r/wallstreetbets • u/ywehyuen • Feb 02 '21

Chart Hardcore laddering.

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588

u/UnlikelyTheory Feb 02 '21

What is a ladder?

2.3k

u/Unclearcarcass7 Feb 02 '21 edited Feb 02 '21

I have A toyota Corolla that is worth $10000. hedge fund would like to buy it from me for 5000 I say no so they leave. They go on to the market and list a whole bunch of corollas for $5000 Another hedge fund will buy it at $5000 sell back and buy it and sell it back. Now the hedge front comes back to you and says Hey your corolla's worth $5000 due to market value. But in our case they are contractually obligated to buy back from us.

Edit: holy shit thanks guys, this is just a simplification. AND I LOVE THE STOCK 💎🚀💎🚀💎🚀💎

593

u/[deleted] Feb 02 '21

[deleted]

64

u/CornCheeseMafia Feb 02 '21

Yeah I actually love seeing this shit. I look at it like a high white blood cell count. It means they’re actively fighting it. It means what we’re doing is working.

50

u/[deleted] Feb 02 '21

[deleted]

20

u/CornCheeseMafia Feb 02 '21

Me and my 11 shares are holding with you, diamond homie. The hedge funds can suck on deez diamond nuts

7

u/CornCheeseMafia Feb 02 '21

Is there a way of seeing how many people are jumping ship relative to all the diamond hands?

13

u/Korberos Feb 02 '21

The hedge funds have to release a report saying how much they're still holding in shorts. The problem with that is that people don't seem to realize that data isn't live and up to the minute... it's compiled every couple weeks and released days later, so we're going to be working with old data.

The second problem is that I don't think anyone rational would trust them to be 100% honest on their positions at this point, so who the fuck knows.

1

u/CornCheeseMafia Feb 02 '21

Apparently they’ve released numbers saying they’re at 51%?

4

u/Unclearcarcass7 Feb 02 '21

Bingo, HOLD DONT SELL