or "wife changing" money just paints them as particularly vile individuals.
I had the video on the background, and at first I heard "life changing money", I never heard the gross version before the video, and yes, its incredibly hard to find empathy for them.
Yes, with a quick verbal "boom." You take a man's peko, you deny him his dab, all that is left is to rise up and tear down the walls of Jericho with a ".....not!" -TexiKen
Some of them are also recruiting new people to grift them and get some cash back. Just the worst. Let’s get some new addicts in and get them hooked. Totally ethical behaviour.
Yeah this video was god damn jaw dropping. I thought a lot more people made money on the pump and dump but finding out they invented a conspiracy theory to justify their fuck up? Fucking yikes town.
Dan highlights this in the video, but these guys would be more sympathetic if they weren't you know awful. Using ableist slurs or "wife changing" money just paints them as particularly vile individuals.
I had the video on the background, and at first I heard "life changing money", I never heard the gross version before the video, and yes, its incredibly hard to find empathy for them.
I thought at first naively they were saying wife changing as in "it would change my wifes life" and like I wasn't wrong just not in the way I was thinking.
Made worse of course these guys are literally hiding that they are engaging in buying shitty stock that's over priced or in the case of BBBY worthless. Like I've *cough* not exactly told my wife how much money I've spent on STO, but like I still have the fucking ships and random bullshit in that game, I'm not like secretly hoping those ships will become my retirement.
I would like some money because these are artisanal nuggets of wisdom philistine.
Yeah this video was god damn jaw dropping. I thought a lot more people made money on the pump and dump but finding out they invented a conspiracy theory to justify their fuck up? Fucking yikes town.
Dan highlights this in the video, but these guys would be more sympathetic if they weren't you know awful. Using ableist slurs or "wife changing" money just paints them as particularly vile individuals.
I had the video on the background, and at first I heard "life changing money", I never heard the gross version before the video, and yes, its incredibly hard to find empathy for them.
I thought at first naively they were saying wife changing as in "it would change my wifes life" and like I wasn't wrong just not in the way I was thinking.
Made worse of course these guys are literally hiding that they are engaging in buying shitty stock that's over priced or in the case of BBBY worthless. Like I've *cough* not exactly told my wife how much money I've spent on STO, but like I still have the fucking ships and random bullshit in that game, I'm not like secretly hoping those ships will become my retirement.
Well, losing the family’s nest egg may also be “wife changing”
I will say that - as the history in this thread demonstrates - that I fell in with the hype at the time and was approaching conspiratorial thought. What makes me different is that 1) I was never true believer enough to sink my entire fortune into GME; I bought two stocks total, and did make a small profit on both, since I never had "diamond hands" and sold early enough and 2) Even while I was saying, "isn't this suspicious?!" (of Robinhood), I was still circumspect enough to realize that I didn't have enough understanding of this realm to really know, and that I was satisfied with their being an official investigation (which their was). And of course, after my stock was sold, I was much less hooked on the story and eventually just stopped thinking about it - though I did have GME tracked on my phone for a long while after, until recently I was like, "why is this still on here?" and removed it.
I wonder if maybe the main things that saved me is my inability to be that certain about most things, and my underlying awareness, based on my upbringing with conspiratorial minded parents, that I am perfectly susceptible to wild conspiracy theories and to periodically remind myself when something sounds too unbelievable that I need to check myself from going all-in.
The bit of the video about apes tending to self select for overconfidence was very insightful.
The Robinhood thing seemed suspicious to me when I first heard it, because it was first told to me by someone conflating Robinhood halting buys with NYSE halting buys.
I am not sure I knew at the time that Robin Hood was floating cash to users before deposits. Because once you explain it like that it makes perfect sense that the amount of cash they might have to float in a day could be far in excess of their reserves given a large enough sign up.
The video uses wife-changing like Portal used ambiguity to make you uncertain about what was actually said for dramatic effect.
GlaDOS's subtitles: The enrichment center reminds you that you will be baked [garbled] cake.
What GlaDOS actually says: The enrichment center reminds you that you will be baked. And then there will be cake.
