Investors traded meme stocks and saw a lot of red on Wednesday.
The unofficial meme-stock index suffered a similar push on Wednesday, with the main name dropping significantly, and even a meme rotation in clean-energy names appears to be slowing as retail investors find themselves playing an unequal game of hack-a-mole heavy to play for the squeeze. Find short stock.
But while trading was ugly, retail investors felt a macro thrill at the signs that legal water was being splashed for their old insane Robinhood hood,
Ur-memes like gamestop GME,
And cos cos,
All closed to continue the fairly weekly trend, and even new names like Clean Energy Fuels Corporation CLNE,
And Canoo GOEV,
Earlier in the week, meme-stock traders could not benefit from what was sinking in the name of renewable and green-energy.
But a name was able to capitalize on that steady-breathing tendency.
Camber Energy CEI,
Closed 2.2% after rising more than 0% in early trading. Camper, which has seen a massive surge in social media interest from retailers on Wall StreetBet, also started the day as the shortest stock on the market, according to Hype Equity.
According to a Fintel study, “Raw short interest in Cambridge jumped from .1.1 million shares as of August 1 to 2.4.M million shares on September 15, a huge jump of 28%.”
For Camber, the old chemistry of heavy low interest and high social-media interest provided the big meme power to natural gas clothing on Wednesday.
However, this was not true for other heavy short names. Ketapult Holdings Inc. KPLT,
5% down, e-commerce playing Aterian ATER,
12.4%, and Vinco Ventures BBIG,
Decreased by 3.2%
Even the newly listed hipster Iowa Sweetheart Warby Parker WRBY,
Failed to get meme vapor, leaving only 0.8% to turn off at noon.
But not all was dark and frightening on the Reddit board on Wednesday, thanks to more potential legal scadenfroud from Robinhood headquarters.
Another class-action lawsuit has been filed by retailers in connection with the decision to stop trading in memo stocks of the zero-commission trading app. Indicates that the company’s chief operating officer was unloading his shares at AMC just a few days before the app restricted trading on the stock.
According to the filing, Jim Swartwatt told colleagues via an internal chat on Jan. 26, “I sold my AMC today.”
He warned fellow Robinhooders that “FYI কাল we’re going to take GME to 100% tomorrow morning তাই so be aware,” explicitly referring to margin costs that Robinhood would pay to keep access to super-volatile stock on Jan. 27 to decide to restrict access. The day before.
On Jan. 2, the company restricted trading on both stocks and others, realizing that it could no longer risk margin costs.
The move will likely protect Swartout from a loss of AMC shares that rose nearly 900% that month but will fall 56% in the days following Robinhood cut off access to its platform.
The lawsuit was widely publicized until Wednesday afternoon, which sparked a flurry of tweets raising suspicions about the emergence of subordinates and predetermined stock transactions devoted to speculation about Swartworth’s private stock trading and using them as further potential evidence to prove anti-retail chickens. It was a real event at the shrinking height of January.
Neither Swartwatt nor Robinhood responded to comment on the lawsuit.