Seeing a lot of chatter all of a sudden. Must be a hive mind thing. I’ve been ringing this bell literally for months, and I want to clear the air.
Here’s the deal … Sears started to squeeze along with GameStop back in January. It wasn’t the only one. I suspect that’s because, like GameStop, Sears and many others are massively shorted and in probably all the same ways. This is evident in the short volume, SEC FTD reports, and price action in late January/early February.
The difference between the Sears and GameStop is that this has been going on with GameStop for years, whereas this has been going on with Sears (and others) for decades. Pretty much since the advent of electronic trading in the 70s, when shorts no longer needed to physically borrow shares, but could instead just locate.
Everyone keeps talking about the fundamentals of Sears. Bankrupt. About to be dissolved. Nothing of value. Forget dying brick and mortar … Sears is a dead brick and mortar. Any of this sound familiar?
So sure, Sears is a shell. But none of that matters. All that matters is the stock market is (suppose to be) a zero sum game. And if shorts must close, I suspect Sears shares will do something spectacular.
I’ve asked this several times over the past couple of months in comments and posts … but I’ll ask it again. If Sears is a dead company and doesn’t matter, who is working so hard to consistently short it (check out that borrow fee rate!)?
Yesterday’s action … that’s about $150K in short volume … who is bothering with this, and why?
Here are a couple (okay, more than a couple) of links with more of my thoughts about the situation surrounding Sears, the GME connection, and what I think is really going on with this market. Sorry for this post to being all links, but I’ve spent hundreds of hours and tens of thousands of words on this topic over the past few months, much of which has never really been seen. Shillbots like me. Strike that. They love me. I sometimes wish I could see all my down votes as a single number. I often feel like I must be the most controversial poster on Reddit, all because of $GME.
You may have already seen some of these. If so, keep digging. I’ve organized these to tell the story as I’ve watched it unfold. I hope you like red pills and going down rabbit holes:
Edit #1: I’m not the only ape on the case. This post is worth a look: https://www.reddit.com/r/Superstonk/comments/pgt7kz/okay_this_could_be_literally_nothing_but_i_found/?utm_source=share&utm_medium=web2x&context=3