The Crazy (Yet Sometimes Fun) Wall Street Of The 21st Century | From the Mind of the Gorilla

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It Ain’t Over Until It’s Over

I can remember as a kid – hearing my dad listen to financial news radio as he would drive me to the bus stop…

I wanted to listen to anything BUT financial news – even the Bee Gees – but it was my dad’s ritual – and he’d have thumped me in the ear had I tried to change the station.

I can remember thinking, “Boy, this stuff sure sounds boring.”

It helped shape my idea of what the world of investing world was – a gray and drab world of suits, ties and sensible haircuts…

Of course, back in the 1970’s and 80’s – that’s what it was – and until a few years ago, that’s how it stayed.

But e-trading changed all that…

And now, you can make trades from the comfort of your home in your underwear – however, as nice as that is – it’s changed the landscape of Wall Street and given rise to a new kind of investor.

A new species of trader – and their changing EVERYTHING.

Don’t get me wrong…

I’m not afraid of change – in fact, I would like to think I embrace it better than most – but the financial landscape of 2021 is an entirely new animal that has been created by people barely old enough to shave.

This new Wall Street is hard to understand for some…

They see what these kids (yes, KIDS, some are actual children under 18) and they don’t understand how they’re able to do what they do and succeed.

What they’re doing almost defies the law (and actual legal laws too) of trading…
They’re protecting stocks from shorters who are trying to make a killing from a company dying.

It’s almost unheard of.

These kids have cost some of the biggest investment firms BILLIONS by “holding the line” of a stock…

Meaning they get together in an online forum (most notably Reddit.com) and encourage people to CONTINUE to invest in a stock – even when it doesn’t have much value – driving up the market cap and leaving those shorters in a bind when the call comes in and they have to pony up the money they promised.

And then – even when that happens they want you to have “diamond hands” and hold onto the stock regardless of how high it goes…

It’s a really weird and counterintuitive scenario.

The most famous of these stocks has been the GameStop (GME) play…

If you want to amuse yourself – look at the 6-month chart of this stock. I’ll bet you dollars to donuts you’ll either shake your head in disbelief or chuckle.

It really sent the entire financial world into a tizzy…

So much so, that the trading app Robinhood, shut down trading of GameStop due to the chaos is was causing for them and the rest of Wall Street – something those kids didn’t take too kindly too.

It’s truly amazing how this all happened – all because a bunch of young investors wanted to “troll” shorters and big investment firms.

However, as much publicity as the GameStop play has received – the fact is – there are numerous other stocks that are getting the same kind of Gen Z treatment.

Which is funny…

As these stocks have taken on the name of “Zombie MEME” stocks.

Like their predecessors – Zombie stocks – the Zombie MEME stocks are companies who are “dead in the water” but continue to trade, regardless of whether the company is viable or not…

The difference being – the Zombie Meme stocks gain popularity through MEMEs generated by the same kids trading the stock.

Basically, they use comedy to inject enthusiasm into a stock – and the kids start piling on like moths to the flame…

Again, it’s a truly amazing feat – I’m just not really sure how LEGAL it is.

It seems to be on the cusp of insider trading – but yet it hasn’t been shut down by the SEC yet – so it’s hard to really know what’s going on.

The biggest problem is it goes against the very laws of the nature of trading…

You’re not supposed to invest in a stock supporting a failing company – but here we are – doing exactly that.

I have to admit – it is kind of fun to see that the stuffiness that I always equated with Wall Street has been shooed away by the perniciousness of youth…

Just hope it doesn’t come back to bite us all – as this counterintuitive way of trading could truly throw a monkey wrench into the whole machine.

I guess only time will tell.

Until then, if you’re looking for help with YOUR trades – you know that GorillaTrades is ALWAYS here for you…

While we don’t make decisions on MEMES – we do use hard data and REAL numbers in our trading matrix to ensure that we give our subscribers the best profit opportunity we can find.

We’d love to have you on board for the next round of picks – but I understand if you want to blaze your own trail.

Regardless of what you choose, just realize the landscape of Wall Street is changing…

And like with all things in nature – you either adapt or die – either way, the choice is up to you.

“Change is the law of life. And those who look only to the past or present are certain to miss the future.” – John F. Kennedy

Source: https://www.gorillatrades.com/the-crazy-yet-sometimes-fun-wall-street-of-the-21st-century-from-the-mind-of-the-gorilla/

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