1. GhostLatte

    GhostLatte GBAtemp's Official Van Master™
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    Don’t be like Melvin Capital all the homies hate Melvin Capital
     
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  2. Jayro

    Jayro MediCat USB and Malwarebytes Bootable Developer
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    What does that even mean?

    Anyways, you should watch Camelot331's youtube videos about gamestop. He has someone pretty high up on the inside, sending him inside information and recording meetings and sending them to him. He's got all kinds of juicy dirt on the company, and many MANY horror stories, as he worked for them for over 10 years.
     
    Last edited by Jayro, Jan 27, 2021
  3. MikaDubbz

    MikaDubbz GBAtemp Advanced Maniac
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    The guys behind the /r/wsb subreddit are saying that Blackberry is next. Don't know how true that is, but with stock around $20 each and some extra money in my account for once, I'm seriously considering gambling about $1,000 on their stock, and I'm aware it is indeed a gamble, no guarantee something like this is about to repeat itself at all, as this isn't normal at all, but I'm willing to take the risk.
     
  4. Jayro

    Jayro MediCat USB and Malwarebytes Bootable Developer
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    I like the idea of stock market raids like this, but just know that it IS a form of "insider trading", and that martha stewart went to prison for it. Just be careful.
     
  5. GhostLatte

    GhostLatte GBAtemp's Official Van Master™
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    I suggest you watch the video I linked
     
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  6. Gamemaster1379

    Gamemaster1379 GBAtemp Advanced Fan
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    This is literally not insider trading. That implies somebody within Blackberry has confidential information and is trading with knowledge the public does not have.

    In this case, the public has no Blackberry knowledge. They're simply rallying around an idea.

    Now, if you intentionally mislead the public in such a way, saying that Blackberry is releasing or doing something they are not -- in an attempt to raise their price -- that is manipulation and absolute fraud. That'll get you crucified by the SEC.

    But what's going on here is neither insider trading nor fraud. It's literally a bunch of people rallying around the idea of "I'M GOING TO BUY A BUNCH OF STOCK AND THE NUMBER IS GONNA GO WAAAAAY UP". "Foolish trading" doesn't violate SEC regulations and is basically what's going on with AMC (and BB too, but AMC seems to be the real rally at the moment).

    In the case of Gamestop, it was a double whammy since someone identified large hedge funds shorting the stock with no ceiling, and shorting more stock than what's available on the public market.

    What's hilarious about Gamestop is its price is 100% detached from it at this point. Gamestop isn't even relevant in what's going on anymore. It's just a stomping ground of the masses BTFOing hedge funds.
     
  7. xdarkx

    xdarkx GBAtemp Advanced Fan
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    Melvin Capital are just as bad as Gamestop themselves but in a different way. They are short sellers that preys on companies that are not doing well, and are betting a lot of money on this very notion to profit out of it. They would do everything they can to drive the companies' stock price below what the companies actual stock are actually worth.

    Also, you don't need to tell me to watch Camelot331's videos. I have watched a couple in the past already. You should, however, check other videos about Gamestop stock (ie. not Camelot331's videos) as well.

    Here's another video I suggest you to watch
     
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  8. Valery0p

    Valery0p GBAtemp Fan
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    Stock trading: gambling except a lot more people are bound to loose everything.
     
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  9. GhostLatte

    GhostLatte GBAtemp's Official Van Master™
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    Don’t invest what you can’t lose
     
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  10. MarkDarkness

    MarkDarkness Nocturnal
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    COVID is way ahead of you. Several dangerous variants showing up all over the globe, not just UK. The Brazilian strand looks """promissing""". Reinfection rates going up as well.
     
  11. cisADMlN

    cisADMlN Newbie
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    Im jn for 50 at $50 and im never leaving until my home is paid off
     
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  12. Andy2001

    Andy2001 Advanced Member
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    Microsoft came in clutch!
     
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  13. CallmeBerto

    CallmeBerto The Lone Wanderer
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    stonks only go up!!!
     
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  14. hamohamo

    hamohamo GBAtemp Regular
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    And that, boys, is what we call the reggie effect.
     
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  15. MikaDubbz

    MikaDubbz GBAtemp Advanced Maniac
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    Jesus its right at about 300 right now. Of course its after hours so it may not open that high, but holy shit, that's insane, people are becoming multimillionaires off this shit.
     
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  16. Foxi4

    Foxi4 Cynical Absurdist
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    The concept of "price" goes out the window when you're obligated to cover your bad call and there simply isn't enough stock available to do so. Wall Street made a bet that GameStop's stock is going to crash this month and borrowed stock from Market Makers at an average price with the expectation that they will return it later once it tanks and pocket the change - that's how they make money. There's nothing wrong with doing that if it happens naturally, but you can trigger such an event artificially if you have enough volume, which they did.

    There's only one problem - retail traders bought the stock in droves and the price shot up instead. Once there is simply no more stock available for hedge funds to buy, at an inflated price or not, the amount of zeroes after $1 is up to your imagination - they have to buy it back regardless. If the price continues to hover at $60, we'll see another short squeeze and the price will shoot up again. If it maintains a level of $115 or higher, we're in full on gamma squeeze simultaneously, which is unprecedented.

    From Wall Street talk to human talk, there isn't enough stock available to buy back and return, and there isn't enough capital in the market to cover the difference either, so that $300 can quickly change into $1000 for no reason other than scarcity. For a short blip GameStop's stock might end up costing more than the cure for cancer, and after the blip, once positions close, it will return to previous levels. A similar situation occurred with Volkswagen during the previous financial crisis.

    https___d1e00ek4ebabms.cloudfront.net_production_0039b913-b126-4d66-a9e7-d32c35937152_FINAL (1).png

    https://www.ft.com/content/0a58b63a-4294-3e07-8390-c3aabef39a26

    This situation is entirely Wall Street's doing, they're at fault for failing to manage their own risk. If I open a store, say that I have 10 PS5's for sale and sell them, knowing full-well that I won't be able to deliver more than 5 to customers by the due date, I am taking a risk. I am assuming that I'll be able to buy another 5 on the open market, preferably for a price lower than my asking price. If I don't do that by the due date and I have 5 customers angrily knocking at my door because I pocketed their money and they have nothing to show for it, that's on me. I'll have to deliver those 5 PS5's regardless of how much they are on eBay - I already had my payday, I was hoping that they'll be available cheaper later. They aren't, tough luck.
     
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  17. Arras

    Arras GBAtemp Guru
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    It's even "better" than gambling because depending on what you do, you can lose more than what you invested.
     
  18. CallmeBerto

    CallmeBerto The Lone Wanderer
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    Options baby!!
     
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  19. Foxi4

    Foxi4 Cynical Absurdist
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    Infinite risk? Infinite possibility of loss! :lol:
     
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  20. Glyptofane

    Glyptofane Death Dealer
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    Kind of the same here. I noticed spillings over of this plan into other subs on reddit long before it was actually happening, but didn't really understand what any of it actually meant. Oh well, we probably still would have messed it up and lost a bunch of money.
     
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