AMC’s huge drop continues MEME stock rout

AMC’s huge drop continues MEME stock rout

Shares of AMC Entertainment dropped 42% today, August 22, by the close. (That came after a 26% drop last week.) Other retail-investor speculative favorites fell too with GameStop (GME) dropping another 5.37% on the fast and Bed Bath & Beyond (BYND) continuing its collapse with the loss of another 16.23%. Does this mean the end of “MEME stock” investing by retail traders who jump on the momentum in names touted by one online investing community or another? Of course, not.

The speculative money is alive and “well” during Bear Market rally days

The speculative money is alive and “well” during Bear Market rally days

Friday, June 17, was a modestly up day for most of the indexes. The Standard & Poor’s 500, for example, gained 0.22% and the NASDAQ was up a stronger 1.43%. (The Dow Jones Industrial Average lost 0.13% on the day.) But you’d never know that the indexes were up only modestly if you checked the gains on the most speculative stocks in the market. Meme favorites GameStop (GME) and AMC Entertainment (AMC) were up 7.48% and 6.28%, respectively. But the speculative gains didn’t stop there.

The speculative money is alive and “well” during Bear Market rally days

Another slow day for the indexes–and another roaring day for “meme” stocks

The market as a whole continued to tread water today, June 2, as it waits for Friday’s report on May job gains. The Standard & Poor’s 500 closed up 0.14% and the Dow Jones Industrial Average finished ahead 0.07%. The NASDAQ Composite ended higher by 0.14% and the NASDAQ 100 moved up by 0.16%. The small cap Russell 2000 index gained 0.13% and the iShares MSCI Emerging Markets ETF closed higher by 0.16%. So, ho hum, right? Unless you looked at the “meme” stocks

GameStop Reddit trade plunges; money seeks new plays

GameStop Reddit trade plunges; money seeks new plays

As of 3:15 p.m. today, February 2, in New York, shares of GameStop (GME)were down 56.22% to $98.50. That a big drop from the January 27 closing high of $347.51, but it’s still significantly above the $17.25 price on January 4. Other stocks that have ridden the Reddit WallStreetBets fever for short squeeze horses are down today too. AMC (AMC) is off 39.70% to $8.02. First Majestic Silver (AG), the big silver play of the last few days, has given up 24.28% to $16.75. Bed Bath & Beyond (BBBY) is off 14.64% to $25.77. American Airlines (AAL), an early short squeeze play, slipped 1.16% to $17.65. The only potential short squeeze bet (if it was, that is) that’s still climbing is vaccine pill biotech Vaxart (VXRT), which was up 34.30% at 3:15 and looks to be riding momentum into the close. (The shares were up 54.43% as of 3:40 p.m.) Vaxart does bring this question to mind: So if the money is coming out of GameStop, etc., where is it going?

Robinhood re-opens GameStop trading and surge resumes

Robinhood re-opens GameStop trading and surge resumes

After as 43% drop yesterday after Robinhood and other free-trading brokerage sites favored by individual traders halted trading in GameStop (GME) and other short-squeeze favorites such as AMC (AMC), today, January 29, the rally–which seems an inadequate description of the 1538% 3-month gain in GameStop shares–in GameStop and AMC has resumed with a frenzy after these brokerage companies again allowed trading in the shares.

You’ve seen the GameStop pump; now beware the dump!

You’ve seen the GameStop pump; now beware the dump!

As of 3 p.m. today, January 28, shares of GameStop (GME) were down 30.02% to $243.18. At the height of the Reddit-facilitated short-squeeze the stock traded at $357 just yesterday. The stock began 2021 at $17.25 on January 4. So we’re talking about a big gain in shares of what is, at bottom, a fading brick and mortar software gaming mall-centric retail chain. Individual traders have successfully used the big short position in the stock to squeeze short-sellers into buying to cover the bets that the stock would crumble. Today, though, some of the air has come out of the GameStop play–and out of other heavily shorted stocks that have staged their own rally in GameStock’s wake.

The speculative money is alive and “well” during Bear Market rally days

GameStop “effect” spreads–how much did it contribute to today’s stock market tumble?

Shares of GameStop (GME) were up another 134.84% today< January 27, to close at $347.51. The stock traded at just $17.25 on January 4, 2021. The heady gains in GameStop have led traders to look for other heavily shorted stocks that might go up BIG as short sellers are forced to buy shares in order to cover their bets that the stocks would fall. So AMC (AMC), the country's largest operator of (closed) movie theaters, gained 301.21% today to close at $19.90. The shares traded at $1.98 on January 5, 2021. Traders also cast their eyes at American Airlines (AAL), which gained 6.63% today after a mention on Reddit's Wall Street Bets forum tagged "AAL, the next GME.) And it looks like the big gains in these stocks that have come at the expense of short sellers (in what is a classic short squeeze) could be having a negative effect on stock prices outside these retail favorites.