I mean it went up to $500 at one point for a bit. But I think that people had a lot of autosells around that point. It stabilized fairly well today, so it could still go to the moon as long as people hold the line, it's just clear that not everyone held the line and that there was some manipulation through high frequency short selling by the hedge funds to drive the price down. But as of right now, the hedge funds are still bleeding tremendously and gamestop has tons of capital with which to make returns with if they utilize it wisely. So as long as people don't sell, it could stay this high for a long while or grow higher.
If we actually had a government that cared a damn, there would be tons of people in prison right now, from the hedge funds to robin hood and others. It's obvious as hell what they did, they exposed themselves in a moment of panic.
And it wasn't just the one hedge fund that are hurting, because they banded together to borrow from other hedge funds to cover their losses, and those other hedge funds are going to want their money back eventually. They were still hoping (and maybe still are) they could get it to drop to what they wanted previously and ultimately get their way. But I think that's out of the window right now.
Even if people think it's over, it's not, and if they want to sell, they shouldn't out of spite. This is the quiet before the storm. Just sit on it and hold (buy more even!)....because there could very well be a round two coming up where the value climbs astronomically. Better to wait for that than to sell at a loss or for a slight gain. Keep in mind, they short sold more stock than the market had, so the hedge funds still actually need to buy your stock back, and they'd rather do that as low as possible.
That's why they say there is no limit to the losses, because they lose more and more every. single. day. that people hold and don't sell. They got caught with their pants down. Right now they're borrowing on top of borrowing to pay off the borrowing, It's easy to see where that leads. Eventually the final checks going to come due. Not if, but when.
This doesn't just cost the hedge funds, it also makes them unable to operate their other schemes too. And it's going to make these hedge funds think twice about all the other schemes they have going at the moment that will be vulnerable.
You do know companies hold a position on themselves? Ever heard of stock buy backs? Yeah. They buy and sell themselves as needed for various reasons or necessities. Also, they usually do it by “exercising options”
I mean it went up to $500 at one point for a bit. But I think that people had a lot of autosells around that point. It stabilized fairly well today, so it could still go to the moon as long as people hold the line, it's just clear that not everyone held the line and that there was some manipulation through high frequency short selling by the hedge funds to drive the price down. But as of right now, the hedge funds are still bleeding tremendously and gamestop has tons of capital with which to make returns with if they utilize it wisely. So as long as people don't sell, it could stay this high for a long while or grow higher.
If we actually had a government that cared a damn, there would be tons of people in prison right now, from the hedge funds to robin hood and others. It's obvious as hell what they did, they exposed themselves in a moment of panic.
And it wasn't just the one hedge fund that are hurting, because they banded together to borrow from other hedge funds to cover their losses, and those other hedge funds are going to want their money back eventually. They were still hoping (and maybe still are) they could get it to drop to what they wanted previously and ultimately get their way. But I think that's out of the window right now.
Even if people think it's over, it's not, and if they want to sell, they shouldn't out of spite. This is the quiet before the storm. Just sit on it and hold (buy more even!)....because there could very well be a round two coming up where the value climbs astronomically. Better to wait for that than to sell at a loss or for a slight gain. Keep in mind, they short sold more stock than the market had, so the hedge funds still actually need to buy your stock back, and they'd rather do that as low as possible.
That's why they say there is no limit to the losses, because they lose more and more every. single. day. that people hold and don't sell. They got caught with their pants down. Right now they're borrowing on top of borrowing to pay off the borrowing, It's easy to see where that leads. Eventually the final checks going to come due. Not if, but when.
This doesn't just cost the hedge funds, it also makes them unable to operate their other schemes too. And it's going to make these hedge funds think twice about all the other schemes they have going at the moment that will be vulnerable.
How does GameStop realize the capital?
You do know companies hold a position on themselves? Ever heard of stock buy backs? Yeah. They buy and sell themselves as needed for various reasons or necessities. Also, they usually do it by “exercising options”
That’s called Treasury Shares
https://en.wikipedia.org/wiki/Treasury_stock