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I disagree with Chamath’s take. Chamath sounds intelligent but it’s misplaced. It’s like analyzing Black Friday stampedes with the rationality of product qualit

I disagree with Chamath’s take. Chamath sounds intelligent but it’s misplaced. It’s like analyzing Black Friday stampedes with the rationality of product quality assessment, better customer service, and overall better shopping experience. No. That’s not why these people are rushing in. Black Friday stampedes are a cascading phenomenon of FOMO + price trickery. It’s a giant mob with irrational behavior. Let’s not polish it too much. WSB is a cesspool (even after sterilizing it) of awful logic and herd thinking. The real losers are going to be average Joe’s who jumped into this with their Robinhood accounts and got their savings wiped out. Chamath, Naval, Elon etc all belong to the narrative of decentralization and crypto with their own vested interests. Just the other day I was listening to Naval’s interview with a New Zealand media house - dude is literally urging people to buy Bitcoin. Unrelated, but I’m going full bonds/cash after seeing the insanity today’s market is, not just GME but look at TSLA, etc. I can stay irrational longer.

runawaybottle 6y ago
It’s really not a cesspool. Outside of the frenzy, they do a solid job (when things are quiet) of finding cheap stocks with a potential to move within a year. Even GME, before the phenomenon, the subreddit was mostly targeting 40 dollars around April earnings. The short squeeze was a real tactical play, but most people weren’t 100% on that as the main catalyst (as in, most people really thought the ps5/Xbox sales would be realized at earnings time beyond the ridiculous short position of bankruptcy). It’s a pretty sensible subreddit.
- systemvoltage 6y ago
  I’ve been following it for 7-8 years now. Lots great DDs that didn’t turn out as well. After sterilization (ignoring 99% of the nonsense comments), I just see more guess work than anything else. Before GME, there was RiteAid, we all know how that panned out.
  - runawaybottle 6y ago
    So we can’t knock a community for throwing ideas out there. I’ve gotten ideas from WSB that have led me to other ideas. It’s an alright subreddit, but to disparage them as dumbasses is a little much (they do enough of that to themselves as is).
    - systemvoltage 6y ago
      No doubt, there is some good stuff in there as well. A few DDs are very in-depth and surprisingly good. I don’t think the whole subreddit is like that.
      - cinntaile 6y ago
        Does DD stand for Deep Dive or what does it stand for?
        jyrkesh 6y ago
        "Due diligence". It used both as a tag for posts that try to give real analysis, as well as a meme to describe terrible or humorous logic for making trades (e.g. "DPZ DD: everyone at this party just agreed that Dominoes Pizza is the best pizza, go long DPZ", stupid stuff like that).
        wolfretcrap 6y ago
        I always thought it meant doubling down.
  - tmotwu 6y ago
    Even Wall Street has losers, of course not every DD will touch gold. People in a forum like HN would ought to know Wall Street has been gamified for the longest time. People will gamble irregardless if they do so on the stock market or not. The people calculated enough to make money knows the sort of risk they are taking. The earth continues the spin - the only difference is that some retail investors having started taking note of what has been happening and are capitalizing on it. Chamath or Elon and their vested interests are irrelevant - backing democratization or individual investors isn't a bad thing.
  - segmondy 6y ago
    So it's a cesspool and yet you have followed it for 7-8yrs? Please! It definitely has amazing value for you to follow it for 7-8yrs, there are few things that I have used for 7-8yrs. I have been following it since last year and it's amazing. Sure, you have to dig out the gem, but it's like mining for gold or diamond. Gotta do the work.
  - jyrkesh 6y ago
    Yeah, and there was also TSLA and AMD and MU and others that did great. The point is that they actually write out real strategies/positions as "DD", and you can make your own decisions.
    - systemvoltage 6y ago
      Oh my, good ol' memories of $AMD and $MU. They did pan out!
      - Seanambers 6y ago
        In the modern american economy nobody except perhaps onlyfans have created so many new millionaires as wsb :)))
pnathan 6y ago
Yeah, periodically I've puttered over to WSB and looked around. It's not a shining jewel of analysis on a normal day. Right, now it's a pure stampeding herd of FOMO with metaphorical taxi drivers giving stock tips. Which is pretty canonical bubble material. I think some of the fundamental analysis on WSB is sound, but doesn't support the existing valuation. The "short squeeze" play is interesting, but I don't have access to the ticker and book to read the details on what is actually going on. It's stampede material. Sure, I've got a little in AMC/GME, but even if we, ahem, "go to the moon", because, eh, why not, it's a fraction of a fraction of my net, why not pick up a few bucks on the side. =) The vast bulk of my investments are perking along in Vanguard index mutuals and will not even notice GME.
deleted 6y ago
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runawaybottle 6y ago

