USA Stocks discussion - Part 2

[Bumblebee Man]

These funds and brokerage shd be held accountable for the transactions. If this means they go bankrupt so be it. Just make sure our retailers money with them is protected.

 

[MangoTuna65]

Beside the volume is OI

Singaporepools a certain hot number can be sold out

So what happen yesterday is call contracts got sold out also ??

I am most interested at the 12.4K @ 200. If i calculate correctly,

12400 * 100 * 200 (could be wayyyy more if they haven't buy and need to buy at current prices) = $248M?
And thats' just 1 strike price?

Question is, have the 1,240,000 shares been bought yet?

The 320 strike 1 is worth $302.4M. holy crap.

 

[TiedInsurer]

12400 * 100 * 200 (could be wayyyy more if they haven't buy and need to buy at current prices) = $248M?
And thats' just 1 strike price?

That's not how it works. IT's actually worth a lot more than that. How it actually works is, if Friday End of Day, share price of GME is $500 a share, then the brokerages need to deliver 12,400 * 100 = 1,240,000 shares to option holders. Just for the 200 strike price calls alone.

If the brokerages do not already hold that many shares (they don't), they will need to buy 1,240,000 shares of GME on the open market to deliver. The first few will cost them the market rate of $500, but as they keep buying the millions of shares they need, to honor the call options, they will drive up the share price drastically, especially now because no one is selling. The last few shares they buy will cost a lot more than $500 per share. This is known as a gamma squeeze.

And this is why brokerages desperately want to drive down the share price.

 

[CPFuncle]

I am most interested at the 12.4K @ 200. If i calculate correctly,

12400 * 100 * 200 (could be wayyyy more if they haven't buy and need to buy at current prices) = $248M?
And thats' just 1 strike price?

Question is, have the 1,240,000 shares been bought yet?

The 320 strike 1 is worth $302.4M. holy crap.

I don't know

if I don't close my position later

if today today gme close above 200, I have to take delivery of 2000 shares of gme at 157.5.

if close below 200 above 115 I have to take delivery of 1000 shares of gme at 115

if below 115 $0

 

[CPFuncle]

That's not how it works. IT's actually worth a lot more than that. How it actually works is, if Friday End of Day, share price of GME is $500 a share, then the brokerages need to deliver 12,400 * 100 = 1,240,000 shares to option holders. Just for the 200 strike price calls alone.

If the brokerages do not already hold that many shares (they don't), they will need to buy 1,240,000 shares of GME on the open market to deliver. The first few will cost them the market rate of $500, but as they keep buying the millions of shares they need, to honor the call options, they will drive up the share price drastically, especially now because no one is selling. The last few shares they buy will cost a lot more than $500 per share. This is known as a gamma squeeze.

And this is why brokerages desperately want to drive down the share price.

not brokerage, occ

 

[TiedInsurer]

not brokerage, occ

Ah yeah, you're correct. Sorry, didn't sleep last night. Too wild. And this thing can potentially change my life.

 

[MangoTuna65]

That's not how it works. IT's actually worth a lot more than that. How it actually works is, if Friday End of Day, share price of GME is $500 a share, then the brokerages need to deliver 12,400 * 100 = 1,240,000 shares to option holders. Just for the 200 strike price calls alone.

If the brokerages do not already hold that many shares (they don't), they will need to buy 1,240,000 shares of GME on the open market to deliver. The first few will cost them the market rate of $500, but as they keep buying the millions of shares they need, to honor the call options, they will drive up the share price drastically, especially now because no one is selling. The last few shares they buy will cost a lot more than $500 per share. This is known as a gamma squeeze.

And this is why brokerages desperately want to drive down the share price.

So the way i understand it is, the current share price is actually UNDERVALUED LIKE CRAZY, because there's so much pending shares that were 'bought' in the form of options, but not realized yet???


I might be going crazy here, but I look at my 5min candle chart for yesterday, and I look at the green candles with the biggest volume. 22k volume (assuming all BUY) raised the price by 7%, from about 280-300. Erm, so what is 1.24M buying volume gonna do to this stock???

 

[OnePunchMan]

If HF become bankrupt, no money pay, who absorb? Brokerage?

brokerage > marketmaker > Exchange > govt

 

[memberxray]

So the way i understand it is, the current share price is actually UNDERVALUED LIKE CRAZY, because there's so much pending shares that were 'bought' in the form of options, but not realized yet???