Yeah I remember the robinhood thing and thinking "ok that does sound hinky as hell" and then the actual explanation makes way more sense. I wonder if the actually smart people knew that was the time to sell because it would only go down from there? Then again seeing the graph even if you sold after the peak you could have still made a metric shit ton of money.
I would like some money because these are artisanal nuggets of wisdom philistine.
Yeah I remember the robinhood thing and thinking "ok that does sound hinky as hell" and then the actual explanation makes way more sense. I wonder if the actually smart people knew that was the time to sell because it would only go down from there? Then again seeing the graph even if you sold after the peak you could have still made a metric shit ton of money.
The thing about pump and dump is that at some point you need to actually dump.
Yeah I remember the robinhood thing and thinking "ok that does sound hinky as hell" and then the actual explanation makes way more sense. I wonder if the actually smart people knew that was the time to sell because it would only go down from there? Then again seeing the graph even if you sold after the peak you could have still made a metric shit ton of money.
The thing about pump and dump is that at some point you need to actually dump.
Dan doesn't say it in the video, but I wondered if one reason this MOASS stuff came up in the first place was dumpers who didn't sell out completely wanted to still make good money on their dump but didn't want to kill the stock when they sold the rest. So they invented a story and sold it to idiots and it just went nuts from there. Like most of the user deleted set would seem suspect for that.
Though that's a bit conspiratorial I admit.
I would like some money because these are artisanal nuggets of wisdom philistine.
Yeah I remember the robinhood thing and thinking "ok that does sound hinky as hell" and then the actual explanation makes way more sense. I wonder if the actually smart people knew that was the time to sell because it would only go down from there? Then again seeing the graph even if you sold after the peak you could have still made a metric shit ton of money.
Likely. For a couple of reasons.
1) The thing about a short squeeze, no matter the amount of shares outstanding, is that the squeezed only have to buy from you once. After they buy from you someone else has has a share. And they can sell again.
So as soon as the shares outstanding start to fall… it’s over. Unless a single person is owed >100% of the shares there is someone else who can sell shares back to the people covering their positions. Like. If I am owed 30% of the shares (say 100k shares) I am just going to resell the same share to the shorters 100k times once the price is high enough.
So you cannot just “buy and hold” to win here you have to get out at the right time. Because someone can and will close the short positions below the squeeze threshold.
Short positions can also be wiped by another pay off. It’s a contract after all you don’t have to force the person to give the share back you can take cash instead.
2) the thing that causes the price to rise in the first place tends to be shorters closing their positions. Short losses accumulate really fast and margin accounts get closed. Once the price gets to a certain point the shorts will cut their losses or will be forced to.
(Conclusion) so the spike at the end and Robin Hood declaring huge retail interest is basically the end any way you look at it. Retail interest is super high means the short positions either have closed are going to close by way of direct payment/bankruptcy and you are not guaranteed to get in on that.
I will say that - as the history in this thread demonstrates - that I fell in with the hype at the time and was approaching conspiratorial thought. What makes me different is that 1) I was never true believer enough to sink my entire fortune into GME; I bought two stocks total, and did make a small profit on both, since I never had "diamond hands" and sold early enough and 2) Even while I was saying, "isn't this suspicious?!" (of Robinhood), I was still circumspect enough to realize that I didn't have enough understanding of this realm to really know, and that I was satisfied with their being an official investigation (which their was). And of course, after my stock was sold, I was much less hooked on the story and eventually just stopped thinking about it - though I did have GME tracked on my phone for a long while after, until recently I was like, "why is this still on here?" and removed it.
I wonder if maybe the main things that saved me is my inability to be that certain about most things, and my underlying awareness, based on my upbringing with conspiratorial minded parents, that I am perfectly susceptible to wild conspiracy theories and to periodically remind myself when something sounds too unbelievable that I need to check myself from going all-in.
The bit of the video about apes tending to self select for overconfidence was very insightful.
The Robinhood thing seemed suspicious to me when I first heard it, because it was first told to me by someone conflating Robinhood halting buys with NYSE halting buys.
I am not sure I knew at the time that Robin Hood was floating cash to users before deposits. Because once you explain it like that it makes perfect sense that the amount of cash they might have to float in a day could be far in excess of their reserves given a large enough sign up.
