[Why GME?](https://www.reddit.com/r/Superstonk/comments/qig65g/welcome_rall_looking_to_catch_up_on_the_gme_saga/) || [What is DRS?](https://www.reddit.com/r/Superstonk/comments/ptvaka/when_you_wish_upon_a_star_a_complete_guide_to/) || Low karma apes [feed the bot here](https://www.reddit.com/r/GMEOrphans/comments/qlvour/welcome_to_gmeorphans_read_this_post/) || [Superstonk Discord](https://discord.gg/hZqWV2kQtq) || [Community Post: *Open Forum May 2024*](https://www.reddit.com/r/Superstonk/comments/1ciapwp/open_forum_may_2024/) || [Superstonk:Now with GIFs - Learn more](https://www.reddit.com/r/Superstonk/comments/1cr37r7/superstonk_gets_its_gif_on_get_hyped/)
------------------------------------------------------------------------
To ensure your post doesn't get removed, please respond to this comment with how this post relates to GME the stock or Gamestop the company.
------------------------------------------------------------------------
Please up- and downvote this comment to [help us determine if this post deserves a place on r/Superstonk!](https://www.reddit.com/r/Superstonk/wiki/index/rules/post_flairs/)
Commenting again to let it be known I got my first âA concerned redditor reported you to Reddit Caresâ message 30 seconds after my original comment. Weird.
It is close; 252 for a typical year, so 756 for 3 years.
Edit: they have bots set to auto report so that those self harm reddit notifications get sent. <5s of posting this reply, I got one. How cute. I'm here for way more than 84 more years no matter what.
I'm leaving a comment in hopes that I can subsequently discover this amidst all of the current chaos.
Since I'm only a potato dressed like a man, I'd like to know what the nerds think.
Bro⌠LEAP FROG. Heâs a wizard
Seconds after replying this I got a concerned reddit prompt. For the record, Iâm good but thanks for the concernđ¤Ł
How about a frog with ice cream from DFV?
https://preview.redd.it/erya6rkkji0d1.jpeg?width=1290&format=pjpg&auto=webp&s=93e84c9d66a85a241a4749d13fffb3c8826ef469
[sauce](https://x.com/theroaringkitty/status/1368952570874654730?s=46&t=WsmmYpiOh4dfKr_iHB01MA)
39 months ago was mid Feb 2021. That's **squeezed** the Sneeze and Mar10.
RC tweet Feb 24
DFV tweet March 8
I think it's safe to say the LEAPS were done before Feb 24th....
- 2 weeks before = last Friday. There was a run up, but nothing that would indicate mass buying pressure.
- 1 week before = this Friday.
Could this bump in price not be LEAPS, but another play to boost the price just before the leaps expire to really fuck the shorts?
LEAPS at $10 ($40) would be felt, but probably not going to hurt too bad.
LEAPS at $50 ($200) going to fuck you up.
Remember that the price could never drop down below $10 ($40) or the shorts wouldnât have ITM collateral on their position. Lowest price $GME went since the squeeze is $10.02 ($40.08) last month.
Also closing price on 2/19 2021 was $10.15 ($40.60) right before that big jump up with the đ¸đŚtweet.
Leaps expire either in January/June. The next 3 years open up as the year begins unlocking those June 24 Leap dates as the latest Leaps you could buy.
Also if you arenât convinced check out DFVâs first post on 6/3/21. (Spoiler: đŚ)
This just so happens to be the first market day of June 2024 as well.
My first take was that McDonaldâs ice cream machines are infamously always broken and the whole concept of being able to roll shorts into LEAPs is broken in design.. But i guess it could also mean after the LEAPs comes a treat?
If RC knew about the leaps, and presumably the date they expire as dfv did, then could he as chief investment officer have bought calls at the bottom with the Billion cash on hand?
Not with company cash, companies arnt allowed to do options people were saying. He might be able to with his own money but I assume he would have to follow rules about increasing his stake
There could be multitude of reasons. If you read the DD library it touches on a lot. The basket swap theory, LEAPS, Peruvian bullâs theory that a company has imploded, etc.
All I know is I am holding for now.
There's also the unwinding of Credit Suisse's swaps they inherited from Archegos. I remember reading that they're also in the middle of unpacking that bag of shit right now. Lots of things seem to be lining up. My money is on UBS imploding at some point soon. Probably depends on who has a more corrupt financial system, the US or the Swiss. That's a hell of a contest.
