“GameStonk” Lunacy: Is Speculative Fervor Reaching Epic Proportions?

Published on
January 26th, 2021
Duration
45 minutes


“GameStonk” Lunacy: Is Speculative Fervor Reaching Epic Proportions?

Daily Briefing ·
Featuring Haley Draznin, Ash Bennington, and Thomas Thornton

Published on: January 26th, 2021 • Duration: 45 minutes

Senior editor Ash Bennington hosts Tommy Thornton of Hedge Fund Telemetry to break down a day of absurd price action as GameStop skyrocketed 90% today and zoomed an additional 46% during afterhours trading. Tommy and Ash reflect on the shrewd yet reckless speculations of the r/wallstreetbets traders, who pushed hedge funds that were short GameStop like Melvin Capital to the brink, with Tommy noting that this intentional targeting of shorts triggered a record day of long/short degrossing. Turning to technical indicators, Tommy comments on the buying exhaustion he is seeing via DeMARK indicators, saying “this is a bubble that I think could pop at any moment.” He recommends “ringing the register” on successful trades and turning to cash. Tommy closes by giving Ash a long idea: Zynga Inc ($ZNGA). In the intro, Real Vision’s Haley Draznin makes sense of the market as company earnings reports take center stage and wild swings resume on heavily shorted stocks.

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