3 ms·
As it was said in previous days: they (the originators of the squeeze) can remain irrational longer, than the other side (hedge fund managers) can remain solven
by vetinari 6y ago
As it was said in previous days: they (the originators of the squeeze) can remain irrational longer, than the other side (hedge fund managers) can remain solvent.
- jermaustin1 6y agoTrue, but if they sell a massive position and the stock tanks, and a bunch of little guys are left to hold the bag, I could see the SEC definitely investigating it as a pump and dump.
- monadic3 6y agoMight as well try to hold water in a sieve. What are they gonna do, charge tens of thousands of people?
- vetinari 6y agoIf the bunch of the little guys invested each just few hundred, it is not that a big loss. So if they end up holding the bag, it will be distributed among big crowd, where each member would be missing just a little. Of course, if someone went above that and invested an amount, where losing it would hurt, that's different.