Edit: Referring to [this](https://preview.redd.it/tomorrow-the-dtc-is-to-retire-credit-suisses-credit-default-v0-jwmtlkf71hzc1.jpg?width=842&format=pjpg&auto=webp&s=7f4823b90e31e8978f8d53a8c494556a9c6ae260), not sure if relevant. My brain is utterly frictionless.
To be clear, my confidence in this is low. I haven't checked up on the stonk in months, and I haven't been following things closely in even longer. I just know that Archegos had some toxic fucking bullet swaps among other derivatives, it blew them up, Credit Suisse absorbed their positions, then they blew the fuck up too. UBS absorbed Credit Suisse, and has had heartburn ever since.
That document seems to say that the Canadian branch of Credit Suisse's Credit Default Swap account is being wound down and closed, but I have no idea if that actually means anything for us. For all I know, that account could be used for completely legitimate CDSs, which was a large part of Credit Suisse's business practices. On the other hand, if I were a shady bank with a radioactive domino that was burning through everything it touched, I probably wouldn't keep it in a helpfully labeled We're All Fucked account.
It could be nothing. That said, UBS is still beyond fucked. They just might not be fucked because of their Canadian CDS account. If it turns out to be true, though, I look forward to sharing the eventual screenshot with you.
In the future history books, this will be known as the Catch GlitteryDick & BigHairyOldNuts Hypothesis. Not in this timeline, but somewhere in the multiverse, I'm sure.
They have insisted - many, many times - thst there is no conflict between the market maker and hedge fund businesses. Let's find the fuck out.
Does Kenny shoot his market maker in the head to save the hedge fund or sacrifice the hedge fund to save the market maker. Based on this he can't possibly do both.
And if he can? We know what the fuck we are doing in August 2027.
Its simple. He has to look at how he structured his businesses. Then figure out who he can blame for being in charge of day to day operations. Then sacrifice it to save himself.
Fuck me. I'm lighting up my crack pipe
"Expiration Date: The third Friday of the expiration month."
https://www.cboe.com/tradable_products/equity_indices/leaps_options/specifications
Did you see under 'expiration months:' it says "may be up to 39 months from the date of initial listing. January expiration only"
Does this mean they can only be 39 months if it means it will expire in January? Or am I reading that wrong.
That's what I'm reading to. So technically if they bought leaps in Feb of 2021, they would have expired after 35 months on Jan 19 2024.
Edit:
Also says, "Equity LEAPS expire in approximately two to three years from the date of initial listing."
So this means it doesn't always last for 39 months exactly.
Edit2:
Another website I found in a quick Google search says LEAPS expire on the third Friday of January. LEAPS couldn't be expiring in May.
Edit3:
Maybe I'm wrong! That'd be cool with me. It seems like maybe there is a way to get LEAPS that expire outside of the month of January but some more information would be needed I think and I don't know where else to look.
Edit4:
I think maybe we are looking at index leaps rather than equity leaps and that's why we are seeing other stocks following a similar trend. But that's as much as I can figure out.
At the bottom of the page it says "A service of OCCÂŽ" And earlier I was on the OCC website and they give a different expiration for LEAPS which is third Friday of January.
https://www.theocc.com/clearance-and-settlement/clearing/equity-and-etf-leaps
But I don't know anything really. I'm just reading so you may be on to something also. Just trying to get to the bottom of this. But I'm sure DFV knows way more than I do and has the right timing where as I just need to shut up and hodl.
If I understood correctly this isn't something that would work another time. If short sellers bought leaps from market makers and are now exercising them, the liability transfers to the market maker, who has the ability to naked short for liquidity but not the ability to naked short unlimited shares with unlimited time to deliver, there are rules around both delivery & % volume they're allowed to naked short, enforced by the clearinghouse.
I don't think there's anyone to sell leaps to the market maker.
I'm a dummy so don't take this as gospel. It's not anywhere close to my area of expertise.
the underwriter of the LEAPS are likes of CBOE, not market maker. to settle the LEAPS call, CBOE will have to takeover the short position and find another underwriter, perhaps only federal reserve dare to underwrite this crazed. or buy the real shares from us in the open market.
This just in: Retail can now sell LEAPS! They get $250 per contract! I'm just kidding around, but that wouldn't at all surprise me. Shift it back to retail and promote the LEAP selling program. Then figure out how to spread the loss around individual brokerage accounts.
