GameStop wasn’t shorting their own stock. Giant hedge funds were shorting GME up to 130% of shares. Essentially they shorted more shares then shares available, which is a legal grey area, but opens them up to huge losses if the stock rises. Some internet autists figured this out and started buying up GME stock causing the stock price to rise. This triggered some hedge funds to hedge their short positions by buying stock, which in turn increases the price. It’s a feedback loop. Some of the hedge funds stuck with larger short positions have even gone out of business because of it. The people are finally making rich assholes hurt by doing the same thing they do to us.
I think the extra 30% means that someone is naked short selling which i think is against the law? I mean it should be but when the racketeers write the racketeering laws who knows.
There is a sticky about it currently up.
Yeah. I just read it. I still don't 100% understand, but the people that do say it's going in our favor so that's good.
The story is so wrapped in financialese all I got was Gamestop was shorting their stock and got caught
GameStop wasn’t shorting their own stock. Giant hedge funds were shorting GME up to 130% of shares. Essentially they shorted more shares then shares available, which is a legal grey area, but opens them up to huge losses if the stock rises. Some internet autists figured this out and started buying up GME stock causing the stock price to rise. This triggered some hedge funds to hedge their short positions by buying stock, which in turn increases the price. It’s a feedback loop. Some of the hedge funds stuck with larger short positions have even gone out of business because of it. The people are finally making rich assholes hurt by doing the same thing they do to us.
All i know is I bought some at $290. I’ll let you know if I’m eating lobster or rice a roni this weekend
combine this with the outages yesterday as well. this movie is exciting.
I think the extra 30% means that someone is naked short selling which i think is against the law? I mean it should be but when the racketeers write the racketeering laws who knows.
How do all the redditors get their money back? don't they have to sell it, and then won't that just crash the price again?
Dude. That explanation was about as laymen's terms as you can get.
There are a bunch of dorks on a subreddit driving up the price of random stocks and fucking over Wall Street investors.