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The Bedokian’s View Of The GameStop Phenomenon
By The Bedokian Portfolio  •  February 1, 2021
What a week it has been. For the past five trading days, the markets were dominated by just one counter that had by now became a buzzword. And within this short frame of time, a few results were seen: a hedge fund had to be bailed out, some traders (may) have become millionaires and even prompted a U.S. congressional query into the whole scheme of things. And what is the underlying counter that created all these? That’s right, it is GameStop (GME), a brick-and-mortar retail chain specializing in selling video games, game consoles and their accessories. While I do not want to delve into the mechanics of whats and hows (e.g., short squeeze, gamma squeeze, etc.), since they were explained by a lot of sites and blogs recently, I would like to briefly focus on the whys, which are somehow related to one another, and my take on the whole thing....
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By The Bedokian Portfolio
My first encounter with the financial markets started in the aftermath of the 2008/2009 Global Financial Crisis. Before this, I had no notion of what investment and trading were, although I had learned about economics, business management and accounting back in my university studies. I was a trader when I first started, albeit an amateurish one, and trading was just a side hobby of mine ...
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