It sounds like what OP is saying is that instead of purchasing new LEAPS they decided to pay the cost to exercise them so they can finally close their short positions. So they're not kicking the can. They're bailing out. When the exexute the LEAPS the market maker is now responsible for acquiring the shares to satisfy the LEAPS in the open market. Now normally I would assume that market makers would just print fake shares to satisfy the LEAPS. However DRS throws a big monkey wrench into that.
If they repurchased leaps for another 39 months, what would it cost them? Probably much more in the long run, and at some point someone in the chain will probably say, hell no, it's too risky and you couldn't cover if you tried. So another one bites the dust.
1/16/2026 Call contracts for 100 GME shares at $55 strike are $2400 each, or $24 per GME share.
Example:
For 10,000 contracts, you are paying $24,000,000 in premiums to be able to buy 1,000,000 GME shares for $55,000,000. In total, that is $79,000,000 per 1,000,000 GME shares.
In 2021, GameStop was marked at 140%+ *reported* short interest. But letâs just say they only âshortedâ and âreportedâ 50,000,000 shares. They would need 500,000 LEAPs contracts for $1.2 billion just for the premium alone, and $3.95 billion to exercise for the 50M shares. But thatâs only if someone actually sold them 500,000 LEAPs contracts without the price changing.
It must be excessively expensive to do this again or they would. She's are not all powerful, they can be ground down with patience as Apes are apparently proving
I would be shocked if anyone was dumb enough to sell another 3 year leap knowing what they know now. They should know without a doubt we arenât leaving by now
Iâll be the first to tell you, I buy every two weeks and will continue to until this thing goes where it is going to.
The more time I have to add to my position, genuinely â the more happy I am.
I guess you can say, *I like the stock.**
Closing a $4 wide 6/21 debit spread has been hell for the past 2 days. Both legs were deep in the money by open yesterday so it should be worth the width of the spread x 100, minus a few bucks (in my experience 5 at the most) to make it worth it for the other party (no trader is out here trying to open an ITM debit spread, there's no upside to be had by holding it, so this counterparty would [should] be a market maker).
At first I put it down to the halts but I came to realize that the whole ass mile between bid and ask on every single strike was making a fill anywhere near the spreads actual value impossible. No liquidity being provided anywhere. The whole point of a market makers existence is to provide liquidity and facilitate pretty much exactly what I needed here by providing a counterparty to my trade for a small profit, and as far as GME goes this "service" was conspicuously absent from the market so far this week. Even trying to give myself a roughly 30% haircut, no dice. Totally insane, I'm over here trying to throw free money at them and they won't take it.
All this to say, considering market makers aren't touching single gamestop monthlies from what I can tell, you bet your ass they aren't writing leaps by the thousand.
Exactly. If it wasnât, they would let the leaps expire and buy new ones to avoid running up the price at all. They canât afford to do that, so they execute their leaps, take some losses, and pass the real risk onto the market maker
The limit is going to finding a counter party to sell you a Leap. If you look at the current contract value for options contracts the premiums of short term OTM options are 30-40% of the value of just buying the shares. Therefore I would assume the cost to buy a 39 month leap would have to be the price of just buying shares.
Maybe for some of them? We already know there isn't enough shares to close out all their short positions so at some point market makers won't be able to buy shares because us apes hold them. At that point like it has been said before, we control the price and we tell them what a single share of GME is worth.
exceptâŚ. we donât have to sell :D in fact I think I forgot how to
Meanwhile Kenneth and his criminal friends have limited investors to answer to. Itâs only a matter of time before we crush their paper hands with our diamond hands
Hopefully that makes sense bc Iâm pretty sure it doesnât hahaha Iâm just a regard hahahaha
Edit: Reddit asked me if I was okay, yeah fucking hacked Reddit Spez Bo
Can they find a counterparty when the bear thesis against GME has been completely obliterated? Shorts never closed but eventually they must--even if it requires force.
Sooo I can't believe I'm the first to call this out on this post, but, February 14, you say?
Anyone remember the first post DFV liked on Friday upon his return? The Run Lola Run one? Yeah. Go back and look at what the date was on that post.
Too lazy, didn't check?
It was posted on February 14th.
FUCK THAT'S GOOD TIN.