It’s really not a cesspool. Outside of the frenzy, they do a solid job (when things are quiet) of finding cheap stocks with a potential to move within a year. Even GME, before the phenomenon, the subreddit was mostly targeting 40 dollars around April earnings. The short squeeze was a real tactical play, but most people weren’t 100% on that as the main catalyst (as in, most people really thought the ps5/Xbox sales would be realized at earnings time beyond the ridiculous short position of bankruptcy). It’s a pretty sensible subreddit.

systemvoltage 6y ago
I’ve been following it for 7-8 years now. Lots great DDs that didn’t turn out as well. After sterilization (ignoring 99% of the nonsense comments), I just see more guess work than anything else. Before GME, there was RiteAid, we all know how that panned out.
- runawaybottle 6y ago
  So we can’t knock a community for throwing ideas out there. I’ve gotten ideas from WSB that have led me to other ideas. It’s an alright subreddit, but to disparage them as dumbasses is a little much (they do enough of that to themselves as is).
  - systemvoltage 6y ago
    No doubt, there is some good stuff in there as well. A few DDs are very in-depth and surprisingly good. I don’t think the whole subreddit is like that.
    - cinntaile 6y ago
      Does DD stand for Deep Dive or what does it stand for?
      - jyrkesh 6y ago
        "Due diligence". It used both as a tag for posts that try to give real analysis, as well as a meme to describe terrible or humorous logic for making trades (e.g. "DPZ DD: everyone at this party just agreed that Dominoes Pizza is the best pizza, go long DPZ", stupid stuff like that).
      - wolfretcrap 6y ago
        I always thought it meant doubling down.
- tmotwu 6y ago
  Even Wall Street has losers, of course not every DD will touch gold. People in a forum like HN would ought to know Wall Street has been gamified for the longest time. People will gamble irregardless if they do so on the stock market or not. The people calculated enough to make money knows the sort of risk they are taking. The earth continues the spin - the only difference is that some retail investors having started taking note of what has been happening and are capitalizing on it. Chamath or Elon and their vested interests are irrelevant - backing democratization or individual investors isn't a bad thing.
- segmondy 6y ago
  So it's a cesspool and yet you have followed it for 7-8yrs? Please! It definitely has amazing value for you to follow it for 7-8yrs, there are few things that I have used for 7-8yrs. I have been following it since last year and it's amazing. Sure, you have to dig out the gem, but it's like mining for gold or diamond. Gotta do the work.
- jyrkesh 6y ago
  Yeah, and there was also TSLA and AMD and MU and others that did great. The point is that they actually write out real strategies/positions as "DD", and you can make your own decisions.
  - systemvoltage 6y ago
    Oh my, good ol' memories of $AMD and $MU. They did pan out!
    - Seanambers 6y ago
      In the modern american economy nobody except perhaps onlyfans have created so many new millionaires as wsb :)))

pnathan 6y ago

Yeah, periodically I've puttered over to WSB and looked around. It's not a shining jewel of analysis on a normal day. Right, now it's a pure stampeding herd of FOMO with metaphorical taxi drivers giving stock tips. Which is pretty canonical bubble material. I think some of the fundamental analysis on WSB is sound, but doesn't support the existing valuation. The "short squeeze" play is interesting, but I don't have access to the ticker and book to read the details on what is actually going on. It's stampede material. Sure, I've got a little in AMC/GME, but even if we, ahem, "go to the moon", because, eh, why not, it's a fraction of a fraction of my net, why not pick up a few bucks on the side. =) The vast bulk of my investments are perking along in Vanguard index mutuals and will not even notice GME.

deleted 6y ago

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