Game stop

[billt]

The stock market is supposed to represent wealth and value, much like our currency does. The value of the dollar rises and falls, much like the value of a share of stock. Depending on current economic conditions. Neither one benefits from deliberate manipulation. Manipulation, regardless of how it's done, or by whom, does not add value. Instead it decreases value of said stock when mass purchasing, (i.e. manipulation), drives up the price. No matter if it's Wall Street fat cats, or peons on the Internet who does the manipulation.

It's no different when Biden orders the Federal Reserve to print and distribute trillions of dollars, to hand out to the people like toilet paper. The overall result is the same. It decreases the value of the dollar. If done to the extreme, both will collapse into worthlessness. The only difference is any group can combine funds to manipulate a stock price. Where as only the government can legally print money. It's why counterfeiting carry's such steep sentences. It's dangerous for everyone when it happens..... Just like stock manipulation.

[PegLeg45]

I don't have a fund manager for my 401k (although the company keeps trying to get me to use one).
We have the option to manage it ourselves based on multiple options. Granted some of those options are based on preset funds that are managed by others, but I mainly stick to fixed fund investments and company stock because I know the 25 year track record. And yes, I know things can change, but over the last 25 years the company has been stable through most political climates. I figure if it crashes, the rest is crashing too.

The stock market is supposed to represent wealth and value, much like our currency does. The value of the dollar rises and falls, much like the value of a share of stock. Depending on current economic conditions. Neither one benefits from deliberate manipulation. Manipulation, regardless of how it's done, or by whom, does not add value. Instead it decreases value of said stock when mass purchasing, (i.e. manipulation), drives up the price. No matter if it's Wall Street fat cats, or peons on the Internet who does the manipulation.

It's no different when Biden orders the Federal Reserve to print and distribute trillions of dollars, to hand out to the people like toilet paper. The overall result is the same. It decreases the value of the dollar. If done to the extreme, both will collapse into worthlessness. The only difference is any group can combine funds to manipulate a stock price. Where as only the government can legally print money. It's why counterfeiting carry's such steep sentences. It's dangerous for everyone when it happens..... Just like stock manipulation.

Bill, I agree.
In general moral/ethical principle you are absolutely correct....and while what is happening with Gamestop etal is artificial manipulation as you are saying, it has always been going on. People have been manipulating the market for decades.
What is causing the big stink, and a bunch of sore asses, is that the ones who have always done it and got rich doing it, and burned others in the process got burned themselves by "common poor folks" using the same tactics.

If not illegal it might not be right from a moral perspective, but at the end of the day there is some small satisfaction from seeing a greedy SOB who burns others to get rich end up with a spoonful of his own medicine.

Maybe the good in all of it will be some type of reforms that prevents the hedgers from doing it in the future.

[billt]

Bill, I agree.
In general moral/ethical principle you are absolutely correct....and while what is happening with Gamestop etal is artificial manipulation as you are saying, it has always been going on. People have been manipulating the market for decades.
What is causing the big stink, and a bunch of sore asses, is that the ones who have always done it and got rich doing it, and burned others in the process got burned themselves by "common poor folks" using the same tactics.

If not illegal it might not be right from a moral perspective, but at the end of the day there is some small satisfaction from seeing a greedy SOB who burns others to get rich end up with a spoonful of his own medicine.

Maybe the good in all of it will be some type of reforms that prevents the hedgers from doing it in the future.

I was listening to Jordan Belfort, the real, "Wolf Of Wall Street". This guy wrote the book on insider trading and stock manipulation. He said the SEC would have a hard time making a case about the Game Stop peons from an illegal standpoint. Mostly because they didn't personally know each other, and were just working to achieve a common goal. It could be argued it was a case of more luck than brains.

It's not the same thing as he was doing. He worked within his company, and with people he knew, sat down with, and plotted these dirty dealings. That is highly illegal. It doesn't make it any more right. Morally or otherwise. And I get the part about sticking it to the big, cigar smoking assholes. I care as much about these guys getting hurt, as I would if Nancy Pelosi fell down a flight of stairs.

[MikeBjerum]

Can someone explain what the hell is going on with all of this, "Gamestop" stuff??? I'm clueless. Thanks in advance.

I know that a lot has been said and explained about this since you posted, but here is my take anyway.