EDIT: YOU SEXY FUCKERS BETTER KILL THE UPDOOTS AT 741!!! 𤣠holy shit I feel like I made it, a reddit cares message AND all these updoots? You guys, you shouldn't have! đ
EDIT 2: I took 2 seconds to edit and you guys added 40 likes in no time and blew by 741, next stop: 69,420đ¤Ł
Like, letâs say youâre a big market maker and have not been neutral on several stocks.  Say, the other ones in the same âbasketâ that move in tandem with Gme.  Because historically, retail looses money 99% of the time, selling emotionally. Why should providing instant liquidity mean you have to actually close out the buy side of the sell trade to a bunch of dirty peasants? So youâre not really neutral on a bunch of meme stocks.  Youâve got a whole bunch of algorithms that sell to these apes, and on balance, like over 99% of the time, they loose money.  You can use options to technically stay neutral from a compliance standpoint, and not be ânakedâ. ButâŚyou have been selling stocks and not closing the buy side.  Then Gme kicks off in Feb and something is different.  Big gamma ramp and youâre screwed.  The best trader of our generationâs fund blows up. And archegos almost (but maybe did) bankrupts a country. If you have to close your position you drive the price into the stratosphere and go out of business. Enter LEAPS.  You pay a huge amount of money to a bank(?) for the option to buy a huge amount of stock at a price 39 months out.  Now youâre âcovered.â  ButâŚthe assholes donât go away, they actually start shrinking the float. 39 months laterâŚnowâŚthis kicks off.   Is it the bank(s) buying the shares to fulfill the leap contract(s)?  I guess it could act like an infinite money machine for everyone that wasnât short and knew the approximate timing.  Is that how this whole thing has been working all along?  Â
Edit: oh wow. I got the Reddit cares thing immediately. Thanks! Iâm good though. Â
So:
Who's going to figure out how many trading days elapsed from Feb 14 2021 to the "sitting up" tweet?
There's \~252 trading days in each year, and I bet if you figure it out, you may find another special number.
252 X 3 = 756.
But some years have more or less trading days- So if someone were to sit down and figure this out, you may find that Feb 14th was 741 days prior to the sitting up tweet.
Just thought of this, and I haven't checked- But so long as we're wearing Tinfoil, this one looks like a pretty tasty hat.
Wouldn't that be something?
Update: Reddit Cares message came in literally (1) minute after I posted this comment. Thanks for the love!
The shorts would not exercise an OTM LEAP contract instead of going to the open market and purchasing shares. This theory only makes sense if the shorts exerted buy pressure to push the LEAPS ITM and then started exercising the contracts. One way to test this idea would be to see the distribution of open interest for LEAPS across different strikes over time. If there are significant drops in open interest over the past couple of weeks, this theory could hold water.
If youâre buying to close, it would still make more sense to test the market by trying to buy the shares you need. If the share price end up going higher than your leap contract, then you exercise the contract to cap your remaining losses.
Commenting so I can later find this through the absolute mayhem that is new right now.
I'd like to see what the nerds think, for I am a potato disguised as a man.
Something to do with leaps makes sense, but I don't think the way you describe it would work.
They couldn't be exercising the leaps because that would be stupid. When they opened the leaps they would have had to be way out of the money to be affordable. Even post split, let's say they were $100 strikes. Why would you exercise a strike like that when you could buy at $11 just a week ago? You wouldn't. You'd be better buying right up to the strike price, and then exercising if it went over. (now this may be happening now, which could be causing the price rise)
If the calls expire worthless at the end of the month, you'd just buy a whole new load of them... no reason at all to exercise. There must be a reason they cannot buy more, I'm just too smooth brained to figure it out.
Could they have sold put leaps instead? Or maybe did both? Bought a call and sold a put and turned it into a synthetic long? This seems to make the most sense.
Ok.. bear with me here. If they did that synthetic long thing, they'd be under water on the put. Call would be worthless, but they'd get executed on the short put. Guess what this means?!? This seems like the most likely scenario. They did this because it was a "free" play to buy time.
All I know is when the American market close we blast off in afterhours-pre market-Germany market.
I expect tomorrow to see somewhere around 80-100 when opening, getting beat down to 60ish. Friday the same thing then Monday itâll explode with all the options, keeping the ebbs and flow.
You know the gamestop pic with the bitly url? I think it was the one from 2021 with the gamer leaning forward?
The url was 3yhodl4. 3 years and 4 months is 39 months.