Yah, that was my takeaway cause I don't remember that being included in the reporting at the time. Had that been explained clearly at the outset, I feel like that would have lanced a good portion of the conspiracy boil before it festered. Instead, there was a certain amount of radio silence and/or obfuscation which allowed people to insert their own wild explanations that spiraled out.
As for DFV, I don't think he was pumping and dumping so much as he wanted to be seen as a whiz-kid analyst bucking the market, maybe make some consulting bucks after the fact. I don't blame him for taking his fuck you money and leaving once he realized he'd taken a couple jokes too far and was being appointed a prophet by a bunch of folks he wanted nothing to do with.
"Go down, kick ass, and set yourselves up as gods, that's our Prime Directive!"
I don't know if it was roundly understood what was going on with Robinhood at the time. Dan has the benefit of a congressional investigation and an SEC one, with the SEC one he said written for the layman.
But also financial shit always has a layer of obfuscation in reporting because its access journalism and big money interests.
I would like some money because these are artisanal nuggets of wisdom philistine.
Conspiracy theorists will jump from theory to theory with no care about inconsistencies because for them, because it's not about the subject matter - it's about the emotional gratification of feeling like they're subject matter experts who will eventually be vindicated and lauded by a hidden majority.
It's the intersection of Dunning-Kruger, narcissism, the need for validation, and a lack of self-awareness.
I thought the jar thing was a great visual, I'm sure its used elsewhere. But I liked it because it showed visually the conspiracy is the glass of the jar, the various pieces don't change and do not alter the overall conspiracy they are just contained within it. Brilliant visually and as an understander.
I would like some money because these are artisanal nuggets of wisdom philistine.
Its weird that most of my education on modern new things like nfts/crypto and now this have come from long form youtube videos that are as entertaining as they are informative.
I would like some money because these are artisanal nuggets of wisdom philistine.
They are great deep dives into specific cultural moments that really highlight the bleakness of what capitalism turns a society into without sufficient checks and controls
Captain Inertia on
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CambiataCommander ShepardThe likes of which even GAWD has never seenRegistered Userregular
This is just a small side bar, but for DFV to have gained over 25mil out of GME, that means he had to have over 50k of those stocks, right? Even if he sold when the stock was $400? Or am I doing the math wrong?
"If you divide the whole world into just enemies and friends, you'll end up destroying everything" --Nausicaa of the Valley of Wind
This is just a small side bar, but for DFV to have gained over 25mil out of GME, that means he had to have over 50k of those stocks, right? Even if he sold when the stock was $400? Or am I doing the math wrong?
He went hard into options when they were dirt cheap and options bought for a few dollars and sold for a few thousand...
This is just a small side bar, but for DFV to have gained over 25mil out of GME, that means he had to have over 50k of those stocks, right? Even if he sold when the stock was $400? Or am I doing the math wrong?
He went hard into options when they were dirt cheap and options bought for a few dollars and sold for a few thousand...
Oh, options, ok. yeah I know nothing about those, but I'll take your word for it.
"If you divide the whole world into just enemies and friends, you'll end up destroying everything" --Nausicaa of the Valley of Wind
This is just a small side bar, but for DFV to have gained over 25mil out of GME, that means he had to have over 50k of those stocks, right? Even if he sold when the stock was $400? Or am I doing the math wrong?
Sort of. The stock went up and down by so much throughout that one week that he was able to sell, then buy when it dropped again, then sell, a few times.
So he did have a huge amount in at the start, but he also multiplied it several times during, so it was exponential. He made more than enough off his first sale to easily cover what he’d already put up and then shit just kept getting weirder and now he’s retired and has run as far away as possible from the crazy people that he encouraged but had no idea how deep they would fall up their own assets.
This is just a small side bar, but for DFV to have gained over 25mil out of GME, that means he had to have over 50k of those stocks, right? Even if he sold when the stock was $400? Or am I doing the math wrong?
He went hard into options when they were dirt cheap and options bought for a few dollars and sold for a few thousand...
Oh, options, ok. yeah I know nothing about those, but I'll take your word for it.
