GameStop Rebellion: Retail Traders Take on Wall Street Hedge Funds

[Niall]

Hilarious activity on the US stock market this week. In 2016 we had 'meme wars', in which 'meme magic' (possibly!) affected the outcome of a presidential election. In 2021, 'targeted meme stocks' are causing Wall Street vulture funds to lose billion$!

What Is Going on With GameStop? Meme Stocks Explained

Thanks to some financially savvy Redditors, and a push from Elon Musk, a number of flailing companies, including GameStop, are having a great week on the stock market. Here's what you need to know.

www.pcmag.com

 

[NormaRegula]

Hilarious activity on the US stock market this week. In 2016 we had 'meme wars', in which 'meme magic' (possibly!) affected the outcome of a presidential election. In 2021, 'targeted meme stocks' are causing Wall Street vulture funds to lose billion$!

What Is Going on With GameStop? Meme Stocks Explained

Thanks to some financially savvy Redditors, and a push from Elon Musk, a number of flailing companies, including GameStop, are having a great week on the stock market. Here's what you need to know.

www.pcmag.com

I know 2 individuals who purposely bought GameStop stock knowing full well they would lose their money. But sticking it to the Hedge Fund Guys was worth it from a purely entertainment point of view.

 

[psychegram]

Hilarious activity on the US stock market this week. In 2016 we had 'meme wars', in which 'meme magic' (possibly!) affected the outcome of a presidential election. In 2021, 'targeted meme stocks' are causing Wall Street vulture funds to lose billion$!

What Is Going on With GameStop? Meme Stocks Explained

Thanks to some financially savvy Redditors, and a push from Elon Musk, a number of flailing companies, including GameStop, are having a great week on the stock market. Here's what you need to know.

www.pcmag.com

The memes from this are already quite glorious.

 

[Miracle]

Hilarious activity on the US stock market this week. In 2016 we had 'meme wars', in which 'meme magic' (possibly!) affected the outcome of a presidential election. In 2021, 'targeted meme stocks' are causing Wall Street vulture funds to lose billion$!

What Is Going on With GameStop? Meme Stocks Explained

Thanks to some financially savvy Redditors, and a push from Elon Musk, a number of flailing companies, including GameStop, are having a great week on the stock market. Here's what you need to know.

www.pcmag.com

Fascinating. So, if I understand this correctly a Reddit group banded together to buy a huge amount of Gamestop stocks simply to tank the value of hedge funds that were betting on Gamestop's collapse? That is utterly hilarious and intriguing. That article did not seem to indicate that such activity was illegal and if it is not, I wonder if Reddit targeted attacks against hedge funds will continue?

 

[NormaRegula]

Fascinating. So, if I understand this correctly a Reddit group banded together to buy a huge amount of Gamestop stocks simply to tank the value of hedge funds that were betting on Gamestop's collapse? That is utterly hilarious and intriguing. That article did not seem to indicate that such activity was illegal and if it is not, I wonder if Reddit targeted attacks against hedge funds will continue?

From what I understand it may have started on Reddit and the Chans when members noticed the game being played by the Hedge Fund companies, notably Melvin Capital, Citron, and Point72. It then went to other like-minded forums with persons deciding to buy a bit of stock - knowing they would most likely lose their investment, but not their purpose - and it snowballed into what is being reported today. The 3 companies I noted have already got their PR People spinning as fast as they can. This Friday should be interesting as that is when the short call expires.

According to someone I know who is into the Stock Market, this is not illegal. The Big Boys do it to destroy companies they want out and to make money from the failure. Having a whole lot of small investors pull off a short squeeze as this is called is not so common.

 

[Niall]

Fascinating. So, if I understand this correctly a Reddit group banded together to buy a huge amount of Gamestop stocks simply to tank the value of hedge funds that were betting on Gamestop's collapse? That is utterly hilarious and intriguing. That article did not seem to indicate that such activity was illegal and if it is not, I wonder if Reddit targeted attacks against hedge funds will continue?

It's perfectly legal. It is, after all, precisely what hedge finds do. But here the shoe is on the other foot! The sub-Reddit 'Wall Street Bets' got wind of stocks the funds were shorting - 'betting' that the stock would fall in value by setting it up to deliberately fall in value - then coordinated a 'rally' to buy stocks of Gamestop (and some other funds' targets), which sent the share prices up, forcing hedge funds to make massive pay-outs! One fund even had to get a massive short-term loan to avoid bankruptcy.

The media is currently churning out content about 'this reckless gambling by irresponsible investors', thus leaning on political leaders to 'do something to stop it'!

Here's Tim Pool with more:

 

[Woodsman]

It's perfectly legal. It is, after all, precisely what hedge finds do. But here the shoe is on the other foot! The sub-Reddit 'Wall Street Bets' got wind of stocks the funds were shorting - 'betting' that the stock would fall in value by setting it up to deliberately fall in value - then coordinated a 'rally' to buy stocks of Gamestop (and some other funds' targets), which sent the share prices up, forcing hedge funds to make massive pay-outs! One fund even had to get a massive short-term loan to avoid bankruptcy.

The media is currently churning out content about 'this reckless gambling by irresponsible investors', thus leaning on political leaders to 'do something to stop it'!

Here's Tim Pool with more:

How much stock does GameStop own in their own company? Imagine what they could do with a billion extra dollars.

Warhammer theme park? Big budget streaming franchise?

What a clown world idea! -And quite in keeping with the lunatic thrashing around of a dying empire. (Are you familiar with the Warhammer story universe? It's utterly insane as sci-fi worlds go.)

