Name: How Reddit gamed the stock of GameStop
Uploaded: 2021-01-29T18:50:12.000Z
Duration: 4 min 10 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

Adverbs of manner

So by now you have probably seen the parts of the stock market has been thrown into utter chaos.

Gamestop American Game Stops Stock has been on a wild ride AMC to.

And by the time you're watching this, any number of random mall chains may have had their stock sent rocketing up by an organized group of day traders hanging out on a subreddit called Our Wall Street beds.

Somehow, during the pandemic, stocks became a meme.

Now our editors and Wall Street jumping in behind them have moved so much money so quickly that it's already gotten the attention of the new Treasury secretary toe.

Understand how you have to look at the big picture.

Okay, so let's start by explaining how this all began.

We're all home and board during the pandemic.

Some of us started baking our own bread about this, but other people started day trading before the pandemic.

A bunch of online brokerages got rid of trading commission, so it was a lot cheaper for retail investors.

That's people like you and me to trade stocks.

In fact, last year was a record for volume and retail trading.

Now Gamestop has been losing money and a reliable cash register for people who bet against it for years.

Its stock usually goes down after its earnings.

There's sort of a technical explanation for how this works, but basically they're just betting on the stock going down.

One thing that does happen, though, is that if you're shorting a stock, you're exposed.

If the stock goes up a lot, in fact, your losses air theoretically infinite on our Wall Street bets.

About a year ago, a user suggested that Gamestop was undervalued and in fact, it became a joke that are Wall Street bets would take over Gamestop.

There's a way doing options, trading that you can force the stock up, which makes the shorts cover their positions, and the free online trading platforms such as Robin Hood.

Although I want to be very clear, not exclusively Robin Hood make this possible.

Buying Gamestop calls suddenly became a mean, and people began to coordinate in a way retail traders hadn't ever before.

Meanwhile, on Reddit, a bunch of people are demanding lost porn which is when you post your losses and point out all the ways that professionals have manipulated the market.

I just want to be clear with you guys, though.

There are rich people on both sides of this trade, and some rich people are just getting richer.

Meanwhile, several online brokerages have limited the trading on the stocks that the Reddit Er's target now they're editors.

Honestly, I don't know, and probably a bunch of things have changed between us filming this and you're seeing it so we'll find out.

But when you combine all the new people who are bored and doing day trading social networks and names, there's a powerful new force in the market, one that's being amplified by existing players on Wall Street.

In fact, this is basically Wall Street finding out what an Internet mob is capable of, and it's probably also going to end in tears.

I mean, Gamestop is an open pump and dump.

The stock is going up because we're in the pump and there's a really obvious next step.

The other thing that's likely is regulation.

I mean, we talked earlier about how the Treasury secretary is already paying attention.

The SEC has put out a statement saying they're paying attention, and we have lawmakers talking about this on Twitter, notably both Democrats and Republicans.

You've got Ted Cruz, Alexandria, Ocasio, Cortez and Ro Khanna all saying that they want to review this and see if there are changes that need to be made to.

Some of I think that a new source of uncertainty has been injected into the markets, and right now they're more like a casino than ever.

Well, a lot of people gotten education on how the stock market works, and Wall Street gotten education on how online mobbing works and the Internet learned a new skill that it's probably going to repeat.

 As I said earlier, Ah, lot of things have probably happened between us recording in this video and us uploading this video because this story is moving really fast. 