RE:RE:RE:Gamestop It is an interesting situation. If you think about it in very simple terms there are essentially 10k people that own $1M in stock. There are many holding more than that. Others less.
Shorts have a position of -140%. So the equivalent of 14k people holding a negative $1M obligation to buy stock. And they have to buy the stock.
Astoundingly, the holders of the stock refuse to sell. The only way to correct this is for the hedge funds to go to GameStop and beg them to issue equity at pretty much whatever price they demand.
And with the hedge funds targeting to eliminate GameStop into oblivion there will be no mercy by management.
The only thing in my view is that the SEC or other government entities force GameStop managements hand.
This theoretically has no upper limit and this is why there is a concerted effort to reduce demand by the brokerage houses.
As already there are rumors that a number of clearing houses won't deal with certain hedge funds due to counterparty risk on their short losses.
And even Robinhood is running into liquidity problems.
Interesting week ahead.
I do think this euphoria will continue as there is 7 trillion in cash on the sidelines yielding virtually nothing. People have time on their hands and are looking for the next big thing. An anecdotal piece of evidence is that Scotia I trade had a seven hour call queue as they are opening record number of accounts.
I do believe that this money will make it to QTRH and other small cap stocks.