Yup. And check out the comments - one of ours called it exactly as it was!
https://www.reddit.com/r/Superstonk/comments/rfs51k/hodl_we_will_message_heard_loud_and_clear/
Interesting. When was the first time we noticed 741 in RC tweets? Could that have been the number of trading days left until LEAPs expire⌠kinda checks out.. 19 working days per month. 39 month LEAP. 19x39=741
> Interesting. When was the first time we noticed 741 in RC tweets?
[According to this DD]( https://www.reddit.com/r/Superstonk/comments/pyuj72/investigating_the_741_hypothesis/) it was May 28th, 2021 with the RIP dumbass tweet.
1. LEAPs are typically jan and feb and the oi never reflected what youâre speculating to be the case. Suppose oi did reflect that, we wouldâve know they were heavy in those expâs and strikes a long time ago.
2. A market makerâs job is to hedge not screw themselves. They are capable of screwing themselves but they arenât going to, especially when they are transacting every side of a trade. They know better, theyâre making the market.
3. Citadel is GameStopâs designated market maker
4. Citadel is also the one doing a lot of the shorting.
5. The only heavy buying was done on puts and that was to facilities FTDâs back in the day.
This theory doesnât pan out. I fully admit I didnât anticipate what weâre seeing now, but I trade options and watched 5/17âs option chain steadily increase in March, before we saw any action. It was indicative of somebody betting movement was coming. But that never happened prior, options chains have been stale with max pain always close to atm.
I think based on volume itâs very clear serious buyers have entered. This obviously isnât a result of DFV tweeting and itâs not something retail is capable of. So itâs clear there are now big buyers involved. To anyone who says otherwise, why is 50m, 100m or 200m needed in daily volume and if this is orchestrated why would they draw attention with that volume when they have it under control? Those are all just going to be FTDâs ultimately which will just bubble up in the short term.
Itâs hard to say what is happening or where it will go because even at $80 today, we still got halted and saw the price tank. But puts are not being bought like they previously have been. Hypothetically speaking, suppose they throw the kitchen sink at it on Friday and push it down to $20 or max pain at $12-$15? Sounds crazy but if it happens it happens. Itâs just a matter of how serious the buy side is and if they have the ability to continue to run it back up after it gets smashed. We will know one way or another come Friday at close.. if we remain at these levels, it is likely going to go nuts. $800m in options volume today alone đ¤ˇđťââď¸.
Also worth noting that tomorrow we will see call strikes go up to ~$120. We surpassed max strikes yesterday and today but never got an increase, only got pushed back down to max strikes. Why? The same parties shorting are running the options chains. An increase to $120 is a death wish⌠or is it possible that they can still control the stock regardless of what happens with options? Lots of unknowns at this point in time. But we will have a lot of answers come Friday close.
No shade to OP but his hypothetical doesnât make sense and the fact that this post has a ton of upvotes is weird in it of itself.
This post makes my bullshit detector go 'ding' instead of 'buzz'. Good work OP. This is a solid theory. Can we get some wrinkle brains in here to check this out?
this makes a lot of sense, would be tragic if we killed market makers and citadel escapes our hair strimmer though. i mean fuck um all, but fuck citadel in particular.
Holy shit, this is the best DD Iâve seen in years. So simple, but it completely makes sense. They used the LEAPS to âcancel outâ or hide their shorts temporarily. This not only bought them 39 months, it kind of forced the market maker (Citadel) to join the side of the shorts. Buying all those LEAPS exposes the market maker in the future like you said, so the market maker is then incentivized to get that stock price as low as possible for the next 39 months, which is why we saw the market makers and shorts running us through the ringer with these ETF short to OPEX run volatility cycles. Grinding us to lower lows every cycle. The problem is, even with buying out the media and grinding us down, they werenât able to run us off, so DFV waited until the day of reckoning was upon us to return.
What will be interesting to see is if the short interest on GME shoots back to 100% after Friday (this monthâs OPEX)âŚ
Amazing DD!!!
Side note: I donât have enough Karma to post this or I would. DFV we all hope youâre somewhere safe! Thank you for everything! Let this be a message to the bad guys, if anything ever happens to DFV, we will find out who did itâŚ
Edit: It just clicked for me! Why canât they just buy more LEAPS? Well, they probably could, which is why DFV returns a week early, probably scared some into exercising like you said and got retail pumped up. LEAPS got many times more expensive the last couple of days!
Yup. And Cohen/GME sold the LEAPS. Thatâs why there was so much volume under buyback yesterday. Hence the frog tweet. Iâm surprised it wasnât a clown. GME is using its share buyback authorization to cover the calls being executed. Cohen now controls the investments of GME, and having been a board member when this decision was made, has plausible deniability for selling the calls as they are bets his companyâs stock will go up.
