Re:Robinhood is limiting purchases of stocks: AMC, Blackberr...
by Tinyyy on Thursday January 28, 2021 @10:07AM
(#25942862)
> Hedge funds do this to each other every day.
Do you have a source for this?
Re:Robinhood is limiting purchases of stocks: AMC, Blackberr...
by Person5478 on Thursday January 28, 2021 @10:41AM
(#25943555)
If it were not so shorting wouldn't be considered high risk...
Re:Robinhood is limiting purchases of stocks: AMC, Blackberr...
by adrr on Thursday January 28, 2021 @11:33AM
(#25944437)
If you remove the short squeeze part. It is still a pump and dump. Someone is going to be holding the bag when the stock comes back down. That is going to be retail investors.
Re:Robinhood is limiting purchases of stocks: AMC, Blackberr...
by sigstoat on Thursday January 28, 2021 @11:10AM
(#25944094)
short positions are inherently higher risk than long positions because your upside is finite, and the downside is unbounded.
(this is why you might want to... hedge your shorts.)
Re:Robinhood is limiting purchases of stocks: AMC, Blackberr...
by ordinaryradical on Thursday January 28, 2021 @10:24AM
(#25943198)
Start with Matt Levine or Michael Lewis if you want to see how games are played.
For eg, here’s an insane one from last fall on negative oil futures:
https://www.bloomberg.com/opinion/articles/2020-08-04/some-p...
Hedge funds do this to each other every day. Why is it suddenly wrong when it’s retail investors on the other side of the trade?
I truly do not understand the naïveté of arguments like these. Only the wealthy should be allowed to game the price of assets and rip each other off?