WSB Dedicated Thread

[Electric Orange]

 

[Electric Orange]

 

[Thunder Good-Oil]

SLV
ISHARES SILVER TRUST ETF

$24.99
Friday 1/29/2021 close

$29.73 after hours/pre-open high

$27.40 9:15am pre-open Monday 2/1/2021
27.5 million of 600 million shares traded

70 million shares
$27.8

75 million
Almost $28

80 million
Hasn’t broken through $28 yet

90 million
$27.6

100 million
$27.4

185 million
$26.80

261 million
$27

275 million at 4pm
$26.76 (+7.08%)

$27.98 Intraday high; highest level since 2013

 

[ajvol01]

It's not just their algos. Robinhood, the app most redditers were using to set their buy/sell positions, sells its user's data to the big Wall Street firms.

Including hedge funds, correct?

 

[n_huffhines]

 

[red butler]

Including hedge funds, correct?

I believe so, but I’m not positive. I do know that one of the reasons people were upset with the decision of Robinhood to halt sales of GME was its relationship with Citadel. Evidently 60% of Robinhood’s revenue comes from selling its user data to Citadel; that’s how they can offer trades with no fees. It’s like the saying ‘if you’re not paying for the product, you are the product.’

 

[ajvol01]

I believe so, but I’m not positive. I do know that one of the reasons people were upset with the decision of Robinhood to halt sales of GME was its relationship with Citadel. Evidently 60% of Robinhood’s revenue comes from selling its user data to Citadel; that’s how they can offer trades with no fees. It’s like the saying ‘if you’re not paying for the product, you are the product.’

And Citadel bailed out Melvin Capital, right?

 

[MurphyVol]

Why would hedge funds want reddit/Robinhood users data? Now if porn sites and Chipotle were buying the data that's much more believable.

 

[ajvol01]

Why would hedge funds want reddit/Robinhood users data? Now if porn sites and Chipotle were buying the data that's much more believable.

You really don’t think hedge funds or any other Wall Street firms would want to aggregate Robinhood data for buying/selling trends?

 

[red butler]

And Citadel bailed out Melvin Capital, right?

Yes. So they should know the buy/sell limits of the redditors. Against a rational set of investors this would be a huge advantage to develop a strategy. But the autists are not rational and have effectively removed the bounds on their positions. They’re either going to be rich or go down in a ball of flames.

 

[Electric Orange]

Live

 

[MurphyVol]

You really don’t think hedge funds or any other Wall Street firms would want to aggregate Robinhood data for buying/selling trends?

Ehhh, maybe some high frequency traders might want that data (everyone sells order data, TD, Schwab, E Trade, etc) but I'd say RH makes most of their money on the from market makers.

As far as hedge funds getting reddit data on what to invest in....I'd say the reverse is more likely. The hedge funds probably feed the reddit users on what to buy.

Also, believe it or not, there are some fund managers out there that are just good investors. They are patient, know how to read annual reports and how to investigate companies.

 

[ajvol01]

Ehhh, maybe some high frequency traders might want that data (everyone sells order data, TD, Schwab, E Trade, etc) but I'd say RH makes most of their money on the from market makers.

As far as hedge funds getting reddit data on what to invest in....I'd say the reverse is more likely. The hedge funds probably feed the reddit users on what to buy.

Also, believe it or not, there are some fund managers out there that are just good investors. They are patient, know how to read annual reports and how to investigate companies.

I don’t think anyone is suggesting this isn’t the case.

The problem is the significant number that are out to win regardless of the consequences to anyone else. It’s just a big casino to a lot of these turds.

 

[MurphyVol]

I don’t think anyone is suggesting this isn’t the case.

The problem is the significant number that are out to win regardless of the consequences to anyone else. It’s just a big casino to a lot of these turds.

Well if people are chunking a lot of their savings into a brick and mortar video game store they can't cry when they lose it all. It's a garbage company.

Everyone can make money in the stock market, it's 100% guaranteed and it's there for the taking regardless if race, sex or how much money you have. People just aren't patient enough to do it.

 

[ajvol01]

Well if people are chunking a lot of their savings into a brick and mortar video game store they can't cry when they lose it all. It's a garbage company.

Everyone can make money in the stock market, it's 100% guaranteed and it's there for the taking regardless if race, sex or how much money you have. People just aren't patient enough to do it.

