Yes, it is one way of attacking wealthy people, but you definitely would not like some of the other ways.
They're all crying foul play now that they have been gamed. No doubt plenty of phone calls were made to brokerages and the Nasdaq yesterday and like magic trading is halted or restricted...for the retail trader, but not for the big boys. Nice scam if you're in the club. The real insult to injury is they're doing this under the guise of protecting the little guy while ensuring that the little guy is the trapped bag holder while the big boys get lined up on the other side of the trade. Break out the guillotines
You chopped some parts off that word. Agree. But note that not all trading has been halted. Shareholders can still sell those stocks. It's merely a coincidence that it would help the hedge fund shorters.
And who made monies today? The same hedge funds extreme liberal media was rejoicing as being trashed by the retail traders? Those who believe that fairy tale needs their heads examined. When a women's talk show like The Talk on CBS is discussing this topic, none of the women have a clue over, you know they really dumbed the masses. The big boys drived the prices of GME and AMC higher, exited yesterday with volume over 1.2 billion shares. Shorted GME and AMC yesterday and now, collected more monies on the back of the dumb retail traders rejoicing just yesterday for trouncing those evil hedge funds? Good luck with that.
This is my take on this. I think the brokers in their own self-interest refused to allow their retail traders using margin to buy shares of GME and AMC today because they would have been on the hook for the huge losses they knew the retail traders were likely, to suffer. Remember, brokers are part of the big boys so, more likely short GME and AMC since, yesterday. So, today as the carnage enveloped the stockmarket with hedge funds no longer supporting it, retail traders were trying to find buyers at the absolute high prices and not finding any, prices just cratered as expected. The big boys, made out like bandits as usual. Legions of retail traders who was just crowing yesterday about sticking it to those evil hedge funds, got their heads handed back to them. Retail traders should be thankful because had they been able to buy more shares as it tanked, they would have suffered even more losses. The hedge funds couldn't care less because they will make their monies either way.
Robinhood will allow limited buying of restricted securities Friday, GameStop jumps after hours https://www.cnbc.com/2021/01/28/rob...rities-friday-gamestop-jumps-after-hours.html Shares of GameStop, AMC and others jumped in extended trading on Thursday after Robinhood said it will resume limited trading of previously restricted securities on Friday. “Starting tomorrow, we plan to allow limited buys of these securities. We’ll continue to monitor the situation and may make adjustments as needed,” Robinhood said in a statement. GameStop shares rebounded in after hours trading following the Robinhood decision. The stock gained 28% to trade at $247 in after hours trading, after closing down 44% at $193.60 during regular hours Thursday. The company said their decision to restrict trading -- which angered many users -- was in order to comply with capital requirements mandated by the SEC for broker dealers. “These requirements exist to protect investors and the markets and we take our responsibilities to comply with them seriously, including through the measures we have taken today,” the company said. Amid a frenzy of trading activity by retail investors, Robinhood, in addition to other retail brokerages, restricted trading in several names on Thursday. The free-stock trading app said that in some cases, investors would be able to only sell their positions and not open new ones. In addition to GameStop, the restricted trading sent shares of AMC Entertainment and BlackBerry tumbling 56% and 41%, respectively, on Thursday. Interactive Brokers took similar steps, and both it and Robinhood raised margin requirements on certain securities. TD Ameritrade and Charles Schwab raised margin requirements on Wednesday. Raising margin requirements increases how much money an investor using leverage and derivatives must have in their brokerage account after a stock purchase. The influence of retail investors — most apparent in GameStop — has captivated the Street in recent days, and speaks to a new class of traders who grew up amid the pandemic. Individual investors are creating short squeezes by piling into names that hedge funds are betting against, forcing the funds to rush to cover their losses. This typically pushes shares even higher. Retail investors are promoting their activity on the WallStreetBets Reddit board, which has more than 3 million members. Some view it as small, retail investors pushing back against the Wall Street establishment. Here’s the full statement from Robinhood: “This past year, we’ve seen the financial markets become a voice for the voiceless. We’ve seen a new generation of people come into the markets, sparking conversations about what it means to be an investor. Our customers have shown the world that investing is for everyone—not just institutional investors and hedge funds. Amid this week’s extraordinary circumstances in the market, we made a tough decision today to temporarily limit buying for certain securities. As a brokerage firm, we have many financial requirements, including SEC net capital obligations and clearinghouse deposits. Some of these requirements fluctuate based on volatility in the markets and can be substantial in the current environment. These requirements exist to protect investors and the markets and we take our responsibilities to comply with them seriously, including through the measures we have taken today. Starting tomorrow, we plan to allow limited buys of these securities. We’ll continue to monitor the situation and may make adjustments as needed. To be clear, this was a risk-management decision, and was not made on the direction of the market makers we route to. We’re beginning to open up trading for some of these securities in a responsible manner. We stand in support of our customers and the freedom of retail investors to shape their own financial future. Democratizing finance has been our guiding star since our earliest days. We will continue to build products that give more people—not fewer—access to our financial system. We’ll keep monitoring market conditions as we look to restore full trading for these securities. We will update this Help Center article with the latest changes. We are deeply grateful to our customers.”
https://www.bloomberg.com/news/arti...-from-banks-amid-trading-frenzy?sref=ZMFHsM5Z Robinhood Is Said to Draw on Credit Lines From Banks Amid Tumult The firm has tapped at least several hundred million dollars, one of the people said. Lenders include JPMorgan Chase & Co. and Goldman Sachs Group Inc. A representative for Robinhood declined to comment.
Yeh sure. On the other hand she is not surprised either to learn that Hunter Biden was receiving $100,000 a month from Burisma and a 1.5 billion dollar equity position in a Chinese company. Nothing to see there.