I'm cashing out today, I've had enough of it. Wasted so much time reading WSBs and watching YouTube videos.
Managed to get in on the hype last Tuesday after watching the Louis Rossmann video on it @85
Thankfully sold 3 of my shares @445 to cover my initial investment on Thursday before it tanked.
Panicked and bought some of the GS2C on the Frankfurt exchange on the Friday as buying restrictions were in place at the time.
Since then I have slowly seen my £2k profit drop down to about £400 (if the price doesn't tank after today's drama over on WSB)
I feel sick coming out with a profit, must be hard on the people who have lost a lot of money on this.
Rossman makes a great point about billionaires telling average folk to "hold the line". I am quite confident that Mr Musk can hold the line just fine on his own with all that supermoney. No need to hurt yourself to "own the joo hedgefunds" the whole point is redistributing some of that wealth and coming out with a profit.
does anyone actually know how much it costs for melvin to delay their short borrow repayment, people are trowing out ludicrous numbers but its a loan so it wont be that much
obviously they will eat the loss untill it means they lose less buy starting to buy stocks, noway the squeeze was gonna happen at 100+
@FireMaster I honestly think 1/2 of what Musk says on things outside his companies news or progress, on everyday things is to appeal to the 'little people' to stay a relevant everyman hero, and in turn his companies too. Which helps him.
Anytime a new trend/meme/whatever comes up that gets viral enough to make news. He posts support or a meme joke image of it. Minecraft, Doge coin, Covid vaccine, sea shanties, GME.
The joke about mark zuckerberg fits Elon too I think: "What does the average people like? Hmm then I too, will show I enjoy it as well."
-We don't control what happens to us in life, but we control how we respond to what happens in life.
-Hard times create strong men, strong men create good times, good times create weak men, and weak men create hard times. -G. Michael Hopf
Disclaimer: Post made by me are of my own creation. A delusional mind relayed in text form.
Last edited by DXWarlock on Thu, 4th Feb 2021 17:27; edited 1 time in total
u should see what a little baby and scumbag musk becomes when call him out on his populist bullshit and pop his attention whoring bubble, just ask the diver from thailand, mush is a trash human
No one probably cares anymore. The carnival show is over.
But some big firms made a good bit of money off GME, in the exact same way the WSB attack was suppose to stop. They cost the first group money for sure. But all the end result was which ones made the money (And made more than if WSB never did anything).
They sold optioned shares at $300+ to anyone that was rushing to get in on the FOMO on a short, and only paid around $60 for them on a call option after it was over. Making roughly $200 a share selling them to the novice investors that was so desperate to get them.
The very thing they wanted to stop was caused with the WSB pump and dump: The price to go high, then drop like a rock making the new call option investors bank while costing those that bought into the frenzy on the way up to lose anywhere from just fun money, to life savings.
-We don't control what happens to us in life, but we control how we respond to what happens in life.
-Hard times create strong men, strong men create good times, good times create weak men, and weak men create hard times. -G. Michael Hopf
Disclaimer: Post made by me are of my own creation. A delusional mind relayed in text form.
Im actually very confused at HOW people actually believed that this was about honor and glory lol, when i saw this shit on sunday before it really blew up i knew this was a chance to get some quick money under the pressure some hedge fund had dug itself into. I knew it was gonna go up.... then crash down to hell, when? dont know, i wanted to time it, then the subreddit went cult mode and i stayed longer than i should have minimizing my gains. In the end the biggest thing i realized is that i was really hoping for a big big squeeze, but i failed to noticed this was basically a pump and dump riding on the short squeeze, if i had understood i had 140% gain the week it went over 400, i probably would have noticed people were dumping and taking profits and nothing else.
All that shit about hold, etc was very weird, i read all the posts analizing the outcome and it looked good, so i stayed for more gains. But this whole vibe of fighting wall st, fighting the hedge funds etc... ehh well the only fight was to push them to cover and buy my worthless shares for a lot of money.
i gave up last week, tuesday i think, sold and took my small gains and left he subreddit. Im amazed still TODAY you have people chanting hold, hold, buy, its coming, thats shocking to me, the level of la-la-la land these people are living right now is mind blowing to me.
The people still going around saying hold and all that are probably the guys who bought in at 200/300 and are now trying to at least make back what they put in.
From the outside looking in, it's easy for me to say the outcome was obvious, but FOMO is a hell of a drug and I can understand why people who probably didn't know what WSB was about coming in and wanting to stick it to the man or somehow end up making cash.
I think the whole 'revolution' and 'stick it to the rich' narrative is probably going to get used a lot more. It seems to have been very effective in getting people to buy in.
Only winners here are those who got in early and didn't hold, as well as other hedge funds lol.
We should probably invest in the next thing that's supposed to start a revolution and then sell when the going is good, relative to what we put in.
how can someone who onmly has 5k get an email stating they owe 170k ...
Now I agree fully they should not let just anyone do it. That was a horrible decision. And should be restricted to only those that fully understand it before being allowed to agree to attempt it. You don't walk up to the roped off high stakes poker table if today is the first day you seen a deck of cards. But also agree they should not allow you in if you wander in by accident and sit down with your stack of money if you can't explain the rules of the game you are sitting down to.
