A lesson on Short-Selling - GME

[Anonymous No.26618408]

So what are the pros and cons of short-selling and how does it apply to Gamestop (GME)?

Pros
- Possibility of high profits
- Little initial capital required
- Leveraged investments possible
- Hedge against other holdings

Cons
- Potentially unlimited losses
- Margin account necessary
- Margin interest incurred
- Short squeezes

We are entering the previously theoretical territory of UNLIMITED LOSSES. For anyone that doesn't know, GME shorted over 140% of available shares. And they're due to return those shares on Friday EOD. They MUST buy at any price.

Do with this lesson what you will.

Reminder that this is reddit's and Elon Musk's idea.

[Anonymous No.26618600]

when does the narwhal bacon lol xD

[Anonymous No.26618920]

GME is a psyop to discourage people from shorting bitcoin

[Anonymous No.26619049]

>>26618920
I bought a few shares of GME, threw $100 into dogecoin, and $100 into bitcoin today

[Anonymous No.26619056]

>>26618408
Where is the proof of this 140% shorts? I have seen none

[Anonymous No.26619818]

>>26618408
What happens to the stock price when Melvin goes bankrupt? This is another Enron and the vast majority of retards who have just dumped their life savings into this bait and switch will be forced out at around $10. The banks will absorb their lending loss and get bailed out by the government. We see this every decade like clockwork. If you're all-in you better cash out tomorrow before close because the big boys came to the party in late trading Tues and it's their game now. You're not going to win against their resources and corruption. Screencap this.

[Anonymous No.26619962]

>>26619049
ygmi

[Anonymous No.26620080]

>>26619818
>t. pic related

[Anonymous No.26620102]

You fucking idiots really don’t understand how serious this is do you? You’re causing major institutions to lose billions of dollars and might even cause the grandparent loaning bank to go under.People will lose their homes, people’s mortgages and investments will be impacted as a result. There is a loser on every trade and mark our words at the end of the day it WILL be you

Enjoy retaining a lawyer and fighting off discovery for the next five years. Was it worth ruining your life for a 10x? Good luck explaining why you’re using words like “Jew” and “nigger” to a federal judge. Enough is enough and it’s about time someone took you man children down a notch.

[Anonymous No.26620390]

>>26619818
Yeah right lol
>Oh no I might lose my hundred and fifteen dollars!
vs
>Our firm will go bankrupt if we can't securre another loan to cover our position by friday and have to short from even higher with more money on leverage

[Anonymous No.26621043]

>>26620390
>Oh no I might lose my hundred and fifteen dollars!
What part of life savings did you fail to understand? Are you a poorfag? I've read through biz and wsb over the last 6 hours and this is the very worst case of fomo I've ever witnessed. Faggots are literally dumping their life savings into this. If you got in early and recouped your initial investment, great. But, if you think stops mean shit when demand craters then you are going to get boned.

>>26620080
Who the fuck do you think are now pumping this shit? $20B of CME was traded today. Think about that.

[Anonymous No.26621410]

>>26621043
it's not a pump and dump

[Anonymous No.26621611]

>>26620102
Fuck off, career financial criminals losing money is funny as hell. These people are what heroes look like in current year

[Anonymous No.26621748]

>>26620102
>Words like jew snd nigger
On no! Anything but those HORRIBLE words. I hope jews and niggers make it illegal to say 'jew' and 'nigger'

Heil hitler

[Anonymous No.26621756]

>>26619049
>$100 into bitcoin

[Anonymous No.26621762]

What the best way for aus fags to get in on this?

[Anonymous No.26621826]

>>26619056

[Anonymous No.26621837]

>>26618408
You fucking idiots really don’t understand how serious this is do you? You’re causing major institutions to lose billions of dollars and might even cause the grandparent loaning bank to go under. People will lose their homes, people’s mortgages and investments will be impacted as a result. There is a loser on every trade and mark our words at the end of the day it WILL be you

Enjoy retaining a lawyer and fighting off discovery for the next five years. Was it worth ruining your life for a 10x? Good luck explaining why you’re using words like “Jew” and “nigger” to a federal judge. Enough is enough and it’s about time someone took you man children down a notch.

[Anonymous No.26621860]

>>26621043
It's not a pump and dump anymore, it's sending a message.

[Anonymous No.26621949]

>>26620102
>Good luck explaining why you’re using words like “Jew” and “nigger” to a federal judge
kek

[Anonymous No.26621973]

>>26621826
Naked short selling has to be banned.

