The Dolphins Make Me Cry.com - Forums

If you are unfamiliar with what's happening, read up on it.  It's crazy.

I think that we are in uncharted waters as to how this will end.

It will end with some people losing an awful lot of money.

Just another way to manipulate the market. If you're rich it's ok. Pelosis, purchased 1 million dollars worth of Tesla the day before Biden starts his environmental push. He also is slated to cut other major deals that Tesla stands to benefit from. His administration is expected to lift the cap on sales, giving buyers tax credits again, which in turn becomes an advantage for the car maker. The President has suggested programmes that could incentivize customers for trading in used vehicles towards the purchase of an electric vehicle.

I don't think Pelosi is the only one and fully expect some Republicans did too. She's just the only name I've heard.

Personally I think all elected officials should have a blind trust like what Obama did or just invest in index funds. 

But because facts matter.

The purchases were made in December the disclosure form was released the day before he made his environmental push. 

One does not need inside information to predict that alternative energy companies will do better under Biden than under Trump.  So I would expect lots of people would be said stocks post election.  That is why those stocks have been rising steadily since the election. 

The problem many of us had with the stock sell off by senators in Feb/March wasn’t merely that they sold the stock but 1. they knew covid was going to be bad.  2. they lied to the American people that it was going to be no big deal AND 3. sold the stock.  I have zero problem with any senator/rep  who was both publicly telling everyone the pandemic is worse than is being reported and was selling stock.

Publicly saying X and doing Y, is different than saying X and doing X.  Lets not conflate the two.

My uncle bought more Tesla stock than that about a week ago for the same reason. Anyone with half a brain could have seen that coming... I also like how you just use "Pelosis" in there...in a vague misleading way of suggesting some impropriety from Nancy...when her husband is actually a professional stock trader.

Your trolling, while never really very impressive, has become straight-up pathetic at this point.

Wasn't trolling at all. i just failed to realize you could understand a legitimate concern. I also said I'm sure Republicans did it too further proving I was not trolling liberals. In the real world we all know that she knows what hubby is doing and they talk all the time. To pretend that doesn't happen is just silly.

Just to catch the unaware up on what is happening:

(https://pbs.twimg.com/media/EsyCbecW8AgBP4-?format=jpg&name=medium)

As for my opinion: I don't really care for either of the groups involved (hedge funds or nihilist Redditors), so I think I'm just going to root for injuries.

I don't either but I have to believe there was more involved than just your average redditor. That's a lot of money.

We have some stock but it isn't going to make us rich.

RobinHood just got hit with a class action lawsuit from it's users for preventing them from buying or selling the stocks at the heart of this whole thing. Obviously, that's illegal and they will have to settle or something.

So the hedge fund takes big losses, goes bankrupt, but what is left is stock that is way over valued. And for the common people that now own it if they don't get their money out fast enough they are also going to lose large sums of money, especially if the hedge fund was right in their bet to short the stock in the first place.  There are always a lot of greedy people that don't want to sell because they think it is going to keep going up.

The only way they would lose money is if they bought it after the Reddit inflation (i.e. not because they believe in the value of the company itself).  Those people will get what they deserve.

The real brass balls move is to short Gamestop now, because when that bubble pops it will pop BIG.  But as the famous saying goes, "The market can stay irrational longer than you can stay solvent."

My primary concern now is that when these reddit bubbles pop, many of these boosted companies (Gamestop, AMC Theaters, BlackBerry, Bed Bath & Beyond, etc.) will actually be driven out of business due to the collapse of their stock (as it falls well below the pre-boost price).

The r/WallStreetBets subreddit has 2.5 million subscribers.

If I was going to make a play, buy cheap very far out of the money 1 year put options.  Here is my thinking the stock could increase 5 fold over the short term (squeeze and bankrupt me too) but within a year it is going back to being almost worthless once the bubble bursts.  Buying put options unlike short selling has finite losses.

This is such a weird issue, because the coalition of people who support the Redditors is just an odd bunch: AOC, Ted Cruz, Don Jr., Elon Musk....it's like both ends of the spectrum...

This probably shouldn't be able to happen and, though I like that the redditors are sticking it to the hedge funds, this is collusion and market manipulation.  I realize that the hedge funds have been doing it, too...that's the problem.  From all of this, I hope that's the outcome -- that the scheme isn't allowed to occur from the hedge funds in the future.  But you also can't have collusion barkrupting fortune 500 companies.  Fuck the hedge funds, though.  They've been stealing from us forever, so I go no problem with them taking their lumps.  It's not a true free-market, though.  I don't know the answer, but we have to find a way to quell this kind of thing from being the norm.

There is a little bit of question about what happens when they owe more in the buyback than value of their company.  I get that they go bankrupt, but what happens with the people that shorted the stock?  They just get whatever portion is owed to them that can be gotten in bankruptcy and the free-market revaluates the stock?  I guess that's the plan.  At some point, GME must crash.  It's just a matter of when.

What Robinhood is doing is also fucked, because even though this is bad, it's the rules and they're protecting the billionaires.  Legislation will have to come from this, but as is -- rules are rules.  This firm has to get shorted into bankruptcy. 

If there was a ceiling to the short, I'd love to buy, but the concept of the stock continuing to go to the moon scares me.  I could lose my house.

Two methods to make a short play that has finite risk, be it $100 or $100,000.

1. Buy put options.  You can only lose what you spend.

2, Buy a call option that allows you to buy the stock at your maximum allowed loss.  Then short that number of shares.  ——- If you buy an at the money or in the money call option and then short your risk is limited to what you paid for the option.  If you buy one out of the money call then your risk also includes the difference but you can calculate, limit and budget.

One of the lead Redditors behind this said "We can stay retarded longer than they can stay solvent".

Yeah, and in the case of the Redditors, it isn't one person losing their ass.  It's tens (maybe hundreds) of thousands of people who invested a little bit.  So, even if they lose (or more likely, don't sell to make their maximum gain) it's not a large amount of money.

The stakes are just different.  You could buy now, at $200, and sit on it just for the social experiment.  Then sell it at $100.....you lost $100...who cares?

Yeah this is the thought of many of the reddit buyers.  I saw an interview with one guy who said he bought shares that were the equivalent of one months rent, if he loses it all he says fuck it at least it hurt the hedge fund more.

Also interesting I just read that the top 10% of wealthy individuals own 85% of the stock value, so I can understand the anger against them because they have more control over the market.  Not to mention it makes me more angry when you read about their insider trading to save a mere couple thousand bucks when a stock is going to drop in value.