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Is this right? Most of these people pumping up and holding aren't going to get paid, they are going to lose their money when the stock finally deflates. That wo
by schnable 6y ago
Is this right? Most of these people pumping up and holding aren't going to get paid, they are going to lose their money when the stock finally deflates. That would be the same whether they halted trading or not.
- Tenoke 6y agoRH caused a huge price drop in a stock that a lot of their users held. At least some of them would've sold while the price was higher and in the best case for them if the squeeze worked it would've been the short sellers who would've made the losses who are mostly not on RH. This move near-guaranteed it's their users who took the bigger losses, including those that might've sold today anyway.
- UK-Al05 6y agoI imagine wsb people expect the stock to rise, when shorters have to buy the overinflated stock to satisfy their obligations. Wsb people knew this and exploited it, just like a hedge fund could do. However they don't have the political power of a hedge found so are now getting screwed by only being given the ability to sell not buy. People on wsb knew exactly what they were doing. But we're stopped because some big institutional investors don't like it. Institutional investors exploit retail investors all the time. They don't like it when it's the other way around.