3 ms·

>Everyone talking about what GME is 'actually worth' is spouting bullshit. The fact is, no one knows. Because it's up to the market. youre right in that no one

>Everyone talking about what GME is 'actually worth' is spouting bullshit. The fact is, no one knows. Because it's up to the market. youre right in that no one, least of all me, can predict future stock prices, but i think youre missing the point. even if GME stabilizes at $150 - which is an unlikely tripling of value - most of the people involved are going to lose most of their investment. the fundamental principal is that a short-squeeze HAS to end in a pricing crash. its the whole mechanism by which the squeeze occurs in the first place. the final price isnt really relevant, the point is that most people have to absorb large losses by definition. I think a lot of the players dont understand this; they think its free money, and are gonna scream bloody murder because they think they only lost because RH did something illegal. RH actions are irrelevant, legal or not, because the trade was bad in the first place. the only way this doesnt happen is if the original market was wrong about GME to the tune of 1000%. maybe the short squeeze happens and GME never crashes, it peaks and stays at $350 and then beats the S&P 500 by 10% YoY for the next decade and everyone that bought long just makes money. if you believe that then well, good luck.

slfnflctd 6y ago
> the only way this doesnt happen is if the original market was wrong about GME to the tune of 1000% The reason I used TSLA as an example is because this is pretty close to what happened there! The future scenarios 'priced in' to that company now are several degrees beyond ludicrous. I don't think I'm missing the point at all, which to me is: massive swaths of the entire market are super irrational right now, and have been for a while, with no end in sight. > no one, least of all me, can predict future stock prices This seems more true to me today than it ever has been. After all the shit I've seen happen with stocks in the past few years (2020 especially), things I used to consider impossible I no longer do. None of this makes any sense any more. I don't really have the stomach for it, honestly, the whole thing makes me nauseous. But if I want my meager savings to do anything other than lose value, I still have to try to evaluate what's going on to weigh my choices.
- kryogen1c 6y ago
  > massive swaths of the entire market are super irrational right now, and have been for a while, with no end in sight. good point. youre making me second guess myself, but i think in the end GME's case is just too extreme. it mightve been undervalued at $20, but i just dont see the volume of positions >$200 as defendable or profitable. even if the gamma drives the price bananas high today, the end result will just be an even larger crash at the end.

slfnflctd 6y ago

> the only way this doesnt happen is if the original market was wrong about GME to the tune of 1000% The reason I used TSLA as an example is because this is pretty close to what happened there! The future scenarios 'priced in' to that company now are several degrees beyond ludicrous. I don't think I'm missing the point at all, which to me is: massive swaths of the entire market are super irrational right now, and have been for a while, with no end in sight. > no one, least of all me, can predict future stock prices This seems more true to me today than it ever has been. After all the shit I've seen happen with stocks in the past few years (2020 especially), things I used to consider impossible I no longer do. None of this makes any sense any more. I don't really have the stomach for it, honestly, the whole thing makes me nauseous. But if I want my meager savings to do anything other than lose value, I still have to try to evaluate what's going on to weigh my choices.

kryogen1c 6y ago
> massive swaths of the entire market are super irrational right now, and have been for a while, with no end in sight. good point. youre making me second guess myself, but i think in the end GME's case is just too extreme. it mightve been undervalued at $20, but i just dont see the volume of positions >$200 as defendable or profitable. even if the gamma drives the price bananas high today, the end result will just be an even larger crash at the end.