Will WallStreetBets mark the end of short-selling as we know it, or was GME a one-time sideshow in the market? Now the question is whether WallStreetBets and its enormous degree of retail trading influence will target another highly shorted equity or if GME is a one-off. Today the seemingly endless GME short-squeeze advances with the shares up as much as 90%. The other big issue here is that the fundamentals and technicals of GameStop shares are so out of whack that GME bears continued to enter the trade through both short-selling and puts, which has led to what appears to be a continuous short-squeeze. This caused another larger cascade of short-sellers from larger institutions to cover their short positions, which made the upside move of GME radically larger, catalyzing the Big Short-Squeeze. It didn't take long for some of the smaller, less capitalized investment firms to cover their shorts (buying the stock at market value to exit their positions) and add fuel to the rocket ship that was just taking off.Īs more unqualified due diligence, memes, and screenshots of unbelievable gains hit the WSB message board, more and more degenerates piled into GME just hoping to catch some of the profit action. When WSB's degenerates started posting about GME when GameStop announced its 3 new board members: Ryan Cohen and two other digitally inclined directors, the WSB buying started. GME had an unprecedented level of short interest, which equated to 139% of total shares held short (at its peak), meaning that there weren't even enough shares out there for everyone to cover these high-risk positions. The perfect storm of chaos caused GameStop's parabolic surge. The GME short-squeeze will be a case study in business schools for decades to come.

GME was up 700% in less than two weeks (at its high), driven by one of the biggest short-squeeze in history catalyzed by a cohort of unified retail traders on WallStreetBets. A level of overbought that I have never seen in a large cap stock before. You can see GME’s prolific gains below and its RSI level (on the bottom) being above 95.

The stock was trading at less than $20 a share on January 12th to its peak of $159.18 yesterday. The 2+ million self-proclaimed degenerates on WallStreetBets drove GME 'to the moon' across 10s of thousands if not 100s of thousands of Robinhood trading accounts. This small piece of bullish news was enough to start a domino effect of Reddit memes, massive gains screenshots, and FOMO buying. These new directors will join the rank of this dying brick-and-mortar retailer in an attempt to pull the company out of its obsolescent trajectory. There were no other perceivable catalysts for this GME rally other than RC Venture's (a significant GME shareholder) and its co-founder & managing director Ryan Cohen's announcement of 3 new board members on January 11th.

Wsb ag stock