GME shorts are suffering approximately $500 million in losses from GameStop’s price surge today.
GameStop soared to $123.14 per share, up almost 31% from its previous close of $94.20.
And GME shorts are facing the wrath of retail investors yet again.
Will this cause short covering to occur?
Let’s break it down together below.
Welcome to Franknez.com – retail investors are sticking it to short sellers again! Both AMC and GameStop saw impressive gains today, causing millions in losses for short sellers betting against the so called ‘meme stocks’.
Let’s dive right into it!
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GameStop surges nearly 31% starting the new week
GameStop surged 30.72% today causing GME shorts nearly $500 million in losses.
GME’s trading volume was also significantly higher than its average volume of 3 million.
Today GameStop’s trading volume reached 14 million, driving the stock up nearly 31%.
We’re also seeing a lot of afterhours activity.
GameStop has gains upwards of +16% afterhours.
And although afterhours price action should be taken with a grain of salt, it certainly elevates investor confidence.
Will GME shorts finally close their positions?
Be sure to leave a comment at the end of the article with your thoughts.
GME shorts are without a doubt going to continue to lose money holding on to their short positions.
The retail community has only grown which puts short sellers at a disadvantage.
Furthermore, retail investors continue to fight for market transparency and short seller scrutiny in the market grows.
Ryan Cohen purchases 100,000 shares of GME stock
Co-Founder of Chewy and Chairman of GameStop Ryan Cohen just purchased 100,000 shares of GME stock, shown in this SEC filing.
Cohen now has a total stake of 11.9% in GameStop.
Here’s the Chairman’s response to his latest position increase.
Ryan Cohen has been public about his distaste for short selling in the market.
Among other public figures to show their dislike for short sellers has been Elon Musk (Tesla), Adam Aron (AMC), and Jon Stewart.
Short sellers have been driving the prices of AMC and GameStop down for over a year now in efforts to refrain retail from creating squeezes.
But will retail power drive GME shorts out before they incur beyond-repair losses?
GameStop short interest data
Mainstream media has been pumping out that GameStop can no longer squeeze.
However, this narrative is false and part of a ‘short and distort‘ campaign produced to fuel corporate leaders’ short selling agenda.
GameStop currently has a high short interest of 23.87%.
I update GME’s short interest here daily in case you’d like to bookmark it for your convenience.
GameStop’s utilization is at 100 and there are currently 20.13 million shares out on loan.
In other words, GameStop has plenty of short squeeze juice to skyrocket its share price to new all-time highs.
GameStop’s massive surge to $500 last year in January triggered Robinhood to halt trading.
AMC, and other ‘meme stocks’ that were rising in share price were also halted.
GME shorts lost billions.
History might just repeat itself, only I think we all know the damages today will much more superior.
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