I might be going crazy here, but I look at my 5min candle chart for yesterday, and I look at the green candles with the biggest volume. 22k volume (assuming all BUY) raised the price by 7%, from about 280-300. Erm, so what is 1.24M buying volume gonna do to this stock???

snowball? extend expire date?
or possible already cover.
or buy from owner

 

[OnePunchMan]

So the way i understand it is, the current share price is actually UNDERVALUED LIKE CRAZY, because there's so much pending shares that were 'bought' in the form of options, but not realized yet???


I might be going crazy here, but I look at my 5min candle chart for yesterday, and I look at the green candles with the biggest volume. 22k volume (assuming all BUY) raised the price by 7%, from about 280-300. Erm, so what is 1.24M buying volume gonna do to this stock???

a lot... the squeeze is coming tmr or monday latest... you will see the before market attempt to push the price down to make option expire worthless.

reposting this for those who want to know roughly what happen to the brokersp

 

[MangoTuna65]

a lot... the squeeze is coming tmr or monday latest... you will see the before market attempt to push the price down to make option expire worthless.

And they already used up alot of ammo yesterday, share price mostly recovered.

German premarket is up. May the force be with you.

 

[decibel.]

brokerage > marketmaker > Exchange > govt

End of day, they bankrupt, you hold your heavy bags waiting for someone to come along buy from you. Government not gonna buy, broker maybe unless they choose to bankrupt too.

Sent from HUAWEI VOG-L29 using GAGT

 

[theMKR]

you sibei alot of stories one

I'm still not used to my account change from cash to margin. so i put in a stop limit position for 1 stock. then after awhile, I decided close the position via market order. end up while doing something else, i heard "tng!"
I was like weird, thought it came from the video i was watching. Checked my email and realised I was actually shorting the stock! omg, i close the short by buying back, heng made a few dollars profit.

Posted from PCWX using my high crass Redmi K20 Pro

dun get me start on yesterday IBKR blocked me from averaging down my AMC position..... i wanted to buy AMC at 6.55, then error "closing trades only"

screw them.

buy at 18dollar can, buy at 6.55 cannot......

 

[Zef]

Tonight is going to be v v v exciting. Once in a decade experience.

Am on IBKR and I just set sell 1 limit $2,800 for fun. Let's see if this goes to the moon.

Mandatory

 

[Zef]

dun get me start on yesterday IBKR blocked me from averaging down my AMC position..... i wanted to buy AMC at 6.55, then error "closing trades only"

screw them.

buy at 18dollar can, buy at 6.55 cannot......

last night wanted to average down on BlackBerry also cannot...Same message closing trades only! WTF?? Have 6 digits in my account and I can't buy what I want!! Market manipulation!!

 

[CPFuncle]

dun get me start on yesterday IBKR blocked me from averaging down my AMC position..... i wanted to buy AMC at 6.55, then error "closing trades only"

screw them.

buy at 18dollar can, buy at 6.55 cannot......

yesterday gme at 120-140 halt 2 times, jan27 570 strike trading at a few dollars only, cannot buy

 

[memberxray]

doom day today. end game for GME.

wear your seat belt tight. hard crash

bb/gme/amc

all in and be a zero tomorrow.

 

[TiedInsurer]

So the way i understand it is, the current share price is actually UNDERVALUED LIKE CRAZY, because there's so much pending shares that were 'bought' in the form of options, but not realized yet???


I might be going crazy here, but I look at my 5min candle chart for yesterday, and I look at the green candles with the biggest volume. 22k volume (assuming all BUY) raised the price by 7%, from about 280-300. Erm, so what is 1.24M buying volume gonna do to this stock???

Well.... realistically, they won't have to deliver 1.24M in shares for the 200 strike price options. A lot of people are going to sell the option back to the MM before market close, because they simply don't have the cash to actually excercise the option. It costs USD20,000 to exercise just 1 call option.

Still, this will probably squeeze like crazy tonight, assuming Wall Street doesn't try more shady tactics to tank the price further. They probably will. The losses they are looking at is so astronomical, that fines and jail time for market manipulation is probably starting to look appealing.

 

[MangoTuna65]

Tonight is going to be v v v exciting. Once in a decade experience.

Am on IBKR and I just set sell 1 limit $2,800 for fun. Let's see if this goes to the moon.

Mandatory

Once in 13 years

 

[MrSinkie95]

Tonight no need sleep?