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A comment on Class Action Lawsuit Filed Against Robinhood. Parent comment

Re:Class Action Lawsuit Filed Against Robinhood by smsm42 on Thursday January 28, 2021 @07:05PM (#25951416)
True, but that's for leveraged positions. So I wonder was that leveraged position or just plain "own stock" position? If the latter, I never heard about broker liquidating a position against the will of the client, when settlement of debt is not involved. Does it happen?

Edit: screenshot from reddit: https://pbs.twimg.com/media/Es1pb5KWMAE19CD?format=jpg&name=...

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Re:Class Action Lawsuit Filed Against Robinhood by mortehu on Thursday January 28, 2021 @09:12PM (#25952769)
It applies to any margin position. This can just mean trading with unsettled funds. E.g. you buy a stock, sell it, then use the proceeds to buy another stock (or the same one) before two days have elapsed.
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Re:Class Action Lawsuit Filed Against Robinhood by ZephyrBlu on Thursday January 28, 2021 @07:41PM (#25951924)
$118? That's daylight robbery. It must have been the lowest point of trading today.

In fact, when I look at the stock chart on Yahoo the lowest value $GME had was $126!

https://finance.yahoo.com/quote/GME?p=GME

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Re:Class Action Lawsuit Filed Against Robinhood by mortehu on Thursday January 28, 2021 @09:18PM (#25952820)
Forced selling doesn't just happen arbitrarily, but precisely because the price is low. Long positions using borrowed or unsettled funds are similar to shorts in that they can be squeezed, just in the other direction.
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