Investing in the stock market

[Zan15]

Hmmm maybe i should invest in the pump and dump of dogecoin?

nothing fishy going on in this one either on reddit.... nope.



https://www.cnbc.com/2021/01/29/doge...lks-it-up.html



oh shit never mind guess the pump is over already

https://decrypt.co/56101/dogecoin-an...ffect-subsides


After this week’s surge, Dogecoin also fell 39.74% in the past 24 hours.



Bah well who cares what trouble can Dogecoin cause anyway

Bitcoin’s price today hit $33,817, a decrease of 8.19% over the past 24 hours.
Ethereum fell by 5%, Litecoin, down by 8%. Bitcoin Cash, down by 5%.



in an odd irony....
one of the only coins that has found success in this theme park for psychopaths is FunFair (FUN), which increased by 45% in the past 24 hours.


in related news, 3rd largest economy thinks of banning crypto. Well all except govt issued crypto


https://www.cnbc.com/2021/01/30/the-...e-bitcoin.html

[Theodarzna]

You think THIS TIME is going to be the one?

You know, well before Julius Caesar did his thing; there were others who actually attempted to do the same exact thing. Gaius Gracchus for example attempted but failed to doing the exact same thing Caeser did. Gaius Marius and Gaius Marius the Younger. The Populare had a lot of leaders before Caesar who tried to do his whole land reform and help the Plebians whom also got assassinated and such.

Could this be the time? Who knows? I mean there will be likely LOTS of times. Lots of Caesars, lots of people until finally one is the one who does it.

I know you are really emotionally invested in Hedgies as these titanic wizards with galaxy brain intellect whom are masters of all reality, Gods among us mortals, but yeah, they are just bags of organs and farts pissed off that peasants touched the money printer.

[Rasulis]

I am rather surprise that people think this is such a big deal.

Hedge funds occupy the higest risk sector of the stock market. Hence the SEC has some very strict restrictions on who can invest in hedge funds. It is also a small sector of the markets. The entire US funding in hedge funds is 1.2T, and 3.6T for the global hedge fund funding.

Hedge funds have done especially bad in 2020. The sector works in reverse of the stock market. When the market is doing well, hedge funds perform poorly. When the market is doing bad, the hedge fund sector is doing less bad. The year 2020 was a record breaking year for the US stock market. During the year 2020, the total market value of listed American companies increased a staggering 34.82% (see below). So hedge funds had a bad year in 2020. As a matter of fact the last decade has been unkind to the hedge fund sector.

[Magical Mudcrab]

I am, because mathematically it can.

What will really happen is the other hedgies with GME stock will dump it, tank the price and then the trading platforms will fuck everyone with the limited buys.

The idea that just because there's some hypothetical universe in which the stock will hit 1k doesn't mean it can. If we want to just assume some infinite growth, you might as well also go ahead and start stating that it might hit $10,000 or $100,000, as there is as much evidence for those as there is for it to hit 1k, especially given that it couldn't even reach $500, and is now stagnant at around $300; however, I agree with your assessment of what will likely happen. Trading on these stocks seem to indicate large buys, likely by other hedge funds, who probably have the intent of heavily damaging a competitor, possibly to make them desperate enough to sell a pound of flesh to stay afloat (i.e.: sell off equity at a cheap price to not go bankrupt).

Shorting 140% should be illegal, I'll be quite surprised if there wasn't or hasn't been some naked shorting going on.

The problem is that it can't be made illegal. Shorting is a process by which you borrow a share so you can sell it, with the intent to buy back a share and give it to the broker you borrowed it from. The reason why companies like GameStop have 140% of float is because when a share is sold, there's no guarantee on what will happen with that share. If I borrow a share from a broker and you buy that share, you could then, without knowing why or how it was sold, allow your broker to lend out that share to another investor. At that point, you have the same share being lent by multiple brokers, allowing the share to be floated by more than once.

[Fencers]

Delicious.

https://nypost.com/2021/01/30/reddit...ck-saga-rages/

[Vash The Stampede]

Are you one of those that thinks it will hit 1k?

$1k? Of course not. $5k is where it's at.

i mean the "bitcoin" mentality .

he clearly belives people will be raising gamestop stocks indifinetly becuase internets told him to hold .

while those who wanted to make profit sold it long ago when it was at peak

I don't think Gamestop will go up indefinitely. It'll drop like a rock at some point, but before that it'll go into the thousands. I could sell now and make a bit of money but, nah. Even $1k per share would still be good, but I want thousands.

[Edge-]

Delicious.

https://nypost.com/2021/01/30/reddit...ck-saga-rages/

I mean for the lulz and all but like, yeah, look at this noble crusade of sticking it to the man and sticking up for little people. That redistributed money is going to good use I guess?

