Craziness in the market. My son took a $1000 and parleyed it into $14,000 in basically one day. Got out put 13K into solid stocks and back at it today with his $1000.
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Craziness in the market. My son took a $1000 and parleyed it into $14,000 in basically one day. Got out put 13K into solid stocks and back at it today with his $1000.
Congrats to him...sharp young man.
Crazy how stocks work and how they can be so volatile. I hear that action costs the Hedge Fund market a few $Billion..
You only make it if you get it back out........did he sell?Quote:
Originally Posted by Species8472
Admittedly, I know very little about how the market works, but I was watching something on Fox last night that said they shut down trading on the Gamestop shares? Lots of folks a bit PO'd about it?
Yes. Sold for 14k. Put 13 of that away and took 1k to go back at it.Quote:
Originally Posted by 410001661
Good move, and congrats to him. But, proceed with caution. I bought shopify two years ago at $1.32 now it is about $1200. Those are fun to talk about. Remember Nortel? Bitcoin and Tesla have some great stories too, but just remember there are lots of “nortels” out there too.Quote:
Originally Posted by Species8472
I need him to give me some investing strategies..... I am jealous...Quote:
Originally Posted by Species8472
Good for him
If you think your know what your doing, go big. Use leverage play with big boys and buy or short some options. At worst your out your permium, at best you hit a grand slam.
https://www.msn.com/en-us/money/tops...ns/ar-BB1dc2mA
been folowing this. ive wanted to put in money for a while now but for some reason these apps dont work with RBC. the next ones to be looking at are NOKIA , BLACK BERRY, VIRGIN GALACTIC, AMC to name a few.
Back a bit my son made a bunch off BlackBerry doing the same thing.Quote:
Originally Posted by Bowjob
yeahQuote:
Originally Posted by Species8472
run this by him im sure he knows who this guys is. this guys the reason why wall street is going nuts right now
https://twitter.com/wallstreetbets?r...Ctwgr%5Eauthor
Have to be careful, this was a reddit thing to drive up the price and screw over big corporations. I wonder if knowing that reddit users were going to do that in considered insider trading or not. They are not inside but they have the knowledge to manipulate the market for their gain.
Remember when Musk leaked that he is going to have a huge announcement about Tesla and that things are much better than anyone thought, he had a legal issue there.
Lucky him that he got on this, as long as he plays with money that is not needed it is not a true gamble, but the people who take out loans to play this sort of game can be in a heap of trouble quickly.
Smart guy! Good for him!!Quote:
Originally Posted by Species8472
I don’t think there’s anything technically illegal Fox.
What your referring to might be considered front running. A situation where someone like me knows orders are coming that might move the price. I use that knowledge to get my own order in. In this case he is hoping those orders come in.
Pump and dump.
A case where fraudulent claims are made to pump the stocks value by people long the stock. Usually insiders. Then they dump them. A great example of this would be BRE-X.
In this case all he’s done is encouraged people to buy, by pointing out that short sellers will either have to meet margin calls, and put up more collateral or cover their short positions. Also, as more shares are bought, the cost to borrow them increases which eats into their profits.
I used to short billions worth of stock. The cost to borrow depending on specifics was 7 basis points. ( .00007)., if something became hard to borrow that could increase to 25 basis points, or 1/4 of 1%. May not sound like a lot. But multiply 1/4 of 1% by 100 million or more.
Cost of collateral is kind of the same.
So in the end, he’s triggered what’s known as a short squeeze.
Ethical?
No. I’m sure he’s made a fortune. And there’s a very small chance regulators might look at people that profited. Much as they did with bre-x. But I doubt it