Gamestop, is highly over valued in the market.  This is the appraisal of those who rate publicly traded companies.  Those who manage portfolios saw this as a way to make some money over the coming weeks.  They made "short sales" on Gamestop (GME) stock.  Basically, they sold stock they didn't have based on a promise to purchase the stock on or before some future date.  It is the same as playing the Options, except in Options you pay a price that limits your risk.

When a group learned of these short sales they went after it.  Those who actually did this were inexperienced traders playing in the online option to trade stocks.  Under someone's advice they started purchasing GME and drove the price up.  This rapid rise resulted in margin issues that triggered losses for those who sold short.

When all is said and done there will be many MANY losers, and GME will drop in value.

Day 1 - Hedge Funds, some individuals, and some that hold portions of our 401K or IRA accounts, lost money.
Day 2 - The day traders made money through their manipulation of the market at the expense of the Hedge Funds (people are cheering this "robin hood" event)
Day 3- The inexperienced rubes start losing money, because the market starts correcting, and they don't understand the game they are planning
Day 42 - Gamestop drops in value far below where it was on Day 0 - Just like the Hedge Funds predicted it would
Day Whenever - Congress and their puppet Biden screw up the markets with knee jerk reaction to stop what the Hedge Funds did, even though it was the robin hood jerks that skewed and manipulated the markets.

One item mentioned by some on here is that the App Robinhood shut everyone down over fear it was illegal.  They were correct in this.  Many have gone to prison by manipulating the market like these traders did when they saw the Hedge Funds short selling.

[Rastus]

Gee I wish I had been paying attention and had known that 140% of GME was being shorted.  That's obscene.  I'm glad the hedge fund guys got it where it hurts.  I think shorting is wrong to begin with because to do that they are able to "borrow" your shares without you knowing and because they manipulate the market in a way that dries up the funds a company may need to stay in business.  Tab mentioned somewhere here he was 1000 G's in hock once upon a time.  Just imagine if some helpful people came along to make a buck and drove a stake in his heart by drying up his monetary reserve source.....he would've been closed down instead of having built a really nice and profitable business for himself.

Shut it down for all or to the hedge fund guys, I say shut up.

[Sponsor]

[PegLeg45]

Gee I wish I had been paying attention and had known that 140% of GME was being shorted.  That's obscene.  I'm glad the hedge fund guy got it where it hurts.  I think shorting is wrong to begin with because to do that they are able to "borrow" your shares without you knowing and because they manipulate the market in a way that dries up the funds a company may need to stay in business. Tab mentioned somewhere here he was 1000 G's in hock once upon a time.  Just imagine if some helpful people came along to make a buck and drove a stake in his heart by drying up his monetary reserve source.....he would've been closed down instead of having built a really nice and profitable business for himself.

Shut it down for all or to the hedge fund guys, I say shut up.

I agree.
Straight-up trades across the board at current market value makes the field fair for everyone.


From a HS friend on FB:
They shut down vote counting in 5 states when it wasn’t going their way.
They shut down free speech and Parler when it wasn’t going their way.
They shut down markets when they don’t go their way.

[TAB]

So, what would I invest in if I only had $1,000?

thats like asking what gun should I buy.

What are your goals with that $1000?


Are you looking for quick returns,  long term, just some fun?


Do you have the time to watch the markets? Or is this just put it in and check on it every once in awhile.   

[TAB]

Gee I wish I had been paying attention and had known that 140% of GME was being shorted.  That's obscene.  I'm glad the hedge fund guys got it where it hurts.  I think shorting is wrong to begin with because to do that they are able to "borrow" your shares without you knowing and because they manipulate the market in a way that dries up the funds a company may need to stay in business.  Tab mentioned somewhere here he was 1000 G's in hock once upon a time.  Just imagine if some helpful people came along to make a buck and drove a stake in his heart by drying up his monetary reserve source.....he would've been closed down instead of having built a really nice and profitable business for himself.

Shut it down for all or to the hedge fund guys, I say shut up.

I wish I had added 2 zeros to the number of shares I bought.

I have been 2 million in debt at one point, made it all back and then some

[TAB]

Sold mine at 300.

[tombogan03884]

I wish I had added 2 zeros to the number of shares I bought.

I have been 2 million in debt at one point, made it all back and then some

Your next project should be giving lessons on THAT sh!t  !