Normally we shy away from commenting on super-hot stocks. However, we’re going to make an exception with the madness surrounding Gamestop (GME).
Unless you’ve been hiding in a cave lately, you can’t help but hear how Gamestop stock has skyrocketed from under $20 per share to $483 in the last six trading days.
Note, as of this writing it’s trading at $126 after hitting $483 early this morning.
And all the Robinhood millennials are saying “WTF.”
Ironically (or NOT) this doesn’t surprise any of us at FinancialsMatter.
We’ve been there and done that before.
And to confirm our lack of surprise, the group taking credit for “Making the Market in GME Move” is the social media group REDDIT.
Gamestop gonna Gamedrop
Rest assured, Reddit Cannot push the markets wherever they like.
They believe they’ve become overnight geniuses and they’re telling everyone to hold GME and to BTFD…Buy The Freaking Dip.” And they’re saying GME is going to $1,000.
This reminds me of a call I received from an 89-year-old widow wanting to buy tech stocks within weeks of the Tech Crash in 2000.
(You can read it in our archives HERE).
Yes, that was 21 years ago.
But situations like what’s going on with GME is nothing new.
And we’ll go as far as saying that you should NOT get involved and if you own it GET OUT.
How’s that for blunt?
There are too many reasons to explain why in a simple email.
Beware of SEC Investigations
But suffice it to say that there will be numerous investigations and lawsuits as to why the little guy is able to make a killing in the market.
And if you own it or made money from it the SEC will eventually want to know why you bought it.
However, if you’re a politician or a privileged member of the Wall Street “Club,” you would be exempt from any SEC investigation.
Sad to say that’s how things work in the crooked world of finance and politics.
This is why we started FinancialsMatter.com.
And it’s also why we post emails everyday…to give you a behind the scenes look at how the financial world really operates.
So, if you really want to prosper AND thrive in Turbulent Times – instead of getting blown up in Wall Street’s mind-field – be sure to read our February issue of “…In Plain English” HERE).
It’s Not Just About Finance.
P.S. In the time it took to write this email Gamestop went from over $300 per share down to $112 and back up to $278. Don’t wait until tomorrow to get out.