The AudioBook Guide

The AudioBook Guide

By The Money Business PodcastEducationSelf-Improvement
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The AudioBook Guide episodes

  • Reddit's GameStop Stock Craze Explained

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    Wall Street has been watching GameStop in awe as a band of Reddit-obsessed retail investors managed to push the stock up 1,500% in two weeks, squeezing out short selling hedge funds. 


    A wave of at-home traders found each other on the red-hot "wallstreetbets" Reddit chat room, whose members have ballooned to over 6 million. By motivating each other to keep piling into shares and call options, they coordinated a monstrous short squeeze in the brick and mortar video game retailer. 


    “You combine the power of technology, which allows you through Reddit postings to magnify your individual impact, with some use of leverage and very targeted bets, they can have a significant influence, particularly on areas of vulnerability because of the short positions,” Paulsen said.

    Many enthusiastic Reddit users have been posting screenshots of their brokerage accounts, some of which touting astronomical returns north of 1,000% in a handful of days. These passionate investors often call out short sellers in the chat room in colorful language and unpleasant internet memes.

    “This is gaining cult-like status,” said Quincy Krosby, chief market strategist at Prudential Financial. “It is a pack of traders and the pack is gaining momentum. The retail crowd is not just taking over the shorts and it’s taking over the headlines.”

    The intense speculative behavior among retail investors is unnerving many on Wall Street as mounting losses by hedge funds could spill over to other areas of the market. Some also believe this buying frenzy could be an ominous sign for a market at record highs.



    3 min
  • GameStop & AMC Short Squeeze Explained WHY IT'S STILL NOT TOO LATE

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    The epic short-squeeze rallies furled by traders on Reddit's Wall Street Bets forum are unwinding, based on Tuesday's trading activity. 

    GameStop fell by as much as 67% on Tuesday, adding to a 31% decline on Monday. The stock was down 85% from its all time high of $483. GameStop had surged by more than 2,000% in January, leading to massive losses for some hedge funds like Melvin Capital, which was down 53% for the month. 


    The activity spread to another stock favoured by the Reddit traders, AMC Entertainment. The movie theatre chain fallen by 55% at intraday lows on Tuesday and was down 71% from its recent high of $20.36. 


    The trading activity suggests that Reddit users are failing to "hold the line," the battle cry of Wall Street Bets. 

    12 min
  • How Reddit Games the GameStop Stock

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    There are three things to remember as you watch the chaos unfolding with GameStop's stock price. First, Wall Street is just what happens when you mix money with feelings. Second, the internet is real life. And third, the street always wins, especially if you're trading with Robinhood. 


    If you haven't been paying attention, GameStop's stock has been soaring in a remarkably volatile fashion; On January 22nd, GameStop zoomed upward 69 percent before it triggered a circuit breaker halt. 


    On the surface, this doesn't make sense. GameStop, founded a year before blockbuster, is part of a dwindling cohort of IRL businesses that are being starved by online marketplaces. These days, you can just buy video games over the internet instead of going to a soul-killing strip mall in your city to buy a physical copy of the game. GameStop's business has been suffering as a result. 


    If you think GameStop will fail and the stock will go down, or even that the company will go bankrupt, there’s a way to make money on that. Typically, this is done by short selling — a practice where you borrow shares for a fee and sell them for (ideally) a high price, then buy them back at (ideally) a lower price to return them. This can make you a lot of money, especially if the company goes bankrupt and you don’t have to return the stock!

    The thing about short selling, though, is that you lose money if the stock goes up, and your losses are potentially infinite if the stock keeps going up. There are several other bad things that can also happen, such as an increase in fees or the original investor wanting their stock back. This means some shorts will be forced to “cover,” or buy the stock back at a high price, which sends the price even higher.

    4 min
  • GameStop Stock ExplainedWarnings - My Thoughts

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    The GameStop stock market roller coaster continued on Friday as the video game retailer's shares shot up, the online broker Robinhood struggled for cash and securities regulators issued a stern warning for anyone trying to game the market. 

    Catapulted by seemingly unrelenting enthusiasm on Reddit, GameStop stock soared nearly 68%. 


    On Thursday, it had plunged 44%. That happened after Robinhood, an online trading forum, restricted trades on GameStop, AMC Entertainment and other stocks that haven been driven up by amateur day traders on Reddit's r/WallStreetBets community, which now has 6 million members. 


    In recent days, the frenzy has put enormous pressure on Robinhood and other brokerages that have been attempting to keep up. 

    15 min
  • Gamestop rally Trading restrictions prompt anger

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    As you've probably heard by now, shares of GameStop, the video game retailer, have surged approximately a gazillion percent in the past six months, spiking sharply in the last several days. You might wonder why that happened, given that most people don't go to the store to buy video games anymore, particularly during a pandemic, and the sort answer is that a gaggle of small-time traders, many of them posters on the Reddit forum r/WallStreeBets, decided it would be both funny and a bait of cosmic retribution for them to drive up the price of GameStop's shares, screwing over the hedge fund managers who'd bet the company's stock was going to drop precipitously. 


    Obviously, that didn't end up happening! Whereas in the late 2020, a share of GameStop was worth just $18.84, at one point on last week, it was going for more than $500. That turned out to be extremely bad for the firms who'd shorted the company and literally ended up losing billions of dollars. As Bloomberg put it, "it's humbling turnaround for the hedge fund titans, who in 2020 stages a comeback by pouncing on the wild market caused by the COVID-19 Pandemic. But that crisis helped push thousands if not millions of retail traders into the U.S. stock market, creating a new force that for now the professionals seem powerless to combat."

