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On Reddit thread WallStreetBets, where calls to buy stocks have helped drive the extraordinary moves, some of its more than 4 million members reported trading platform Robinhood was now preventing investors from buying new shares in GameStop and other of the companies.

Robinhood, one of the biggest of the easy access apps that has spurred the development of a huge online community of amateur traders, did not immediately respond to requests for comment.

Shares in American Airlines soared as much as 60%.

“It does appear that it (American Airlines) may be getting caught up in this day trading frenzy,” said Randy Frederick, vice president of trading and derivatives for Charles Schwab in Austin, Texas.

The dramatic jumps in the stock price of companies including GameStop, BlackBerry Ltd and AMC Corp drew more calls for regulatory scrutiny and action from commentators.

 

https://www.reuters.com/article/us-retail-trading/american-airlines-joins-gamestop-trading-frenzy-as-calls-for-probe-build-idUSKBN29X12T

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50 minutes ago, bigruss said:

Major brokerages have stopped buying (still allowing selling) on GME, AMC, BB, NOK, how is this not market manipulation?  

Which ones? Only one I see if robinhood. Theres been some misconstrued headlines saying other firms but all i see is them restricted naked short options and upping the margin requirement to 100%. That makes sense as brokers have financial risk themselves on those positions. It doesn't make sense for the brokerages to not allow trading on them. They're making bank on this. I actually have no ideal why robinhood would other than they literally can't handle the bandwidth. 

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6 minutes ago, Buehrle>Wood said:

Which ones? Only one I see if robinhood. Theres been some misconstrued headlines saying other firms but all i see is them restricted naked short options and upping the margin requirement to 100%. That makes sense as brokers have financial risk themselves on those positions. It doesn't make sense for the brokerages to not allow trading on them. They're making bank on this. I actually have no ideal why robinhood would other than they literally can't handle the bandwidth. 

I am not doing any of this but have seen lots of statements about TD Ameritrade doing the same thing.

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1 minute ago, Balta1701 said:

I am not doing any of this but have seen lots of statements about TD Ameritrade doing the same thing.

I'm not on there but from what I can tell they just stopped naked option selling and require you to take on the full risk of the contract instead. That makes sense in this case. Typically they're doing you a favor by taking on some risk and allowing a user to trade naked options (or on margin too). If these houses do end up restricting the stock it will be a horrible look for them. 

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2 minutes ago, mqr said:

It's a big club and we ain't in it

Ive only heard Robinhood is doing this. My Fidelity account is working fine besides for early in the morning when the trading was overwhelmed.

I hope this kills Robinhood as an IPO. They were already caught filling improperly and now they are forcing their customers to be unable to properly defend their positions. 

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1 minute ago, Soxbadger said:

Ive only heard Robinhood is doing this. My Fidelity account is working fine besides for early in the morning when the trading was overwhelmed.

I hope this kills Robinhood as an IPO. They were already caught filling improperly and now they are forcing their customers to be unable to properly defend their positions. 

Yea I'm absolutely pissed at RH, I'll be moving out of them next week.  

I believe TD Ameritrade did something similar yesterday but I just read that in an article and I don't have personal experience with it.  

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1 minute ago, bigruss said:

Yea I'm absolutely pissed at RH, I'll be moving out of them next week.  

I believe TD Ameritrade did something similar yesterday but I just read that in an article and I don't have personal experience with it.  

I dont have TD, but from what I can tell it seems they are making certain types of trades (options etc) more difficult and have higher requirements. Many places already have these restrictions about margins etc because they theoretically could leave the brokerage liable if things went hectic. Maybe someone here has a TD account and can give more information, but if that is true, it is a lot different than a blanket restriction on buys for certain stocks. 

By restricting buys they are eliminating support positions which makes a drastic sell off much more likely. I fully expect to lose all the money that I put in, but it was to show solidarity. Nobody cares if a hedge fund or short seller tanks my stock position. So for today, Ill let them sweat a little. 