[Vash The Stampede]

in related news, 3rd largest economy thinks of banning crypto. Well all except govt issued crypto


https://www.cnbc.com/2021/01/30/the-...e-bitcoin.html

Yea, so they can make their own national digital coin. Crypto currency is a big problem because countries like being able to control how much value a currency has. Especially for India where something like unregulated crypto currency could rapidly make the rupee useless if their citizens stopped using it. It's also useful to be able to print your own currency whenever it's needed, as much as people hate this idea. If the US government couldn't turn on the money printer and go brrrr then we'd all be in big trouble. Governments would need to tax the wealthy, which they should be doing anyway but they don't want to.

- - - Updated - - -

I mean for the lulz and all but like, yeah, look at this noble crusade of sticking it to the man and sticking up for little people. That redistributed money is going to good use I guess?

Better in peoples hands than for someone to buy a 5th yacht.

[Fencers]

I mean for the lulz and all but like, yeah, look at this noble crusade of sticking it to the man and sticking up for little people. That redistributed money is going to good use I guess?

In this case? Probably. This type of propaganda is what the crusade, so to speak, was sparked off. So there is an effective use of "funds" in spreading awareness in the language and style the movement is likely to recognize and gravitate toward.

[eschatological]

Preeeeeeeeetty much, I see a whole lot of virtue signaling over this, but these very people seem quite proud to roll around in the money they've taken from playing the capitalist game, the very system they claim to vehemently despise. I wonder how many of these #eattherich types made their money and donated it to charities or directly to poor people. How many put it towards organizations that feed the hungry and house the homeless. And how many just took their money to the bank and bought a new video card while giggling at their new bank balance?

Capitalism as a system sucks, at least until you're the person benefitting from it. THEN IT'S WONDERFUL and HAHA SUCK IT RICH PEOPLE I suddenly have enough money to live comfortably for the next two weeks, gotcha!

The WSB subreddit, before this meme event, was full of the worst type of investors - get-rich-quick gamblers and speculators. They are the same as hedge fund managers in attitude, though they don't have the capital to back them. They literally got off on loss porn and the occasional "big win," like people with a legit gambling addiction.

They are the last people (besides cable TV) I'd be getting stock advice from.

I had a conversation with my financial manager the other day, and Gamestop came up. I could literally hear his eyes rolling in the back of his head. He thinks the whole thing, on both sides, is pretty nonsense. IDK, he's pretty good, I get insane returns on my portfolio, with very little risk.

[Bryntrollian]

Hows that for an advertising strategy...

https://old.reddit.com/r/IAmA/comments/l81l3g/dan_pipitone_cofounder_of_tradezero_fought_our/

[Zan15]

I am rather surprise that people think this is such a big deal.

Hedge funds occupy the higest risk sector of the stock market. Hence the SEC has some very strict restrictions on who can invest in hedge funds. It is also a small sector of the markets. The entire US funding in hedge funds is 1.2T, and 3.6T for the global hedge fund funding.

Hedge funds have done especially bad in 2020. The sector works in reverse of the stock market. When the market is doing well, hedge funds perform poorly. When the market is doing bad, the hedge fund sector is doing less bad. The year 2020 was a record breaking year for the US stock market. During the year 2020, the total market value of listed American companies increased a staggering 34.82% (see below). So hedge funds had a bad year in 2020. As a matter of fact the last decade has been unkind to the hedge fund sector.

All it took was a bunch of people to proclaim who the enemy was and the uneducated masses rolled right in. And by uneducated i mean uneducated in the economy/stocks/funds/etc.

Also the fact that its been done so many times before but they are treating the guy who started this like he must be a genius to have outsmarted wall street. When in fact he just caught a few hedge funds doing something really fucking stupid and caught them with their pants down.

I too tried to tell people that hedge funds lost 200+ billion last year. 7 billion on tesla last year, more than GME losses. how they have lost money in all but one year in the last 10. But people get defensive when their reality is shaken.

Its great entertainment to root for the "little guy" even if the little guy is now worth 50 million dollars and most of the gains have been made by wall street not the "little guy".



I just want my banks to rebound. I was up 54% now i am only up 26%

[Vash The Stampede]

They are the last people (besides cable TV) I'd be getting stock advice from.

WSB makes it clear that they don't give financial advice. They just really like the stock.

I had a conversation with my financial manager the other day, and Gamestop came up. I could literally hear his eyes rolling in the back of his head. He thinks the whole thing, on both sides, is pretty nonsense. IDK, he's pretty good, I get insane returns on my portfolio, with very little risk.

Your financial manager has the same arrogance as Citron when the CEO said, "Stock back to $20 fast. We understand short interest better than you and will explain.". As much as people claim they know the stock market, they really don't, not even the self proclaimed experts.

[Zan15]

Hows that for an advertising strategy...

https://old.reddit.com/r/IAmA/comments/l81l3g/dan_pipitone_cofounder_of_tradezero_fought_our/

meanwhile did you read the AMA yikes they beat the shit out of him

Guess they kind of make money just like the evil RH

TradeZero makes money on short interest and short locates. RH doesn’t allow shorting. Every firm out there must post their 606 report for order routing. We make about .$70 per 1000 shares while the boys at RH make $2.60 per 1000. That difference translates to price improvement for our clients and not $ for us! In addition, non marketable limit orders are routed directly to exchanges like NASDAQ. This can be verified by viewing the 606 reports on every brokers website. Including ours. We also make $ on margin interest and finally on platform subscriptions.

but really smart going on there.