So let's use an example, I can buy a Jan24 call option on AT&T @ $22 (current share price $14.70) for $0.12. This means I will pay $12 now and have the right to buy 100 shares for $2200 at any time in the next 16 months - no matter what the current price is
So for $10k initially I can get 800ish options representing 80000 shares. If I were to say get reddit to buy into a short squeeze meme and the price jumps to $200, my options would be worth ($200 - $22) * 100 = $17800 each or 14.2 million
This is just a small side bar, but for DFV to have gained over 25mil out of GME, that means he had to have over 50k of those stocks, right? Even if he sold when the stock was $400? Or am I doing the math wrong?
He went hard into options when they were dirt cheap and options bought for a few dollars and sold for a few thousand...
Oh, options, ok. yeah I know nothing about those, but I'll take your word for it.
Options are basically a contract that says "I have the right to purchase X shares at $Y until Date Z", generally sold for a fraction of what X x Y would be. If you get an option for $4 and the open market price jumps to $400, good times for you.
Great video. The scariest part, to me, is that it's only a matter of time before they turn to the truly abhorrent conspiracies. Once their money is gone and their wives have left them, it's going to be all about who to blame. And I think we all know where that leads.
Great video. The scariest part, to me, is that it's only a matter of time before they turn to the truly abhorrent conspiracies. Once their money is gone and their wives have left them, it's going to be all about who to blame. And I think we all know where that leads.
In his QAnon video he noted a phenomenon of doomsday cults called "forcing the end", where after enough times of moving the date of reckoning back with no reckoning in sight, some will take it upon themselves to make the reckoning happen. I half expected something like this for this group, even though I'm unsure how they would go about it.
Posts
Yeah, but you gotta find somebody willing to bankroll it too.
**EDIT**
damn, horrible totp
Retail can't ever get paid if they just HODL. Short sellers can cover an infinite amount of shorts with a single share, buying it back from the entity they just returned it to. They pay through the nose to cover to whoever is selling at the time which will never be a HODLer
Yes, it's covered
Twitch: KoopahTroopah - Steam: Koopah
Nice, I'll give it a watch and probs forward it to some of our newer guys.
Oh please do, it's so much more wild than that short spoiler can convey.
It's fucked up that our economy is in such state that people feel like they have to believe stuff like this to have the hope to keep trudging along.
I bet a lot more people fall into toxic communities with a less crazy foundation that work like this than ones that are so blatantly counterfactual. And once you're used to that mode of community, it's probably easy to slide into other ones that are further from reality. It's something I'm wary of now when I'm looking at joining an online community, because even benign or mundane subjects can have communities with serious brain worms.
I wonder if maybe the main things that saved me is my inability to be that certain about most things, and my underlying awareness, based on my upbringing with conspiratorial minded parents, that I am perfectly susceptible to wild conspiracy theories and to periodically remind myself when something sounds too unbelievable that I need to check myself from going all-in.
The bit of the video about apes tending to self select for overconfidence was very insightful.
The Robinhood thing seemed suspicious to me when I first heard it, because it was first told to me by someone conflating Robinhood halting buys with NYSE halting buys.
It's the intersection of Dunning-Kruger, narcissism, the need for validation, and a lack of self-awareness.
Dan highlights this in the video, but these guys would be more sympathetic if they weren't you know awful. Using ableist slurs or "wife changing" money just paints them as particularly vile individuals.
pleasepaypreacher.net
Just incredible.
I had the video on the background, and at first I heard "life changing money", I never heard the gross version before the video, and yes, its incredibly hard to find empathy for them.
I thought at first naively they were saying wife changing as in "it would change my wifes life" and like I wasn't wrong just not in the way I was thinking.
Made worse of course these guys are literally hiding that they are engaging in buying shitty stock that's over priced or in the case of BBBY worthless. Like I've *cough* not exactly told my wife how much money I've spent on STO, but like I still have the fucking ships and random bullshit in that game, I'm not like secretly hoping those ships will become my retirement.
pleasepaypreacher.net
Well, losing the family’s nest egg may also be “wife changing”
Okay I think I need to go throw up.
I am not sure I knew at the time that Robin Hood was floating cash to users before deposits. Because once you explain it like that it makes perfect sense that the amount of cash they might have to float in a day could be far in excess of their reserves given a large enough sign up.
