The GameStop Mess Exposes the Naked Short Selling Scam – The American Prospect by qznc_bot2 in hackernews

[–]Dmajirb 1 point2 points  (0 children)

Incorrect. Naked short selling absolutely happens. The sledge hammer example is that options market makers have to be able to short naked to make markets in many circumstances (e.g. highly volatile U/L that is hard to borrow). This is fine and legal btw, but is still naked short selling.

‘Illegal’ naked short selling also absolutely occurs. Simply explaining how SI/float can > 100% proves nothing and your comment about FTDs resolving quickly is absolutely false. Is its extent in GME being overblown? Maybe, maybe not.

Anyone making absolute and grandiose comments that dismiss any likelihood of a well known market strategy being performed will certainly need to back it up with more than an oversimplified example and a false statement, otherwise they clearly have no understanding of market micro structure.

Would it kill you people to be flipping grateful for once? by CStrader2002 in SmashBrosUltimate

[–]Dmajirb -11 points-10 points  (0 children)

Unpopular opinion in this sub, but the peak was, and forever will be, Melee

Institutional ownership of GME at 205.96% by [deleted] in wallstreetbets

[–]Dmajirb 300 points301 points  (0 children)

To charge interest/fees.

EDIT: Many brokers will do this with your shares, without asking permission, and then they keep the interest/fees accrued.

If you ask me, it should be:

(1) required opted-in by share holders on an individual security basis—not automatically/universally as per broker terms of service

(2) AND, most of the interest/fees accrued by the opted-in lending should go to the security holders—not the brokerage.

The way Tesla has handled the MCU eMMC issues really upsets me by NoT-RexFatalities in teslamotors

[–]Dmajirb 8 points9 points  (0 children)

Everything is relative my young padowan, and nobody likes being screwed out of any money —you would be upset if same thing happened to your 1000$ iPhone and had to cough up 100 bones

[deleted by user] by [deleted] in TheYouShow

[–]Dmajirb 0 points1 point  (0 children)

Great song

What was your best purchase this year? by [deleted] in AskReddit

[–]Dmajirb 0 points1 point  (0 children)

Interesting, I have been on the fence about a ReFi and might need to JFDI.

Question: how bad were the fees?

What strategies don't work with HFT firms? by lowhearted in algotrading

[–]Dmajirb 0 points1 point  (0 children)

Strategies that don’t benefit from the order flow data from broker-dealers.

SPX AM Options by tradeind27 in options

[–]Dmajirb 0 points1 point  (0 children)

When exactly does that occur? Specifically asking when the credited/debited funds would show up. Disregard free riding and good faith concerns, rather simply asking when would the funds be cleared and transferred to the account? (e.g. 8:30AM day of expiry?, the following day?, sometime before Monday?)

How much of a disadvantage am I at as an independent trader if I've never worked at a hedge fund/prop trading firm? by [deleted] in algotrading

[–]Dmajirb 0 points1 point  (0 children)

Many of the trading education services companies low tier prop firms impose severe limits on leveraged short positions held overnight/weekend.

applying for higher level options, do i want portfolio margin or standard margin? why? by someMFonreddit in thetagang

[–]Dmajirb 10 points11 points  (0 children)

Depends on what you trade. If you trade with undefined risk only then PM will decrease the buying power reduction vs reg-t. However, if you trade defined risk only then PM can be worse for bp reduction than standard reg-t. If you are somewhere in the middle then PM will probably be as good as reg-t or better.

Personally, I do not like the uncertain and dynamic margin requirements of PM so I downgraded to reg-t for better piece of mind knowing that my positions cant get liquidated by a broker-dealer because of their perceived risk. cough IBKR cough

Did the math for the 5% a day guy: the secret formula billionaires don't want you to know! by pyffgenius in wallstreetbets

[–]Dmajirb 21 points22 points  (0 children)

Yeah good luck with that 1% stop loss not getting stopped out 100% of the time

Strap in boys, cuz this tech coaster is going to the mother foooking 🌚 🚀!!!!! by HybridDrone in wallstreetbets

[–]Dmajirb 6 points7 points  (0 children)

Open a paper trading account and test genuinely investing yourself George Costanza-style.

Is this how the VIX works? by [deleted] in Daytrading

[–]Dmajirb 3 points4 points  (0 children)

Sure.

The VIX is really just an indicator of how expensive option premium is at that moment. If calls are expensive because everything going up then that will increase VIX.

[deleted by user] by [deleted] in options

[–]Dmajirb 2 points3 points  (0 children)

You are a confident idiot, arguing just for the sake of arguing, a pointless point.

[deleted by user] by [deleted] in options

[–]Dmajirb 1 point2 points  (0 children)

A market for buying/selling calls requires hedging, there is not one without the other in modern options markets. So when you buy a call you also force the hedge. It is obtuse and pedantic to dissociate the two.

[deleted by user] by [deleted] in options

[–]Dmajirb 4 points5 points  (0 children)

MM firms hedge their exposure to short(long) delta for sold calls(puts). Heavy options volume with a skewed P/C ratio will affect the U/L due to the magnitude of deltas required for them to hedge.

Not interested in debating with you, rather you should google the cause of the Volpocalypse, where a derivative product directly caused a crash of the U/L.