Also in turn you don't walk off with a loss demanding those tables are illegal as fuck, since you didn't know any the rules of the game. That it should be illegal that people can pull new cards and it fucked you, because all you know is simple texas hold-em with no card options. And concluding that somehow it being too complex for you to understand the rules, means the complexity is clearly there just to obscure nefarious usage to abuse.
I feel its your lack of understanding of how it works (and the good faith purpose and usage of it) that makes you deem it should be illegal. YES some of the ways its used to exploit should be. But it itself is fine and used daily in perfectly innocent and meaningful trades.
He actually had around 16k, he made money. He had promises for $730,165 called to buy, and $746,341 calls the next day to sell at. It is very sad indeed he did not know this or what he had meant, and he lost his life over it.
His contract to purchase shares was called one day, and the option to sell shares was executed the next day. Until everything settles, the value of the account appears negative and in this case. Those who aren’t familiar with the logistics of such trades, or those who misunderstand the information displayed because of no knowledge on what they are getting into take it (as expected) wrong.
What he (incorrectly was allowed to) took part in is perfectly legitimate and a core feature of stock trades for 100's of years since stocks have been around. It's actually one of the many first reasons business value (stocks) trading started.
But to deem it illegal and 'seems shady as fuck' just because you don't know how or why it works is just 'Old man yells at sky" type thing. It's akin to say Hadron Collider is going to make a black hole and kill us all. Because you don't know what it 'is' and its dangerous you hear. Yea it could be if they allowed anyone in to push buttons and crawl inside it..it will probably kill them. It doesn't make it's reason to exist or usefulness purely as a death machine.
-We don't control what happens to us in life, but we control how we respond to what happens in life.
-Hard times create strong men, strong men create good times, good times create weak men, and weak men create hard times. -G. Michael Hopf
Disclaimer: Post made by me are of my own creation. A delusional mind relayed in text form.
One big one I know of is Volkswagen after Porsche bought up nearly all the remaining free float stock.
VW shares rose almost 150 percent after Porsche announced it held stock and options equal to 70+ percent of Volkswagen. Short sellers then scrambled to cover positions.
Investors knew that Porsche was trying to gain sole majority control and expected that once Porsche had achieved control over the company they would try to liquidate it and the stock would likely fall in value far below its tangible value, with them rebuying MORE of the stock that is being dumped to announcement of Volkswagen being merged into them. Creating a situation where they can control nearly 100% of stocks by forcing the price to a point they can buy the rest from people leaving the sinking ship they poked the hole in to start with. Making their own stocks go up in turn.
Short selling comes in, creating a resistance band of perceived real value that Porsche cannot buy under. As they bought in using options at the lower price before Porsche (A major controlling company cannot buy its own stock using put/buy options for that very reason of setting future prices it likes)..setting a lower limit on what they will sell it to Porsche for vs a free fall bottoming.
Going over the 100% stock total (like GME) but for the practical purpose of stopping Porsche from buying anymore, and forcing them to sell what they did buy at over value..creating a self correcting trend balance stopping them from walking off with Volkswagen for 'pennies on the dollar' type of thing. (Not actually pennies on the dollar, but at a huge discount..hope you get the idea).
The best explanation of its practical purpose is this (this is it's intended use and reason for exisiting..but as with anything complex some will find a way to exploit it):
Sometimes longs are blinded by euphoria and optimism and there’s no one to hold these companies feet to the fire. The skeptical lens that short sellers look at a company through often helps present a balanced look at companies, and even sometimes benefits executives that choose to take the advice of potential short sellers.
In addition, it has been short sellers who have often been the “canary in the coalmine” for different stocks, sometimes being the first to telegraph misdoing or fraud at companies. In the past, many short sellers have brought questionable information to the regulators that has led to companies and executives being brought to justice for fraud and crimes that flew “under the radar” as the companies went about business as usual.
When stocks are trading off, short sellers that are covering positions come in and help create a bottom for them. Conversely, when stocks sometimes have artificial run ups on news that doesn’t affect the fundamental outlay of the company’s future, short sellers can come in keep things in reality. Ultimately, this prevents someone from buying at extremely artificial prices and then taking a significant loss. Short sellers can almost be regarded as the “watchdogs” of the market.
-We don't control what happens to us in life, but we control how we respond to what happens in life.
-Hard times create strong men, strong men create good times, good times create weak men, and weak men create hard times. -G. Michael Hopf
Disclaimer: Post made by me are of my own creation. A delusional mind relayed in text form.
in poker, u cant lose more then what u enter the table with, it should be the same
what real world example can u give of its usefullness?
Margin loans which seem to be quiet popular nowdays are imo very risky and dangerous, especially for noobs and it's bad brokers are targetting noobs with this type of trading. Essentially you apply for a margin loan and the broker lends you X $'s to trade, you can then trade as normal using leverage etc., if you are losing money then a margin call can occur where the broker demands additional capital or securities to bring the account up to a minimum maintenace margin. If you fail to meet that call your position is liquidated and now your paying off this asshole loan.
They've made margin loans really easy to apply for and get on the popular exchanges. Essentially saying here gambler/noob have $25K to try your hand on our web trading platform that's missing half the fundamental charting tools to trade, what could possibly go wrong?
CFD's and Forex which do get a bad wrap are in my opinion much better suited for a noob to learn day trading. For a start they often have a demo mode with fake money you can play with for some time. Once you activate an account you can only lose what you put in, you get to learn about charts, indicators, use leverage and come up with a trading strategy.
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