BREAKING TRADING ALERT - GME Headed to $30 by Monday FEB 15. Here are the underlying reasons, patterns and why it is crashing.

Friends and Family,

First, I have no financial investment advice to give anyone, if you choose to read this it is for entertainment purposes only.

As you know, I have been trading CALL and PUT options since 1995. During this time, you have seen me both make and lose the equivalent of a year’s salary in one day, one time in five minutes. I do not trade for a living, I do it for supplemental income and for the rush.

As the saying goes, you cannot fight City Hall and you should not fight the market either. While the Reddit folks did cause a stock short squeeze on GME, they did not hurt Wall Street, in fact they only made Hedge Funds holding GME a lot of revenue and here is why.

As the market squeezed the price of GME up traders simply purchased CALLS on GME. Now they held on to their short positions and made obscene money on the CALLS. Many never closed their short positions. They have been driving the stock down ever since, according to the original plan. They even have the media supporting the drive downward with intra-day messages of GME continuously, including misleading reports of late trading surges.

I have been trading PUTS for the last week and following the downward trend. Yesterday I made 66.52% on my FEB 12 61 PUTS.
Options are highly volatile; they can swing 10%-1000% in a single day. Naked options are the purchase of options with no underlying position in the stock. This is what I trade and I do it based on three things, 1) instinct, 2) information and 3) patterns, I am astute at pattern recognition. In fact I have watched nearly every minute of GME trading for the last eight trading days and many early trading and late trading sessions as well.


Here is what will happen with GME next.

1. GME stock will likely bounce higher today on the open 5-10% for a about 15 minutes, but will then immediately trade down below the open. The stock is highly manipulated right now, and WS can control the price for short periods of time, just like they did at the close yesterday when the stock was driven up 6 points in the last minute of trading, only to fall right back down in late trading. (Look at the 1 minute chart.)
2. GME will plunge another 10 points over the next few days and close at around $40. This will likely happen today. The stock will head into the weekend at a severe loss for this week of about 50%, it opened the week at $72 and traded as high as $90.
3. This weekend reality will sink in for retail investors and margin calls will begin for those that bought at the stock during the run up and WS will continue to close its short positions. In fact, the only upward price movement on this stock at all is caused by WS closing short positions. I believe their target price for this stock is $10. The stock has a negative PE, this is a fact.
4. This will drive the price down another $10 this weekend with panic selling.
There are patterns in the market that can be spotted, and this is one of them. There will be other patterns ahead including an excessively huge market correction this early spring.

My goal is to both provide entertainment and reach astute traders and exchange information. There are other traders on this site, and I wish to exchange ideas and information with them. That is all I have.

GME
02/08 Close $50.31

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Last Edited by AblePatriot on 02/11/2021 01:34 AM