Business & Investment

GameStop shares retreat from record rise after more than half of short positions have been eliminated

GameStop Corp.’s stock reversed course on Monday, retreating from a record weekly rise, after a prominent analyst said more than half of its short positions had been closed.

GameStop
GME,
-30.77%

Shares fell 35% on Monday, down 31% to close at $ 225.00. Volume was over 34 million shares by the closing price. Over the last 10 trading days, the average daily trading volume was 92.2 million shares, and over the last 52 weeks, the average daily trading volume was 11 million shares.

Last week, GameStop shares 400% surge in a very volatile trading week Here, proponents of individual equity investors gathered through the Reddit WallStreetBets thread clash with short-selling institutional investors on Wall Street.

Ihor Dusaniwsky, head of predictive analysis for financial technology and analytics firm S3 Partners, which specializes in analyzing data on short cells, said at GameStop on Monday that “short squeeze has begun.” Some were guessing A short aperture was pushing up inventory in mid-January.

According to S3 data, the number of shorted GameStop shares decreased by 35.2 million shares from last week, and the remaining short positions decreased by 27.1 million shares, or 56%. According to Dusaniwsky, shorts lost about $ 13 billion in 2021 alone, even after winning more than $ 2 billion in the recession on Monday.

“Both fundamental and momentum shortsellers have found the opportunity and price exit point to adjust their positions in the face of these losses due to the full implementation of GME’s short squeeze,” Dusaniwsky said electronically. I commented by email.

Meanwhile, GameStop, AMC Entertainment Holdings Inc. The strain most likely to be said in the same breath.
AMC,
+ 0.30%
,
It rose 30% on Monday, but rose 0.3% to $ 13.30. An analyst downgraded a stock to a sell valuation Lower the price target to $ 1.

Newly added to Reddit was handled by iShares Silver Trust
SLV,
+ 7.08%
,
It rose 12% on Monday, but ended up at $ 26.98 at 8%.

Meanwhile, other significantly short-circuited stocks like GameStop recorded significant losses on Monday. Stocks like Naked Brand Group Ltd.
NAKD,
-13.94%
,
Bed Bath & Beyond Inc.
BBBY,
-14.35%
,
National Beverage Corporation.
FIZZ,
-13.17%
,
SunPower Co., Ltd.
SPWR,
-9.85%
,
And Macerich Co.
Mac,
-10.76%

It was closed by more than 10% on Monday.

A significantly short-circuited stock that went against the downtrend on Monday included BlackBerry Ltd.
BB,
+ 3.76%

Nokia with a profit of 3.8%
No,
+ 7.24%

Fossil Group Inc. with a 7.2% profit
FOSL,
+ 4.90%

Close up 5%, 3D Systems Inc.
DDD,
+ 9.48%

With a gain of 9.5%.

GameStop shares retreat from record rise after more than half of short positions have been eliminated

http://www.marketwatch.com/news/story.asp?guid=%7B21005575-02D4-D4B5-4572-D24BA32113E1%7D&siteid=rss&rss=1 GameStop shares retreat from record rise after more than half of short positions have been eliminated

Back to top button