Stuff they said

Lol are you kidding me, they one of the most expensive platforms on the market.

$2500 dollars in funds needed to open an account

They get you in with the NO OMISSIONS nonsense and then they charge you for EVERYTHING else that most other brokers give you for free.

Fund your account = $30 ( Free on many other brokers )

Withdraw money = $30 ( No more then $10 on all other accounts I use )

Demo Trading Account = $100pm !!!! ( Free with almost all other brokers when you have active funded account )

Options Trading = $30pm ( Free with any other live account )

So yes, they are VERY expensive and have many ways to rip you off and get money from you

- - - Updated - - -

WSB makes it clear that they don't give financial advice. They just really like the stock.

.

LOL every other comment is "financial advice"

[kamuimac]

Delicious.

https://nypost.com/2021/01/30/reddit...ck-saga-rages/

probably paid by hedgefund owning GME stocks before they liquidate everything.

the irony that ordinary people are being used in this small guerilla warfare and they are rejoicing .

its like with Elon tweets - people belive hes a messiah shaping stocks - when in reality most likely he is making f....ton of money from heareding people where he wants them to be. and they rejoice too.

sheep mentality is terrible .

this is why goverment will place new regulations to protect people from their own stupidity

- - - Updated - - -

WSB makes it clear that they don't give financial advice. They just really like the stock.

Your financial manager has the same arrogance as Citron when the CEO said, "Stock back to $20 fast. We understand short interest better than you and will explain.". As much as people claim they know the stock market, they really don't, not even the self proclaimed experts.

his financial manager just doesnt want his client to effectively play in casino

because thats what people are doing.

they are playing casino hopefully not risking all their savings.

there is nothing wrong about playing in casino as long as you go in there expecting to go out with nothing in you pocket.

problem is people on internet belived that they will win against casino.

and while some who noticed good moment 2 weeks ago and alredy bailed at 1st or 2nd peak made really good pocket change then people who bought those stocks at 300-400 $ beliving they will go up to 1000% will loose nearly everything .

even if someone can afford to literaly burn money its unhealthy to do so .

you are not sticking it to anyone - those people dont care. they never did and they neverwill - because you know what will happen if they indeed loose ? bailout will happen from your own taxes

[Vash The Stampede]

his financial manager just doesnt want his client to effectively play in casino

because thats what people are doing.

That's the stock market in general. You can invest in stable stocks, until they're stable no more. I can assure you that the stock market will crash again in 2021, just like it did in March 2020, and all good financial advice will be as good as dirt.

you are not sticking it to anyone - those people dont care. they never did and they neverwill - because you know what will happen if they indeed loose ? bailout will happen from your own taxes

They certainly care because they're preventing people from buying GME stock. Enough illegal stock manipulation to put a lot of people in prison. If Joe Bidens administration does bail them out then it's better we know now which side Biden really is. He said the stock market isn't the economy, but if he bails them out then he clearly thinks it is.

I'd have no problem in a bailout if it's for those who bought GME stocks are actually properly paid for the stock AND the hedge funds get liquidated to the point where they're applying for a real job like Mc Donalds. No more bail outs for the rich. No more money for those who benefit from the worst moments in society.

[Mhyroth]

Been following this thread and I mostly understand the Gamestop situation. One think I don't understand is why do Hedgefunds exist? They basically gamble with something which isn't theirs ? Why is short sale even allowed ?

[Gorsameth]

Been following this thread and I mostly understand the Gamestop situation. One think I don't understand is why doHedgefunds exist? They basically gamble with something which isn't theirs ? Why is short sale even allowed ?

Because it brings in the all mighty dollars?

As with most things the reason is $$$$.

[Twdft]

I mean for the lulz and all but like, yeah, look at this noble crusade of sticking it to the man and sticking up for little people. That redistributed money is going to good use I guess?

It gets law makers attention to "shorting stocks" which in my opinion shouldn't be possible. Selling thing you don't own.

So yeah, let them ride it out a bit longer. More power to them I just hope everyone involved only used money they can afford to lose.

[Forogil]

Been following this thread and I mostly understand the Gamestop situation. One think I don't understand is why do Hedgefunds exist? They basically gamble with something which isn't theirs ? Why is short sale even allowed ?

There are a number of different variants of short sales.

But the simplest variant is that someone (A) owns a lot of shares, and someone else (B) really thinks the price will go down - but don't have any.
So, B buys the shares from A, B promises to hand back the shares to A later, and B sells the shares on the market.

Or B signs a contract about trading the shares in the future for a specific (lower) price

Nothing strange at all, just contracts between companies/people having different expectations for the future.

(Then there are "naked shorts", just selling shares you don't have - I don't understand how that works, but I don't think it was the case here.)

And lots of investors "gamble" with other people's money - pension funds, investment funds, banks, etc. They get the money to do it because other investors think they are good at it.