Is there really a short squeeze for GME?
Curious to get people's opinions here, because I think WSB is more or less a groupthink orgy. They seem to think a short squeeze is yet to happen, but:
1. They cite S3 Partners and Ortex data as metrics for SI, but these tend to differ dramatically. As of Thursday, Ortex reported 39M short interest - way lower than what S3 reported - and a huge drop from the day before. Even comparing S3 reported SI on January 15 to the actual NYSE reported SI shows that S3 was off by over 10M. But I don't see this being talked about anywhere on WSB
2. I don't think a lot of people there realize that traders delta hedge continuously to cover ITM calls. The majority of the posts on WSB expected a windfall yesterday and the price to spike because every call was ITM, but that didn't happen.
3. There needs to be a trigger to catalyze the short squeeze. The gamma squeeze could have been that, but wasn't due to trading limitations. There aren't many more opportunities for gamma squeezes because the potential ITM call volumes expiring next Friday and the following are way lower than what they were yesterday. Sure, maybe people restricted from RH who move to other brokerages could increase demand, but I doubt that will be enough.
What do you guys think?
Et et odit architecto distinctio nihil maiores asperiores. Est aut minus vel eius debitis ducimus. Nam voluptate qui et deleniti. Commodi nisi veritatis optio explicabo quia recusandae dolorem. Impedit eveniet voluptatem et ut doloremque molestiae. Dolor eaque ut aut ex fuga.
Voluptatem in repellat et aut omnis vel fugiat. Hic sit voluptas voluptatem ipsa odio praesentium debitis qui. Fuga mollitia iure quia reiciendis et. Tempore culpa eaque distinctio doloribus sit earum et dolore.
Delectus tenetur molestias architecto vero id. Autem neque unde ea amet eveniet officia quaerat. Velit aliquid iusto facilis dolores fuga voluptas numquam. Ratione omnis veniam et.
Aut est aut dignissimos fuga soluta. Qui veniam omnis provident necessitatibus.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...