@Investing · 3:05
GameStop Discussion and Q&A: Ask me anything about what happened this week!
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There is some complexities in here, but I think there's some important things that happen that will have a lot of implications on Wall Street for a long time to come here. So I think there were certainly some important events today this week, but also a lot of things that we can learn from, and I will be available if you have any questions, I would be more than happy to try and answer them on Sweden tomorrow Friday, 11:00 a.m. To 03:00 p.m.. Eastern time
Hey, Phil, I'm really glad that you set this up. And I wanted to start this Q and A. Off with a pretty simple question. Could you give me a summary of what's been going on? I know what's been going on, but I have been talking to so many different people, from my parents to other relatives, to even friends of mine that are just pretty lost about what's going on
phil spade
@Phil · 4:56
That had an optimistic look that had run their course downwards that were set to go back up. And when that happened, the people that are short will buy back into the stock. So you get an accelerator. So when people cover their short, they're actually buying back the stock. And that pushes the price of the stock even higher. So if I identify a stock that has a lot of short interests that I think will rise in the future, then buying that stock, you get that accelerator
phil spade
@Phil · 4:56
I don't understand how buying something long is really protecting investors. I can understand if you do not allow these companies to be margined, that is very common that you can't and basically buying stock on margin or shorting stock on margin means that you are borrowing money from the brokerage to make a further bet on these companies using the underlying stock as collateral. It happens all the time where brokerage houses will say we cannot margin these companies anymore and they'll name them specifically, I can understand that
Deborah Pardes
@DBPardes · 0:48
I'm sorry for the ignorant question, but I really don't know how to assess Robin Hood as a player here asking for a friend. Literally. I have a friend who uses Robin Hood. I don't. But what's your perception of Robin Hood after this episode
phil spade
@Phil · 4:59
If they feel that there is fraud going on in some capacity, or they feel that the company needs to address something that they need to disclose something before trading can resume. Now, that's rare that it happens, but it does happen. And that's always done in the exchange level, never at the brokerage level. What will happen at the brokerage level is that a company can restrict stock from being margin
phil spade
@Phil · 3:30
So just be careful out there. And I think having that plan and then understanding that you're trading on information that has been seen by a lot of professional investors, it's just something to take note of
Glenda Thomas
@glendatartist · 1:08
I was wondering, can they sue them? All the people get together of a class action suit for them, causing them to lose money because they turned it off, literally turned it off so they could not continue either. Even they couldn't sell what they hadn't ad. That's my question
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