Robinhood

[NATI BENGALS]

(12-17-2020, 01:58 PM)fredtoast Wrote: The only time in my life when I bought lottery tickets was when I was flat broke.  I never bought piles of them like some people do but I did buy them.

Can’t remember where I heard it. But I’ve heard the lottery called the poor tax. And that always stuck with me.

[Au165]

Worth bringing this up again in light of the GameStop craziness. A lot of people are claiming this is because of Robinhood combined with Wall Street Bets (Which I told you guys about here). While that is part of it, the other part is that the GameStop stock was "naked". Basically institutions had shorted more shares of the stock than were actually available, something that should never be able to happen. Noticing this, some people started pushing retail buyers to buy it knowing that a short squeeze would occur of epic proportions. This led to a snowball effect and now you are hearing about investigations and legislation.

The reality though is this all wasn't because of WSB or Robinhood, in fact Citadel Capital paid Robinhood to get their order streamed to them a fraction of a second early allowing them to play in front of all retail trading. Citadel made a killing then used that money it made off this run up to buy part of the Market Maker who was caught in the short squeeze. While this will all get blamed on retail investors big institutions have are far more culpable in this than we are being led to believe.

[CKwi88]

(01-27-2021, 03:12 PM)Au165 Wrote: Worth bringing this up again in light of the GameStop craziness. A lot of people are claiming this is because of Robinhood combined with Wall Street Bets (Which I told you guys about here). While that is part of it, the other part is that the GameStop stock was "naked". Basically institutions had shorted more shares of the stock than were actually available, something that should never be able to happen. Noticing this, some people started pushing retail buyers to buy it knowing that a short squeeze would occur of epic proportions. This led to a snowball effect and now you are hearing about investigations and legislation.

The reality though is this all wasn't because of WSB or Robinhood, in fact Citadel Capital paid Robinhood to get their order streamed to them a fraction of a second early allowing them to play in front of all retail trading. Citadel made a killing then used that money it made off this run up to buy part of the Market Maker who was caught in the short squeeze. While this will all get blamed on retail investors big institutions have are far more culpable in this than we are being led to believe.

I made my pennies on GME (threw 1k at it yesterday and sold at open), but someone has easily made millions with this manipulation.

This needs to be investigated. It's absolute madness

[Au165]

(01-27-2021, 03:52 PM)CKwi88 Wrote: I made my pennies on GME (threw 1k at it yesterday and sold at open), but someone has easily made millions with this manipulation.

This needs to be investigated. It's absolute madness

It's really not so much manipulation as it was catching institutional short sellers with their pants down.

I am up 80% today in NAKD, it's another overshorted stock, obviously not in the same realm as GME as that was historical and won't happen again in our lifetime.

[CKwi88]

(01-27-2021, 04:15 PM)Au165 Wrote: It's really not so much manipulation as it was catching institutional short sellers with their pants down.

I am up 80% today in NAKD, it's another overshorted stock, obviously not in the same realm as GME as that was historical and won't happen again in our lifetime.

I wanted to look into other highly shorted stocks as I'm sure there will be a bunch of people looking for "the next GME".

Alas, I actually had work to do

[Au165]

(01-27-2021, 04:37 PM)CKwi88 Wrote: I wanted to look into other highly shorted stocks as I'm sure there will be a bunch of people looking for "the next GME".

Alas, I actually had work to do

I am out with COVID so making the best out of a Pandemic I guess.

[HarleyDog]

I got in late on this. I didn't invest much so we will see what happens. Bought NAKD, GME, NOK, and AMC.

[HarleyDog]

(01-27-2021, 03:52 PM)CKwi88 Wrote: I made my pennies on GME (threw 1k at it yesterday and sold at open), but someone has easily made millions with this manipulation.

This needs to be investigated. It's absolute madness

It was up over 300% at open. Good job because it fell in the hundreds.

(01-27-2021, 04:15 PM)Au165 Wrote: It's really not so much manipulation as it was catching institutional short sellers with their pants down.

I am up 80% today in NAKD, it's another overshorted stock, obviously not in the same realm as GME as that was historical and won't happen again in our lifetime.

I bought NAKD at 2pm today. I'm up 138%. But I didn't invest much TBH. I only invest what I wont shake my head at losing.

[Sociopathicsteelerfan]

(01-27-2021, 04:15 PM)Au165 Wrote: It's really not so much manipulation as it was catching institutional short sellers with their pants down.