The Roman empire similarly sounded like a complete nut house in the final years of their decline.

 

[A Jay]

Well, that didn't last long.

Discord has just banned the WallStreetBets server (the subreddit has also been made private) on the grounds of "hate speech, glorifying violence, and spreading misinformation". A Discord spokesperson made sure to point out that this ban had absolutely nothing at all to do with a bunch of average joes sticking it to the billionaire class of leeches while making a killing in the process.

Right, and I'm the President Elect.

https://twitter.com/x/status/1354593404043354113

 

[Miracle]

Discord has just banned the WallStreetBets server (the subreddit has also been made private) on the grounds of "hate speech, glorifying violence, and spreading misinformation". A Discord spokesperson made sure to point out that this ban had absolutely nothing at all to do with a bunch of average joes sticking it to the billionaire class of leeches while making a killing in the process.

And in turn gave the 'WallStreetBets' movement a ton of free advertising... which in turn will likely make such activity more popular and coordinated... You know maybe this won't be such a bad show to watch after all!

Fighting clownery with clownery!

From years back:

 

[Joan]

This is going round, how a bunch of Gamers rigged the the financial system, and brought a hedge fund to bankruptcy.

https://www.rt.com/https://www.rt.com/op-ed/513839-gamestop-reddit-wallstreet-panic/op-ed/513839-gamestop-reddit-wallstreet-panic/

Makes me think, for those with personal interests. With and ideological bent, can bring a financial institutions to it's knees halting trading on the stock exchange, in fact it was a blackout. A hedge fund, was brought to bankruptcy, in a matter of days.

GameStop saga exposes deep hypocrisy from elite investors and proves US financial market is detached from reality

The destruction of a short-selling hedge fund by investors on Reddit was a formidable display of people power. It exposed the US stock market’s feet of clay – and the panicked elites are sure to retaliate.

www.rt.com

So if a few gamers, can halt trading on the stock exchange, this to my mind is why, or one of the reasons, we are now seeing all this domestic terrorism in the US being thrown around to prime the public. And let us not forget the the events of January 6th.

There is nothing more that psychopaths hate in, their feeding frenzy to grab all the money and resources on the planet, than plebs, showing intelligence, and beating them at their own game. I thought this was spectacular.

 

[Joan]

Strangely, no report of Zero hedge LOL. At least what I can find, could be wrong.

 

[A Jay]

And in turn gave the 'WallStreetBets' movement a ton of free advertising... which in turn will likely make such activity more popular and coordinated... You know maybe this won't be such a bad show to watch after all!

Good point, and I didn't even think about this point made by Tim Poole about people soon receiving their newest stimulus checks and possibly joining in to rally other stocks in a similar manner:

https://twitter.com/x/status/1354498517365116933

This could get spicy!

 

[Joan]

More interesting background from RT, of how and and why, this was was instigated, just some gamer guys, that had loyalty to an ideology, in fact made made thousands of dollar in the process,

NASDAQ temporarily shuts down stock trading after internet trolls destroy hedge fund with GameStop stock

The NASDAQ has paused trading after internet “degenerates” spotted Wall Street gearing up to make a killing, beat the traders at their own game, and got filthy rich while destroying the US’ top hedge funds. Buckle up.

www.rt.com

In fact that is what reality is made upon, in this pseudo reality we are living in.

 

[dredger]

Well, that didn't last long.

Discord has just banned the WallStreetBets server (the subreddit has also been made private) on the grounds of "hate speech, glorifying violence, and spreading misinformation". A Discord spokesperson made sure to point out that this ban had absolutely nothing at all to do with a bunch of average joes sticking it to the billionaire class of leeches while making a killing in the process.

Right, and I'm the President Elect.

This whole story is hillarous
The actual war of the elites vs the people just extended to a domain the elites did not probably expect
Now they (elites) react like the thieves who were stolen by other playing the same game than them, and coming from gamers they probably despise (well, in fact they despise everybody ^^), they are probably furious.

From the discord ban, we can add a new "corrupted" company on the list, or at least, this company did not resist long to pressure. They'll pay for that - at least they are not on the market, just verified, it's a private company.
I was wondering what Gamestop is going to do with som much money in their hand ? Could it be the start of ... a mass lesson many learnt just now that, if many people unite, they can buy back any company they want ? (or almost)

Side funny note : some gamers spent so much time on management games, where you have to do your best to win versus IA, and at latest "stages" of the game (or level), it's usual that the IA starts with an advantage, which sometimes is huge. What about if such gamers found that it was more fun now to use their well learnt skills in real life, by adding the "networking" parameter in the scope (sentences like "together we're strong", or simply cooperation - btw i love co-op games :)

For french speaking people, found a recent article explaining what happened, here's the link.
Pretty sure that it's the start of a new form of resistance, i wonder how the PTB is going to react. As Niall said, it's legal, but we know all how they act, they'll try to adapt rules to remain the lone to steal the others, they are probably already thinking how to stop this.

Another hot intrigue in this new 2021 season, what a show !

 

[Hindsight Man]

I remember a while back some internet yahoos figured out that it doesn't take 180IQ to be a day trader and made a bunch of money so Elisabeth Warren passed a law saying that you have to have at least 25k to be a day trader to prevent plebs from making dosh.
I suspect a new law will be passed as a result of this because the kvetching has been swift and immediate with anyone caught in the ''screw the hedge funds'' movement being called a white supremacist.