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Message: [QUOTE="Niastri, post: 3706033, member: 722"] Everything you said was right, imo. However, the broker then took sides, protected themselves and their Daddy, the hedge fund. They prevented the prices from continuing to rise by only allowing the institutional investors (re. Hedge funds) to buy... Everybody else could only sell. Since nobody else was buying, the rising wave crashed and a lot of individuals got hurt. Meanwhile, the hedge funds could close their short positions under some reasonable price situation. The retail investors who inflated the stock were going to get pummeled when reality set in, but the brokers made it happen in an afternoon instead of a week, and apparently with an ulterior motive. To make matters worse, Robinhood started closing (selling clients stock without an order!) positions for their clients against their will! Probably those shares were then being used to close short positions for hedge funds. I would lose my licenses and get severely fined, possibly go to jail if I did that to my clients. Especially if I have an ulterior motive like supporting a third party in avoiding losses. I don't think loss of license, huge fines and even criminal liability should be out of the question. EDIT: Also, as mentioned up thread, this isn't a pump scenario... What the WSB crowd was doing was exceedingly risky (I would argue stupid even) but not a pump. The short squeeze is a great way to get high movement if a catalyst comes into play. AMC is a more traditional short squeeze that occurred when it became apparent they aren't going out of business any time soon. Massive price inflation as the shorts scrambled to cover... The difference is that nobody thought a thing like WSB could make it happen, or that it would get so insanely overheated as a result. The only mitigating factor that probably reduces the "crime" is how stupid and reckless the price wave was, and how all those people who were hurt were probably going to suffer anyway, like a compulsive gambler who can't walk away after a win streak. Long after GameStop goes under, people will be talking about this. Insane couple of days. [/QUOTE]

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