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/biz/ - Business & Finance

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23506934 No.23506934 [Reply] [Original]

Could someone explain the GameStop situation to me. So they have more out options than actual stocks exist, why will this make price go up? Plain English pls, no terminology at all. Grug English also accepted

>> No.23506969
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23506969

I have no idea what's going on except that I like the meme it produced

>> No.23507005

>>23506969
Great... I’m looking to invest 10k into this and I want to turn it into 100k quick.

>> No.23507136

>>23507005
the meme is gamestop makes a lot of money when sony and microsoft jerk eachother off every few years, buy when they start circlejerking their next pcbox, sell when they make their profit, boom money thanks gamestop

>> No.23507235
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23507235

>Pointy nose tribe bet GME go down
GME go up
>Pointy nose tribe need sell GME but hold thinking GME go down
>Funny hat tribe see funny nose tribe trying to bring price down
>Drive up price so pointy nose tribe sell higher
>Great war of nose vs hat
>Grug just buy GME cause like game

>> No.23507239

>>23506934
>Grogstop no more make money from predatory resell of video game
>Grogstop make deal with Microgrug
>Microgrug give grog money when grog sell shiny new grugbox one Xs
>Grog make money from contract and agreement with Microgrug, now grog make money
>Grog happy

>> No.23507248

>>23506934
I think this situation happened with volkswagen in 2007. search on wikipedia for it and report back.

>> No.23507689

>>23507248
Yes it did. I still do t understand how the situation resolved itself. There were more shorts than stocks. So if they didn’t make any new stocks, I assume shorted stocks had to make the rounds at least more than once. What I mean is a shorter stock was bought back by the shorter and than resold to another shorter

>> No.23507715

Anyone got this acritcle? Could shed some light on the situation

>> No.23507739

>>23507715
https://www.google.com/amp/s/seekingalpha.com/amp/article/4370860-gamestop-short-squeeze

>> No.23507858

>>23507248
The Volkswagen one was a 2x ratio of shorter shares to available shares. GameStop is about a 1:1. I’m bullish on GameStop bc if it’s recent moves but we could see something similar to the Volkswagen situation I guess

>> No.23508042

>>23507689
Probably right. They could have sold their loss for something close to break even maybe.

>> No.23508061

>>23507858
GME is about 1.5:1 ratio atm. I would guess the ratio correlates to price movement similarly to the Volkswagen situation.

>> No.23508108

>>23508061
That’s float proabably. I was saying total outstanding to total shorted. But maybe it way is better to look at. I guess 6% was available to investors for Volkswagen which could be similar to float

>> No.23508124

>>23508108
The thing is the Volkswagen thing happened almost overnight. Why aren’t these shorted investors making their move? Could they be waiting for the price to crash!

>> No.23508176

>>23508124
You need a catalyst.
Companies like bear stearns also get overshorted, but that doesnt matter.

Go look at the msft news if you want some ideas for a potential catalyst.

>> No.23508203

>>23508176
So the cataclysm is the price going up?