1/ If you've felt like stock market has been disconnected from reality for the past few days, you're not alone

this is the story of the magic bubble created by amatuer traders that broke a multibillion dollar hedge fund

2/ To understand the market right now is to understand r/WallStreetBets

it's a 2.3 million person subreddit dedicated to memes and YOLO Tesla calls that relishes in the massive swings that come with risky trades

aka heaven for the hyperactive amateur trader
3/ The other main character in this saga is GameStop

it's a mall-based retailer that is saddled with debt ($450 million as of Q4 2020) and falling sales (down 40% in last 2 years)

essentially, it's the Blockbuster of video games waiting to be eaten by a Netflix
4/ So hedge funds have been shorting it

the pros on Wall Street saw a failing business and took positions where they would profit if the stock falls

in fact, it's the single most shorted stock in the entire Stock and S&P 500
5/ One hedge fund in particular called Melvin Capital held a $55 million short position against GameStop

Melvin also held large short positions against National Beverage, iRobot, and Bed Bath & Beyond

big mistake
6/ Soon after the market opened yesterday, look what happened

GameStop: +64%
iRobot: +42%
Nat. Beverage: +26%
Bed, Bath & Beyond: +19%

Melvin got absolutely obliterated
7/ Who's behind these ridiculous swings?

r/WallStreetBets

they had seen Melvin's shorts and mobilized en masse to blow them up

and yes, it's possible for the little guy to take on a multi-billion dollar hedge fund right now
8/ Melvin got caught in a short squeeze

as traders piled into GameStop, Melvin was forced to buy shares to cut some of its losses...which only drove the price higher

and remember, GameStop is a failing business

this was just r/WallStreetBets flexing on "the establishment"
9/ And poor Melvin?

after averaging a 30% yearly return since it was founded in 2014, its DOWN 30% to start the year

it had to take in $2.75 billion in outside funding to stay afloat
10/ GameStop's crippled one hedge fund, but ain't done yet

earlier today, billionaire investor @chamath bought $115 call options meaning he thinks the stock will keep on rising

despite his slightly tongue and cheek bullishness, the stock is skyrocketing once more today
11/ It's been a wild few days, completely detached from reality

but if GameStop teaches us one thing

it's that technology has leveled the playing field

the little guy can now mobilize online and go to-to-toe—and win—against the heaviest hitters on Wall Street

More from Trading

TradingView isn't just charts

It's much more powerful than you think

9 things TradingView can do, you'll wish you knew yesterday: 🧵

Collaborated with @niki_poojary

1/ Free Multi Timeframe Analysis

Step 1. Download Vivaldi Browser

Step 2. Login to trading view

Step 3. Open bank nifty chart in 4 separate windows

Step 4. Click on the first tab and shift + click by mouse on the last tab.

Step 5. Select "Tile all 4 tabs"


What happens is you get 4 charts joint on one screen.

Refer to the attached picture.

The best part about this is this is absolutely free to do.

Also, do note:

I do not have the paid version of trading view.


2/ Free Multiple Watchlists

Go through this informative thread where @sarosijghosh teaches you how to create multiple free watchlists in the free


3/ Free Segregation into different headers/sectors

You can create multiple sections sector-wise for free.

1. Long tap on any index/stock and click on "Add section above."
2. Secgregate the stocks/indices based on where they belong.

Kinda like how I did in the picture below.

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**Thread on Bravery of Sikhs**
(I am forced to do this due to continuous hounding of Sikh Extremists since yesterday)

Rani Jindan Kaur, wife of Maharaja Ranjit Singh had illegitimate relations with Lal Singh (PM of Ranjit Singh). Along with Lal Singh, she attacked Jammu, burnt - https://t.co/EfjAq59AyI


Hindu villages of Jasrota, caused rebellion in Jammu, attacked Kishtwar.

Ancestors of Raja Ranjit Singh, The Sansi Tribe used to give daughters as concubines to Jahangir.


The Ludhiana Political Agency (Later NW Fronties Prov) was formed by less than 4000 British soldiers who advanced from Delhi and reached Ludhiana, receiving submissions of all sikh chiefs along the way. The submission of the troops of Raja of Lahore (Ranjit Singh) at Ambala.

Dabistan a contemporary book on Sikh History tells us that Guru Hargobind broke Naina devi Idol Same source describes Guru Hargobind serving a eunuch
YarKhan. (ref was proudly shared by a sikh on twitter)
Gobind Singh followed Bahadur Shah to Deccan to fight for him.


In Zafarnama, Guru Gobind Singh states that the reason he was in conflict with the Hill Rajas was that while they were worshiping idols, while he was an idol-breaker.

And idiot Hindus place him along Maharana, Prithviraj and Shivaji as saviours of Dharma.