Gamestop

[NitroZ7]

Melvin Capital, the fund that is short GME, will be bankrupt and forced to cover. Their price to cover will be $420.69

Going to be an epic short squeeze this morning when the market opens, in multiple stocks, that might last for a few more days. Probably a once in a lifetime event

I told my son to sell yesterday at 147 but he says he was holding until Friday when it hits $400. A lot of young investors are learning some very dangerous habits. This reminds me of the type of buying in everything .com back in 1999.

[northstar]

Nothing makes sense, I bought some AMC a few weeks back at 3 bucks, but sold a few days later fearing bankruptcy. Just looked pre marked its 19 bucks now. WTF

[boneil]

I told my son to sell yesterday at 147 but he says he was holding until Friday when it hits $400. A lot of young investors are learning some very dangerous habits. This reminds me of the type of buying in everything .com back in 1999.

I saw the Friday thing on reddit. It has to do with options expiring. They believe that due to gamma squeeze, Friday is when the real fireworks happen. There is some truth to that theory. Positions in the options market will have to be closed on Friday as they expire. Market makers will have to be made whole Friday afternoon. But Gamma squeeze can work in both directions. So it should be interesting up or down.

Also. I'm not sure I believe the reports about these funds having already covered their shorts. It just seems too convenient and easy for a fund to call CNBC and claim they covered.

[NitroZ7]

I saw the Friday thing on reddit. It has to do with options expiring. They believe that due to gamma squeeze, Friday is when the real fireworks happen. There is some truth to that theory. Positions in the options market will have to be closed on Friday as they expire. Market makers will have to be made whole Friday afternoon. But Gamma squeeze can work in both directions. So it should be interesting up or down.

Also. I'm not sure I believe the reports about these funds having already covered their shorts. It just seems too convenient and easy for a fund to call CNBC and claim they covered.

And I'm not so sure this is only retail investors on reddit. I would not be surprised if this is being done behind the scenes with computers by another hedge fund or trading firm. They may be posing on reddit as retail but the way this thing is moving seems very quick and sudden with a lot of volume.

[Bassmaster96]

AMC up over 300%, this is absolutely insane. It kind of frustrates me because buying these makes no sense except for a MOMO play/riding a short squeeze....I might do that on some I guess. I know they're going to crash hard at some point though....

[wheelerdealer]

Bought AMC at 6.69 after hours and sold at 15 and change a bit ago. No metrics behind any of this so just took my gains and not looking back. I have 100 shares of BB I am holding for a few to see what happens in the next 24 hours. It's crazy the volume AMC is seeing, 487 MM traded already today.

[boneil]

This is awesome. Retail making money. Hedgefunds loosing billions and CNBC loosing their shit.

Enjoy this while we can

[mxmike]

Gamestop is going to die though. Everyone does digital downloads and we haven't been in a gamestop in years. It will be interesting to see how long this lasts. It is at least entertaining. Time to find the next company with big short interests and buy some shares before they run it up

https://www.highshortinterest.com/

[NitroZ7]

I wonder if the broader market is being pulled down by hedge funds and others selling their other positions to meet their margin requirements.

[boneil]

I wonder if the broader market is being pulled down by hedge funds and others selling their other positions to meet their margin requirements.

yes.

All it takes is one hedge fund to get into trouble and be forced to sell their longs to cover their short margin requirements. It happens about once a year, but doesn't make the news because it's short lived. Usually its one fund and the selling happens for an hour or two in the morning and the market recoups by mid day. But now, we have multiple funds.

[boneil]

The lounge is talking about...............top?????

[NitroZ7]

I just sold a put on NVDA and two on Pepsi. Maybe we can pick up some stocks through all of this. The old mans way to play the blowup

[derek81]

GME has made my month, got in around 100 yesterday then out afterhours around 200 then back in this morning at 240 something and out again at 345.... :) Problem is Schwab's trading platform went down several times today so I am out for good, made mine and I am keeping it!

[NitroZ7]

I can't wait to see the movie they make about this if it blows up a few big funds.

[apenland01]

I had problems with my Schwab account back when I was trying to unload my big oil stocks a couple months ago. I figure it probably cost me 3-4% by the time I got logged in and could sell my positions....

[boneil]

I'm really surprised how well the stock is holding up at these prices. I thought there would have been a spike and then sell off. Thats not good for the shorts

[haftafish22]

From my understanding the stock was still 130% short as of yesterday. Basically, there are no shares to short more, so they have to cover wherever. This may not be done until Friday afternoon....

[Darksiede]

From my understanding the stock was still 130% short as of yesterday. Basically, there are no shares to short more, so they have to cover wherever. This may not be done until Friday afternoon....

%138 today after market close... a few rounds of shorts come due tomorrow and the rest on Friday.. it's going to be glorious...

https://www.highshortinterest.com/

[rds_nc]

I saw the Friday thing on reddit. It has to do with options expiring. They believe that due to gamma squeeze, Friday is when the real fireworks happen. There is some truth to that theory. Positions in the options market will have to be closed on Friday as they expire. Market makers will have to be made whole Friday afternoon. But Gamma squeeze can work in both directions. So it should be interesting up or down.

Also. I'm not sure I believe the reports about these funds having already covered their shorts. It just seems too convenient and easy for a fund to call CNBC and claim they covered.

Is there a special time that they have be covered by? Or just the end of the trading day?

[Darksiede]

Is there a special time that they have be covered by? Or just the end of the trading day?

Some start coming "due" tomorrow at close, the rest Friday.. they have to cover at all costs at that point.. and boy is it going to be a cost! Melvin did NOT sell his shares because it's actually up 2% on the short today (136->138) They are buying to cover and still buying shorts betting WSB bails on it..
Think Johnny Cash had a song about this- "The burning ring of fire"