Robinhood, one of the first apps to include free trading for investors, has added a rather dubious distinction. According to the subreddit wallstreetbets, there's a glitch on the app. Traders who buy shares and sell covered calls have immediate access to the cash from that sold call option… which can be used to leverage higher.
 | You're receiving this email because you are subscribed to Trading Tips,
if you no longer wish to receive these emails you can Manage Subscriptions. | |  | | |
| |  Good morning.. Robinhood, one of the first apps to include free trading for investors, has added a rather dubious distinction. According to the subreddit wallstreetbets, there's a glitch on the app. Traders who buy shares and sell covered calls have immediate access to the cash from that sold call option… which can be used to leverage higher.
One user pointed out the glitch showing that they were able to leverage a few thousand into $50,000. But another user took $3,000 and leveraged it into $1.7 million— over 500:1 leverage, and the kind of ratio that puts even currency traders to blame. American capitalism being what it is, we hope the leveraged users will take their profits and simply buy Robinhood.
| |  | | | You can also find the hottest, most up-to-date trading information by visiting our Instagram. We share everything we know here, including hot stock tips, trending investment news, and even full-length videos that cover critical investment strategies. Our most recent post just went live right here. | | | | |
|
|
| | |
 | DOW 27,492.56 | -0.00% | | |
| S&P 3,076.77 | +0.07% | | |
 | NASDAQ 8,410.63 | -0.29% | | |
|
| *As of market close |
|
| • | Stocks had a second flat/mixed day in a row yesterday, on mixed earnings and trade reports. | | | • | Oil dropped 1.2 percent, to $56.50 per barrel. | | | • | Gold rallied 0.6 percent, to $1,492 per ounce. | | | • | Cryptocurrencies generally rose, although Bitcoin slid $10 to $9,330. | | |
|
|
|
| The Top Reasons Why Online Stock Trading Is Common In the USA | |
|
|
Online investing is popular—and still growing. With a number of brokerage firms slashing their costs to zero, it's easy to see why it continues to grab market share from traditional brokerage firms.
In the United States in particular, there are a number of reasons why trading stocks online is so popular, and so common.
» FULL STORY |
|
| |
|
|
| Insider Trading Reports: Universal Insurance Holdings (UVE) | |
|
|
Stephen Donaghy, CEO of Universal Insurance Holdings (UVE) recently picked up 5,000 shares after the company reported earnings, shelling out over $137,000 to do so. He was joined by director Sean Downes, who has made multiple buys of around 10,000 shares so far this month, totaling over $300,000.
A look at insider buying shows a series of sales when shares topped $40 back in 2018, followed up by lesser sales as the price declined.
» FULL STORY |
|
| |
|
|
| Unusual Options Activity: Uber (UBER) | |
|
|
March 2020 $25 call options on Uber (UBER) saw over 2,500 contracts trade, a 13-fold increase in volume from the previous open interest of 192. With shares around $26.50, the option is about $1.50 in-the-money, and should move dollar-for-dollar higher with shares in the next 134 days before expiration, less the time premium.
The buying comes after the company reported good earnings—but that it also burned through substantial cash—sending shares to post-IPO lows.
» FULL STORY |
|
| |
|
| | |
| TOP | | | COTY | 13.613% | | | | DVA | 12.924% | | | | HPQ | 6.359% | | | | CVS | 5.362% | | | | NVR | 3.674% | | | | BOTTOM | | | FANG | 14.441% | | | | SEE | 7.322% | | | | PRGO | 6.722% | | | | OXY | 5.488% | | | | BR | 5.316% | | | |
| | |
 |
| At the same time as money is essentially free for those who have money and creditworthiness, it is essentially unavailable to those who don't have money and creditworthiness, which contributes to the rising wealth, opportunity, and political gaps…The system of making capitalism work well for most people is broken. |
- Billionaire investor Ray Dallio on why "the world has gone mad" with low and negative interest rates.  |
|
No comments:
Post a Comment