    Given that most hedge fund managers are constitutionally incapable of beinghumbled, though, they’re pretty irate right now! No one comes between them and their money, especially not some amateur-hour Redditors who are supposed to have no idea what they’re doing, not beating them at their own game! The natural order of the universe is supposed to be that hedge fund managers are rich and all-powerful and people posting on Reddit are peons whose lives hedge fund managers could buy and sell millions of times over, not…whatever this is! Fuck!


    5 min
  • Billionaire on GameStop This is not going to end well for the public

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    That old gravitational pull for stocks hasn’t disappeared. It’s called reversion to the mean—and it’s not a lot of fun for investors in high-flying shares whose fundamentals stink. Reality eventually intervenes. Watch that happen to GameStop.

    Right now, the videogame retailer is held aloft thanks to the Robinhood/Reddit crowd, who have piled into the stock, partly to stick it to the financial establishment. Hedge funds that have sold GameStop short have had a punishing experience lately. But will this fad persist for the long pull. Ummmm, doubtful. Look for that huge share price to descend big time.


    The basic problem for GameStop as a business is that it depends upon customers coming to physical stores and, yes, stopping there. But as market research firm Place.ai noted in a recent report: “We don’t need a video store to buy video games.” Foot traffic at the company’s stores has been on a steady decline, the firm stated, dipping 2.9% in 2019 and a scary 27.3% last year.

    6 min
  • Consumed By The Apocalypse

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    Predictions of apocalyptic events that would result in the extinction of humanity, a collapse of civilisation, or the destruction of the planet have been made since at least the beginning of the Common Era. Most predictions are related to Abrahamic religion, often standing for or similar to the eschatological events described in their scriptures. 


    Christian predictions typically refer to events like the rapture, the Great Tribulation. Many religious related end time events are predicted to occur within the lifetime of the person making the prediction, who often quote the Bible, and in particular the New Testament, as either the primary or exclusive source of predictions. 


    Little research has been done into why people make apocalyptic predictions. Historically, it is been done for reasons such as diverting attention from actual crises like poverty and war, pushing political agendas, and promoting hatred of certain groups, antisemitism was a popular theme of Christian apocalyptic predictions in medieval times, while French and Lutheran depictions of the apocalypse were known to feature English and Catholic antagonist respectively. 


    Polls conducted in 2012 across 20 countries found over 14% of people believe the world will end in their lifetime, with percentage ranging from 6% of people in France to 22% in the US and Turkey. Belief in the apocalpyse is observed to be most prevalent in people with lower rates of education, lower household incomes, and those under the age of 25. 

    25 min
  • How to Outsource SEO (step-by-step)

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    The SEO market had expanded very much in recent years and because of this, you will be able to find a very large number of SEO agencies. But, a big problem that you can encounter is that because the market is still new the price of these types of services varies greatly. And the worst part is that you will not even be able to deduce the quality of the services based on prices. Meaning, you could pay a lot of many for a low-quality SEO service. 


    Although there are many famous SEO agencies and you can be sure that they will produce the results that you want, but they also ask for exorbitant prices. You should know that there are SEO agencies that are less famous and much lower prices but they are also able to produce the results that you want. 


    These agencies that have reasonable prices can reduce their costs and also the price of their services to a very affordable level. There are many reasons through which they can do that. To give two examples would be because they do not spend as much on paid advertising and because they are based in a country that has a weaker economy.

    You should start to look for an SEO agency in this type of country because they will not only be able to produce high-quality results at a much lower price, but they also lack the arrogance that these big shot SEO companies have.

    11 min
  • Content Writing for SEO How to Create Content That Ranks in Google

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    SEO content is, quite simply, content that's designed to rank in search engine like Google. You might think all content is SEO content, but that's not the case. For example, I have a lot of studies on our blog, and most of them get little or no organic traffic. Does this mean those posts failed? Not at all. I have published these posts to bring new insights to the SEO community-not to rank in Google. 


    No matter what your business does, you can only get so much organic traffic to your "money pages". 


    Before you even think about putting pen to paper, you need to find a relevant topic with “traffic potential.”

    To do this, think about broad topics that your potential customers might be searching for.

    If you sell baking supplies online, then this might be recipes for baked goods, cookware reviews, or other things related to baking.


    13 min
  • Common SEO Myths Busted

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    Google doesn't hate your website, AdWords don't impact SEO and 'freshness' and keywords are not as important as you think. 


    Every industry has its myths and so does the SEO world. Google tries now and again to shed light on common misconceptions. However, there is only so much a small team of outreach professionals can do to raise awareness at international conferences. 


    The biggest misconceptions about SEO that a we hear from people. They are looking for a way to increase visibility for their websites quickly, and somehow they hear SEO is the answer. The truth is, it is a way to increase visibility, but it typically won't happen fast. We frequently remind clients that search engine optimisation is a long game and that the majority of pages don't get to the top 10 results within a year. 


    Another big SEO myth that seems to make the rounds is keywords, title tags, and meta descriptions are irrelevant. Again, this is a myth that deserver debunking because there is significant value in these elements, even if they do not influence the ranking of your pages. 


    9 min

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