This is one reason to drive everyone's retirement into 401ks.
The more stock that is held in 401ks, the easier it is for the hedge funds to manipulate stock prices with very few movements, because the majority of the stock is held long term without the holders knowing or being interested in the particular stock.
I wonder if anyone shorted before trading was halted on multiple platforms? Because if there was, that's essentially using insider information/manipulation. The problem is that the SEC is a rotating door between these same firms, so have no reason to intervene.
> the SEC is a rotating door between these same firms, so have no reason to intervene.
The SEC can intervene, and does intervene. I don't know why you're talking about jail. The SEC doesn't throw people in jail. It doesn't even have the ability to file criminal charges by itself; prosecutors like the US Attorney for the Southern District of New York do that. And they have.
Besides, I don't think this situation is similar to the financial crisis for several reasons. Not the same actors, not the same markets, not the same securities...
So it's okay for billionaires to short GME but when people on reddit come together it's a problem?
I hope wallstreetbets crashes the market and makes everyone on the NYE cry like a baby. The unfortunate reality is that will never happen; they will just all up Biden and he'll cut them a check.
I see it more like RH knowing this thing is probably going to tumble really hard and many of their customers might be holding part of the bag (with borrowed RH money) when it does implode, so they're limiting further exposure.
That's why I think it's pretty blatant that this is an attempt to artificially deflate the price. Shorts can keep re-leveraging themselves and driving the price down because you've tied the hands of the demand. Absurd.
Trading algos have been fine tuned a certain way. Now suddenly some group changes the conventions and rules of investing, is confusing the system. This is not going well with many investors and funds.
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[ 5.4 ms ] story [ 66.9 ms ] threadIt would be hilarious if we really let this system create all of our upper class and elites and took this long to see it exposed.
The more stock that is held in 401ks, the easier it is for the hedge funds to manipulate stock prices with very few movements, because the majority of the stock is held long term without the holders knowing or being interested in the particular stock.
A couple got a short suspension, but they're likely back at it today.
> the SEC is a rotating door between these same firms, so have no reason to intervene.
The SEC can intervene, and does intervene. I don't know why you're talking about jail. The SEC doesn't throw people in jail. It doesn't even have the ability to file criminal charges by itself; prosecutors like the US Attorney for the Southern District of New York do that. And they have.
Besides, I don't think this situation is similar to the financial crisis for several reasons. Not the same actors, not the same markets, not the same securities...
https://twitter.com/justinkan/status/1354853920762253315?s=2...
But it's all getting murkier as it all gets louder.
I hope wallstreetbets crashes the market and makes everyone on the NYE cry like a baby. The unfortunate reality is that will never happen; they will just all up Biden and he'll cut them a check.
If the SEC does nothing about this its time to reevaluate the existence of the SEC in its current form.
> Just got a tip that Citadel reloaded their shorts before they told Robinhood to stop trading $GME.
> If this is true, Ken Griffin and the Robinhood founders should be in jail.
> This is class warfare.
See https://twitter.com/justinkan/status/1354856228661334017.
Ah nostalgia for Spencers, KB Toys, Toys R Us, Hot Topic...