[Anonymous No.26622055]

>>26621410
Not for you. You're not trading billions of dollars worth of stock. You're sitting in fomo for your $1000 tendies. If you get em, best of luck. We'll find out on Friday. Watch the volumes as much as the price.

[Anonymous No.26622187]

>>26621973
Nah, short/equities have to be capped at like 80% or something like that. We can't let bottlenecks like this happen on this scale.

[Anonymous No.26622308]

>>26621043
this is worth all my life savings and a bit more

[Anonymous No.26622643]

>>26621043
>But, if you think stops mean shit when demand craters then you are going to get boned.
Fuck stops, I'm never selling.

[Anonymous No.26623329]

>>26618408
I don’t understand what’s wrong with these jews shorting gamestop, they have been ripping off gamers for years buying their games at like $1 and reselling them for 10x the price. Brick and mortar game store seems pointless with digital delivery and game passes. Is it just because they shorted like 130% of the shares? Why is this bad?

[Anonymous No.26623515]

>>26623329
because it isn't just Gamestop they short; they do this to all other kinds of companies. It's shitty by principle; it's only worse because they're going after gamers

[Anonymous No.26623673]

>>26623515
But how are they going after gamers? They’re going after people who rip gamers off and promote pointless consoomerism like fucking funko pops. Why are people acting like gamestop represent gamers? I haven’t been in one in years the employees are like 50% trannies wtf

[Anonymous No.26623791]

>>26621826
>expire july 16th 2021
so why is everybody talking about friday if they expire in 6 months?

[Anonymous No.26623828]

>>26623673
>nostalgia
>people think that with new leadership and Reggie on board, things will change
mostly people were sick of the short-selling; it being Gamestop just makes it gamer-flavored even if they weren't a gamer favorite back then

[Anonymous No.26623941]

How was this discovered though? Did a random dude see that Melvin had 130% of game stop shares then spread the word?

[Anonymous No.26624041]

>>26623828
Why do people hate short sellers? Can’t anyone short sell just like anyone can buy and hold a stock? Like what’s wrong with being able to bet the opposite way? I assume it’s rigged in favor of the big institutions both ways no?

[Anonymous No.26624231]

>>26623791
Brokerages aren't going to let them ride out there long when GME is $1k a share on Friday.

[Anonymous No.26624271]

>>26624041
>why do people hate when someone borrows a share and attempts to pay it back at a lower value than original
>why do people hate someone that was so greedy, they decided to short-sell a company for 140% of its shares?
>why do people hate that hedgies are mad people are swinging the pendulum the other way?
ask them; i'm just here for the fun of it

[Anonymous No.26624520]

>>26623941
Ryan Cohen invested in GME in August 2020, early buyers saw a bit of potential back then probably since the stock was shorted to hell and back. It was also cheap so why not invest. When it suddenly appreciated in early January people started jumping on the band wagon; the short squeeze theory has been around for a few months before that however

[Anonymous No.26624654]

>>26618408
So, why are these shares due? Why wouldn't the brokerage just extend the window or not call them if they would bankrupt the hedge fund?

[Anonymous No.26624783]

>>26618408
>We are entering the previously theoretical territory of UNLIMITED LOSSES. For anyone that doesn't know, GME shorted over 140% of available shares. And they're due to return those shares on Friday EOD. They MUST buy at any price.
I'm sorry for being so new. I just buy and sell stocks.
If I buy GME tomorrow what happens?

[Anonymous No.26624924]

>>26619056

[Anonymous No.26625291]

>>26624924
>250% free float
what the fuck

[Anonymous No.26625587]

I think there's some poetry in "power to the players"

[Anonymous No.26625906]

>>26625291
What is free float? Am retard.

[Anonymous No.26625929]

>>26625587
ironic

[Anonymous No.26626358]

>>26618408
BUY BATTLE TOADS!! HEDGE YOUR BETZ!! SELL SELL SELL

[Anonymous No.26626536]

>>26622308
Hope it was worth it. Get rekt faggot.

[Anonymous No.26626571]

>>26624041
"Regular" short selling is fine. Naked short selling is jewry.

[Anonymous No.26626645]

>>26625906

Free float refers to the shares of a company that can be publicly traded and are not restricted (i.e., held by insiders). It's the number of shares that is available to the public for trading in the secondary market.

Free float shares plus restricted shares are called shares outstanding. They are distinguished from treasury shares, which are shares held by the company itself. Shares outstanding and treasury shares together amount to the number of issued shares.

[Anonymous No.26626682]

>kikes look very scared
>many anons flagged for muh racism
>noses intensify

[Anonymous No.26626909]

>>26618408
Go back retard, you are not welcome here.