I don’t think that’s what the $GME buying is all about.

It’s my understanding people are not investing to make money but specifically to send a message to Wall Street that people are sick and tired of the constant market manipulation used to make millions for the elite and pass the losses on to normal people (401k, IRA, mutual funds).

My 401k lost between 60-70% of its value in 2008-09 downturn - so did most everyone else I know. Yet Wall Street brokerages were deemed too big to fail, so they get bailed out by federal tax dollars.

This isn’t about a sound investment or making money for most people buying GME.

 

[MurphyVol]

I don’t think that’s what the $GME buying is all about.

It’s my understanding people are not investing to make money but specifically to send a message to Wall Street that people are sick and tired of the constant market manipulation used to make millions for the elite and pass the losses on to normal people (401k, IRA, mutual funds).

My 401k lost between 60-70% of its value in 2008-09 downturn - so did most everyone else I knew. Yet Wall Street brokerages were deemed too big to fail, so they get bailed out by federal tax dollars.

This isn’t about a sound investment or making money for most people buying GME.

It's a good thing it isn't because most of them will lose their shirts.

And shorting a stock is perfectly legal and not manipulation.

Hopefully you held on to that 401k and reaped the bounty of the previous decade.

As far as bailouts go, there really weren't any. The government took ownership in many companies and made loans to others. I haven't seen recent data, but back in 2017 the taxpayers had made a profit of $30 billion on the TARP program. The "bailouts" was a rare instance where the government did something they made sense.

 

[NEO]

It's a good thing it isn't because most of them will lose their shirts.

And shorting a stock is perfectly legal and not manipulation.

Hopefully you held on to that 401k and reaped the bounty of the previous decade.

As far as bailouts go, there really weren't any. The government took ownership in many companies and made loans to others. I haven't seen recent data, but back in 2017 the taxpayers had made a profit of $30 billion on the TARP program. The "bailouts" was a rare instance where the government did something they made sense.

Shorting a stock 140 percent is total BS and should be illegal.

 

[ajvol01]

It's a good thing it isn't because most of them will lose their shirts.

And shorting a stock is perfectly legal and not manipulation.

Hopefully you held on to that 401k and reaped the bounty of the previous decade.

As far as bailouts go, there really weren't any. The government took ownership in many companies and made loans to others. I haven't seen recent data, but back in 2017 the taxpayers had made a profit of $30 billion on the TARP program. The "bailouts" was a rare instance where the government did something they made sense.

You’re saying that you think that hedge funds shorting more shares of stock than exist for a particular stock isn’t market manipulation?

How do you think WSB decided on what stocks to buy?

 

[Thunder Good-Oil]

Shorting a stock 140 percent is total BS and should be illegal.

That is illegal. Why the government isn’t cracking down on it is beyond me. I guess as long as the manipulators are making campaign contributions they really aren’t manipulating securities and robbing the retail investors with their naked short positions.

 

[ajvol01]

Shorting a stock 140 percent is total BS and should be illegal.

This

 

[ajvol01]

That is illegal. Why the government isn’t cracking down on it is beyond me. I guess as long as the manipulators are making campaign contributions they really aren’t manipulating securities and robbing the retail investors with their naked short positions.

How does it happen?

 

[Thunder Good-Oil]

How does it happen?

Because bought politicians don’t put their benefactors in federal prison. They go to their private cocktail parties.

 

[ajvol01]

Because bought politicians don’t put their benefactors in federal prison. They go to their private cocktail parties.

I mean why aren’t there systems in place to prevent shorting more shares of stock than exist.

We went to the moon over 50 years ago, how hard could it be to write a computer program to control this?

 

[MurphyVol]

How does it happen?

Yes, a Stock Can Have Short Interest Over 100% -- Here's How | The Motley Fool

 

[Thunder Good-Oil]

I mean why aren’t there systems in place to prevent shorting more shares of stock than exist.

We went to the moon over 50 years ago, how hard could it be to write a computer program to control this?

Who will run such a computer program? Government regulators? Putting the criminals in jail if they’re caught would be a substantial deterrent. The risk/reward with cheating, stealing from the retail investor versus being punished for it is not balanced. It’s up to the legislators to hold Wall Street accountable. When congress people are voted out, they often go to work for Wall Street firms.

The infrastructure is in place to identify the crooks. But they are not being punished when they are exposed.