I am up 80% today in NAKD, it's another overshorted stock, obviously not in the same realm as GME as that was historical and won't happen again in our lifetime.

This x1,000.  The cracks in the hedge fund game were found and exploited.  This is the kind of activism I can be 100% behind.

[Belsnickel]

(01-28-2021, 01:40 AM)Sociopathicsteelerfan Wrote: This x1,000.  The cracks in the hedge fund game were found and exploited.  This is the kind of activism I can be 100% behind.

Pretty much. I mean, I have lots of problems with the NYSE in general, the culture of Wall Street and day trading, etc. But who doesn't like a David and Goliath type story where the big guys get ****** over by the little guys?

Edit: Just saw this on Reddit and I think it sums up my attitude pretty well.

[HarleyDog]

(01-28-2021, 01:40 AM)Sociopathicsteelerfan Wrote: This x1,000.  The cracks in the hedge fund game were found and exploited.  This is the kind of activism I can be 100% behind.

Agreed. Overall, my portfolio yesterday lost big (for me anyway). These funds had to take positions out of other stocks to cover GME which caused quite a few large drops in my portfolio. Plus it rattled the market in general. Even though I had the biggest 1 day loss ever, I was excited watching this unfold and felt happy for those people who were changing their lives.

I put a little bit in the 4 stocks mentioned in the Reddit forum wallstreetbets in hopes of recouping some of the losses I had yesterday. I don’t understand options and margin trading so I don’t have a chance of doing much but recouping some losses. Yet again I am so happy for those who making it big. It’s not only a few either. That message board chat room has over 2m members.

This makes me wonder what changes will be made to the market in general after the smoke clears?

[Au165]

They, along with other platforms, have now stopped allowing buying of these stocks. They will let you sell but not buy essentially tanking the market on them. How can you sell if no one can buy? Well that's because institutions can buy! yep, they are allowing the institutional short sellers to cover by blocking retail from driving up the price.

Wall street always wins.

[Belsnickel]

(01-28-2021, 11:28 AM)Au165 Wrote: They, along with other platforms, have now stopped allowing buying of these stocks. They will let you sell but not buy essentially tanking the market on them. How can you sell if no one can buy? Well that's because institutions can buy! yep, they are allowing the institutional short sellers to cover by blocking retail from driving up the price.

Wall street always wins.

It's almost as if the system is rigged to favor the wealthy elite insiders.

[Au165]

(01-28-2021, 11:40 AM)Belsnickel Wrote: It's almost as if the system is rigged to favor the wealthy elite insiders.

This will be a huge moment in history. You are seeing people from both sides politically coming together, including congress members, to question how this could be legal. Who would have guessed that what the country needed to unite us was Gamestop?

[Goalpost]

I mean this is kind of what happened with Tesla isn't it. People covering their shorts.

[Au165]

With the market flooded with sell orders since people can't buy Gamestop and most others impacted by this run have been decimated. Tons of people lost a bunch of money in order to protect large institutional investors.

[Au165]

Who had Ted Cruz and AOC in full agreement on anything on their apocalyptic bingo card?

Fully agree. ? https://t.co/rW38zfLYGh

— Ted Cruz (@tedcruz) January 28, 2021

[HarleyDog]

(01-28-2021, 02:11 PM)Au165 Wrote: Who had Ted Cruz and AOC in full agreement on anything on their apocalyptic bingo card?

Fully agree. ? https://t.co/rW38zfLYGh

— Ted Cruz (@tedcruz) January 28, 2021

Well, Almost.

[SunsetBengal]

(01-28-2021, 07:50 PM)HarleyDog Wrote: Well, Almost.

Whelp, so much for all of those calls for "unity"..  

[Au165]

It honestly looks more like a liquidity move now. The system was not built for the volume and having to cover for two days at the clearing house has caused brokerages to be scared they'd be stuck broke. Thomas Peterffy of Interactive Broker was on TV basically admitting he shut down trading of these stocks to protect himself and the middle men. He went on to say that they will allow buying when prices go back to normal, this was after laughing at the price and saying that's not normal.

Yes, that is as insane as it sounds. You have the Chairman of a brokerage telling a live audience HE decides what is a fair price for a stock and he will tell retail investors when they can buy it. He also noted that he doesn't think Short Squeezes should be allowed and noted the calls tomorrow as another reason why he needed to protect the "market". If you are wondering what all this means...

WE HAVE A LIVE VIDEO TAPED ADMISSION OF MARKET MANIPULATUIN!