GlaDOS's subtitles: The enrichment center reminds you that you will be baked [garbled] cake.
What GlaDOS actually says: The enrichment center reminds you that you will be baked. And then there will be cake.
Worked for me.
pleasepaypreacher.net
The thing about pump and dump is that at some point you need to actually dump.
Dan doesn't say it in the video, but I wondered if one reason this MOASS stuff came up in the first place was dumpers who didn't sell out completely wanted to still make good money on their dump but didn't want to kill the stock when they sold the rest. So they invented a story and sold it to idiots and it just went nuts from there. Like most of the user deleted set would seem suspect for that.
Though that's a bit conspiratorial I admit.
pleasepaypreacher.net
Likely. For a couple of reasons.
1) The thing about a short squeeze, no matter the amount of shares outstanding, is that the squeezed only have to buy from you once. After they buy from you someone else has has a share. And they can sell again.
So as soon as the shares outstanding start to fall… it’s over. Unless a single person is owed >100% of the shares there is someone else who can sell shares back to the people covering their positions. Like. If I am owed 30% of the shares (say 100k shares) I am just going to resell the same share to the shorters 100k times once the price is high enough.
So you cannot just “buy and hold” to win here you have to get out at the right time. Because someone can and will close the short positions below the squeeze threshold.
Short positions can also be wiped by another pay off. It’s a contract after all you don’t have to force the person to give the share back you can take cash instead.
2) the thing that causes the price to rise in the first place tends to be shorters closing their positions. Short losses accumulate really fast and margin accounts get closed. Once the price gets to a certain point the shorts will cut their losses or will be forced to.
(Conclusion) so the spike at the end and Robin Hood declaring huge retail interest is basically the end any way you look at it. Retail interest is super high means the short positions either have closed are going to close by way of direct payment/bankruptcy and you are not guaranteed to get in on that.
Yah, that was my takeaway cause I don't remember that being included in the reporting at the time. Had that been explained clearly at the outset, I feel like that would have lanced a good portion of the conspiracy boil before it festered. Instead, there was a certain amount of radio silence and/or obfuscation which allowed people to insert their own wild explanations that spiraled out.
As for DFV, I don't think he was pumping and dumping so much as he wanted to be seen as a whiz-kid analyst bucking the market, maybe make some consulting bucks after the fact. I don't blame him for taking his fuck you money and leaving once he realized he'd taken a couple jokes too far and was being appointed a prophet by a bunch of folks he wanted nothing to do with.
But also financial shit always has a layer of obfuscation in reporting because its access journalism and big money interests.
pleasepaypreacher.net
Please, it’s just a jar of Mo Ass
pleasepaypreacher.net
pleasepaypreacher.net
He went hard into options when they were dirt cheap and options bought for a few dollars and sold for a few thousand...
Oh, options, ok. yeah I know nothing about those, but I'll take your word for it.
Sort of. The stock went up and down by so much throughout that one week that he was able to sell, then buy when it dropped again, then sell, a few times.
So he did have a huge amount in at the start, but he also multiplied it several times during, so it was exponential. He made more than enough off his first sale to easily cover what he’d already put up and then shit just kept getting weirder and now he’s retired and has run as far away as possible from the crazy people that he encouraged but had no idea how deep they would fall up their own assets.
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So let's use an example, I can buy a Jan24 call option on AT&T @ $22 (current share price $14.70) for $0.12. This means I will pay $12 now and have the right to buy 100 shares for $2200 at any time in the next 16 months - no matter what the current price is
So for $10k initially I can get 800ish options representing 80000 shares. If I were to say get reddit to buy into a short squeeze meme and the price jumps to $200, my options would be worth ($200 - $22) * 100 = $17800 each or 14.2 million
Options are basically a contract that says "I have the right to purchase X shares at $Y until Date Z", generally sold for a fraction of what X x Y would be. If you get an option for $4 and the open market price jumps to $400, good times for you.
In his QAnon video he noted a phenomenon of doomsday cults called "forcing the end", where after enough times of moving the date of reckoning back with no reckoning in sight, some will take it upon themselves to make the reckoning happen. I half expected something like this for this group, even though I'm unsure how they would go about it.