Playing The Real Game

Playing The Real Game

The "memes" are back. GameStop and other manifestations of last month's Reddit mania started grabbing headlines again late Wednesday, and it looks as though market participants may be subjected to another several days of distraction, courtesy of erratic (and wholly ridiculous) moves in some of the names associated with the WallStreetBets crowd. Hopefully, this doesn't get so far afield that it sucks the energy out of the room. The new narrative in GameStop (on the off chance you aren't apprise
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One thought on “Playing The Real Game

  1. Should we not hold short sellers to account for taking on a bad position to begin with. One that may end up being exposed to the hoards who have identified the lack of DD or gross negligence of the short seller. Should we not protect the market from this action at it’s origin, the improper short. That would eliminate the GME type action.

    It has been my fear that short sellers are a big influence behind pump and dump schemes. Where they short a company beyond what they know is unreasonable from a DD perspective, and do so in order to buy the cheap shares in what is then considered a value asset. That is until they rinse and repeat.

    I learned my lessons long ago in biotech where the short action included false and misleading “hit pieces” that had a dramatic affect on the price. The short scheme predates on the long and arduous process of getting medicines approved when combined with the high fail rates of potential products. Some of these companies have made it through and produced viable beneficial products for their fellow man, but not before enriching unscrupulous shorts lining the valley along the with the big guns mowing down “weak” investors on the journey. Drug development takes a long time and is a very risky for small cap companies. In many cases the short position is valid, in others it is mostly contrived and detrimental.

    Shorts deserve their place as scrutinizers of publicly traded companies, however some of them need scrutiny and perhaps prison in their own right.

    I do not willingly participate in retail trading. A large social media presence is a large negative for a stock under my consideration and I own very few individual stocks to begin with. Just my perspective.

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