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14 minutes ago, bigruss said:

Yea I'm absolutely pissed at RH, I'll be moving out of them next week.  

I believe TD Ameritrade did something similar yesterday but I just read that in an article and I don't have personal experience with it.  

I've been using WeBull for a while, switched from RobinHood. WAY more info, but less intuitive interface. Better trading hours.

Lord have mercy, I'm kicking myself right now. I've had positions on two of the meme stocks in the past (AMC, AA) but sold for longer, catalyst based holds. I also knew WSB was going to do it's GME rip but figured I'd hold onto my portfolio. Didn't expect eat-the-rich week to actually take off.

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1 minute ago, Quin said:

I've been using WeBull for a while, switched from RobinHood. WAY more info, but less intuitive interface. Better trading hours.

Lord have mercy, I'm kicking myself right now. I've had positions on two of the meme stocks in the past (AMC, AA) but sold for longer, catalyst based holds. I also knew WSB was going to do it's GME rip but figured I'd hold onto my portfolio. Didn't expect eat-the-rich week to actually take off.

Robinhood stopping people from buying GME caused it to tank from 390 to 130 in about a half hour. They may have effectively killed the movement

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9 minutes ago, bmags said:

Looking at all the dumbest people on twitter complaining about this, I feel safe saying the people helped today by trading restrictions were not wall street.

For me this isnt about making money. Its about creating publicity so that regular people may start to see what is really going on behind the curtain.

The system is very rigged, but I never thought wall street would go this far and actually have certain platforms shut down buying. 

Edited by Soxbadger
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2 minutes ago, Soxbadger said:

For me this isnt about making money. Its about creating publicity so that regular people may start to see what is really going on behind the curtain.

The system is very rigged, but I never thought wall street would go this far and actually have certain platforms shut down buying. 

What was actualy going to happen though? A bunch of people believing the perpetual motion machine joining at the end and losing a bunch of money. 

I don't buy the "good ole boys gonna throw the redditors in jail". Their plays have been pretty creative uses of options to create gamma squeezes before, but this took on a life of its own. They weren't doing market manipulation.

But in the last day? I've been seeing on tiktok and twitter make statements that could easily qualify as lying in their telling people to keep bidding. At that point, the people who were going to get hurt weren't hedge funds (they were already hurt).

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2 minutes ago, bmags said:

What was actualy going to happen though? A bunch of people believing the perpetual motion machine joining at the end and losing a bunch of money. 

I don't buy the "good ole boys gonna throw the redditors in jail". Their plays have been pretty creative uses of options to create gamma squeezes before, but this took on a life of its own. They weren't doing market manipulation.

But in the last day? I've been seeing on tiktok and twitter make statements that could easily qualify as lying in their telling people to keep bidding. At that point, the people who were going to get hurt weren't hedge funds (they were already hurt).

Its going to get on the news, maybe it gets enough people to cause congress to investigate all of the bullshit that goes on in brokerage and trade platforms. Maybe it exposes Robinhood for the garbage that they are (https://www.finra.org/media-center/newsreleases/2019/finra-fines-robinhood-financial-llc-125-million-best-execution)

This stuff has been going on forever. Back in the day it was called curbside trading where the brokers and everyone got together after hours and fixed their trades so everyone made money. 

My little hope is that it puts just a little bit of fear into the short selling hedge funds who think that they are untouchable and can manipulate stock prices for free money.

I knew it was going to be a rout today, but change isnt free.

 

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25 minutes ago, Quin said:

I've been using WeBull for a while, switched from RobinHood. WAY more info, but less intuitive interface. Better trading hours.

Lord have mercy, I'm kicking myself right now. I've had positions on two of the meme stocks in the past (AMC, AA) but sold for longer, catalyst based holds. I also knew WSB was going to do it's GME rip but figured I'd hold onto my portfolio. Didn't expect eat-the-rich week to actually take off.

 

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