"'Looking at the 5-year GME [GameStop] chart is just insane,' wrote one [Reddit] user. Many tagged their posts YOLO, an acronym for “you only live once.'"

https://www.wsj.com/articles/gamestop-shares-surge-toward-fresh-record-ahead-of-opening-bell-11611579224?
I think it is good for more people to learn how to invest and the basics of stock valuation/screening. But, this is likely too far.

"[Some fund managers] say trading by individual investors is pushing stock prices out of whack with fundamentals."
The $GME example shows that there is significant group (that moved the market) that is using public information (which stocks are the most shorted) and smartly using it against other investors for their own advantage (forcing shorts to buy at high prices to cover their losses).
However, because these investors rally on public forums themselves, like Reddit and Robinhood, it is likely that we will start to see established fund managers fight back in a similar manner and lead these individuals to significant losses.
I am not sure how the broader market would handle that event. Investors pushing stock valuations out of sync in spite of one another.

Efficient Market Hypothesis is being heavily put to the test.
Very good thread that summarizes the $GME Reddit Short-Squeeze https://twitter.com/MorningBrew/status/1354138766307336192?s=20
You can follow @danielabboudi.
Tip: mention @twtextapp on a Twitter thread with the keyword “unroll” to get a link to it.

Latest Threads Unrolled:

By continuing to use the site, you are consenting to the use of cookies as explained in our Cookie Policy to improve your experience.