(01-31-2021, 03:11 PM)StroudCrowd1 Wrote:

(01-31-2021, 03:08 PM)The Real Marty Wrote: I am a capitalist.  I believe in capitalism.  And I know that when the "little guy" takes on "the big guy" as in the case of Gamestop, the little guy will be annihilated.  As he/she should.  The sooner the better, as a lesson to all the other little guys who think they can take on the big guys.

I don't think this will end the way you see it. The way hedge funds short stocks has changed forever. The battle is just beginning.

No, it hasn't changed one bit.  All that's happened is that, by bidding up the price of the stock, the Redditors have given the hedge funds an even juicier target.  I guarantee you they have just re-shorted it at a higher price, and when the now-inflated price collapses, as it inevitably will, the hedge funds will make even more money, and the Redditors, at least the ones who haven't sold already, will lose their shirt.

What will probably happen is that some hedge fund will go short for enough shares of Gamestop to cause the price to drop drastically and induce panic selling as all the little guys holding Gamestop try to get out at the same time.  

And then AOC and Liz Warren will call for hearings and regulations and higher taxes and whatever else they can think of, in an effort to "protect the little guy from those big bad Wall Street wolves."  When it was the little guy who got himself into the situation in the first place.  

If you guys who like to buy and sell stocks want to make some money, you should short that stock now.  Because as some point, probably soon, the price of that stock will reflect the value of that company.

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