(01-29-2021, 10:03 PM)homebiscuit Wrote:

(01-29-2021, 09:42 PM)mal234 Wrote: Robinhood now has a list of 50 stocks that they are limiting purchases on it. 

Changes due to ongoing market volatility | Robinhood

At least a couple of stocks I own including Novavax are on this list. I definitely don't like this. And I really dislike that they have biotech stocks on this list like Novavax and Moderna. Both of these stocks are performing well because of legitimate success the company is having and there are people like me that believed in these stocks and have been holding them for a while. Robinhood says that people can now purchase only one share of them each of these biotech stocks. 

I wonder if they are worried people will start flooding these stocks already adding to their very high prices. Novavax did go over $200 per share today. The share price has currently increased by like $86 on the day and is currently $222. It went as high as $228 today. Moderna has been priced high for a while now and is currently sitting at $173 per share. I believe that both stocks including novavax's big increase today is largely and mostly driven by positive news about the companies' vaccines. 

Not because people are trying to pull another gamestop situation. Though, I did see some people who have shares of Novavax say they are taking some of the profits they made and will be contributing to the gamestop "cause". I will be doing no such thing lol and will continue to hold for the time being. (And even if I did sell I wouldn't contribute anything to the stuff that is going on with Gamestop right now.) I believe that the stock price will continue to go up and the target has been moved for it. 

Inovio stocks is also on this list though the price of this stock is only a little over $12. I have a few shares of this as well. 

Robinhood shouldn't have these biotech stocks on their list or even have a list like this period IMO.

A retired hedge fund manager on the radio today said RH is doing this to stay in compliance with Dodd Frank. By law they must be able to cover their capitol obligations. If they can’t then they must block trades until they can secure the capitalization. Since they’re a small brokerage, they’re jumping through hoops right now.

It’s more complicated than I’m able to translate, but that’s the gist of it.