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››3 Approaches to Measuring Short Squeeze Trading Damages

3 Approaches to Measuring Short Squeeze Trading Damages

By Tim Kane
June 2, 2021
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Law360 (June 2, 2021, 4:01 p.m. EDT) – On January 28, Robinhood Markets Inc. and other brokerage firms banned clients from purchasing certain stocks, including GameStop Corp. and AMC Entertainment Holdings Inc. This shocked and outraged retail investors, especially those who had participated in social media discussions regarding the shares.

In the months leading up to January, some savvy retail investors on social media noted the possibility of short cuts to several stocks. This sparked action memes campaigns that took advantage of social media to promote broad interest in certain actions, including GameStop.

Some discussion on GameStop has focused on a more bullish outlook on its fundamentals. Many others have focused on the sparks …

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Tagsretail investors