Why GME dipped yesterday and why Holding the line matters more than ever.
DD
Hello dear autists (and some new joiners who are about to hop on the train),

This is an unprecedented moment in Financial history. The establishment is balls deep in each others' arses and we saw that in the Citadel-Robinhood-Point72-StevenCohen collusion yesterday.

For those who missed what happened: Robinhood and other brokerage platforms coordinated a short attack on the retail investor by blocking buy orders and allowing only sell orders. This resulted in a near evaporation of buying volume and panic selling from a lot of understandably concerned stock holders.

It can be construed that this was happening on the orders of the great Citadel, who may have profited off opening short positions at the top. This was seen and caught by multiple order flow traders who noticed block trades.

A short ladder

A short ladder was initiated. They closed the gates to retail and then block sold orders in the open market to drive down the prices. They did this between hedge funds A, B and C to maintain positions while profiting off their short positions (initiated at ATH). This can also be cross checked by looking at yesterday's volume, which was truly minimal. These HFs engineered the short ladder to use the low price to cover their short positions for cheap. Yet, the short interest dipped only marginally (from 140 percent to 120 percent)

The idea was to have retail offload as many shares as possible to increase float, which will make covering the short positions easy. So now we know that this is what they want. They want us to sell. And they will try a variety of tricks to make us sell. The short ladder was one of those.

So what can we do? And how will it matter?

We do the opposite of what they want us to. We don't sell. How will this help the short squeeze?

Not selling (and letting the buyers pile in) will add to the buying pressure. It will also reduce float.

So when the shorts do choose to cover, they will need to buy again, and again, and again to cover their entire position.

So hear me out here let's do some quick math. Short interest (no of shares shorted/ no of available in float) = 120 percent. There are more shares shorted than exist to be bought.

Investors like Burry and Cohen further reduce this float by piling in. In reality, the short is a good multiple of the float (this is my hunch). We have caught them by the balls and have a chance of changing the status quo.

All you have to do is Hold and not increase the share float. Shorting Gamestop is becoming more expensive by the minute. The shorters need to pay their brokers margin to borrow shares too. By reducing float, we can make these HFs bleed more.

By holding the line, we make HFs taste blood.

To Valhalla. Or the Moon. 🚀🚀

I'm a retard on a break from my CFA studies. Not a financial advisor (yet) 😉