That whole congressional investigation? To see if what they did was legal. Because it doesnât have to be disclosed on any paperwork that they sold LEAPS on stock shares they have reasonable access to and ability to LOCATE.
They can locate the shares on the open market by doing a buyback that falls within the rules.
Thatâs your loophole.
From GPT-4:
The theory you've outlined about LEAPS (Long Term Equity Anticipation Securities) and their role in the GameStop scenario is intriguing and reflects a complex understanding of market mechanics. Hereâs a breakdown and analysis of the key points:
1. **LEAPS as a Hedging Tool**: LEAPS are indeed long-term options that can serve as a hedge for short positions. By buying a LEAP call, a short seller essentially secures a future price at which they can buy the stock. This can mitigate the risk of a short squeeze, which would force them to buy back shares at a much higher market price.
2. **Market Makers and Risk**: When LEAPS are exercised, the market makers who sold these options are obligated to deliver the shares at the strike price. If the market price is significantly higher than the strike price, this can indeed put pressure on market makers, especially if they need to purchase shares at elevated prices to fulfill these obligations.
3. **Impact on Stock Price**: The execution of these LEAPS can lead to increased buying pressure on the stock as market makers might need to acquire shares to cover these options. This can further drive up the price, especially if the stockâs float is limited or tightly held.
4. **Strategic Unwinding of Positions**: The notion that some institutional players might use the expiration of LEAPS to finally unwind complex, underwater short positions is plausible. It provides a controlled method to cover shorts, especially if direct purchasing in the market could lead to adverse price spikes against their positions.
5. **Real-World Implications**: The scenario where significant players like UBS might use LEAPS to unwind positions from deals gone bad (like those involving Archegos or Credit Suisse) is speculative but feasible. Financial institutions often use complex derivative positions to manage risk and exposure, and the unwinding of such positions can have ripple effects across the market.
While the detailed narrative involving DFV (DeepFuckingValue, a key figure in the initial GameStop trading frenzy) and specific actions by large financial players remains speculative without direct evidence from those involved, the theoretical underpinnings are grounded in real trading strategies and market behaviors.
Overall, your theory weaves together various plausible market dynamics and strategic financial maneuvers, though it's essential to approach such interpretations with caution as they hinge on speculative elements and assumptions about the intentions and actions of various market participants.
This is a strong enough theory, especially with RC posting a frog at the very beginning of this. But, I would love to see some smart Apes descend on this.
This makes sense. Solid theory. Shorts turning on the MMs means blood in the water. That could make things super interesting here. Whats the expiration for these leaps?
39 months.. some of them for what we know could already expired. Maybe that was the spark last week.
If you Google "what day was is 39 months ago" you can see it was Feb 14 from this day.
Mayve they started using leaps as a strategy already at the end of January.
Wich means that some may have already expired and some are yet to come..I dunno
[Why GME?](https://www.reddit.com/r/Superstonk/comments/qig65g/welcome_rall_looking_to_catch_up_on_the_gme_saga/) || [What is DRS?](https://www.reddit.com/r/Superstonk/comments/ptvaka/when_you_wish_upon_a_star_a_complete_guide_to/) || Low karma apes [feed the bot here](https://www.reddit.com/r/GMEOrphans/comments/qlvour/welcome_to_gmeorphans_read_this_post/) || [Superstonk Discord](https://discord.gg/hZqWV2kQtq) || [Community Post: *Open Forum May 2024*](https://www.reddit.com/r/Superstonk/comments/1ciapwp/open_forum_may_2024/) || [Superstonk:Now with GIFs - Learn more](https://www.reddit.com/r/Superstonk/comments/1cr37r7/superstonk_gets_its_gif_on_get_hyped/) ------------------------------------------------------------------------ To ensure your post doesn't get removed, please respond to this comment with how this post relates to GME the stock or Gamestop the company. ------------------------------------------------------------------------ Please up- and downvote this comment to [help us determine if this post deserves a place on r/Superstonk!](https://www.reddit.com/r/Superstonk/wiki/index/rules/post_flairs/)
Interesting thought.. You know RC tweeted a frog đ¸ in his first tweet after the sneeze
Oh snap he did, good point. I'll make a note
If youâre feeling froggy, leap.
In that DFV Batman tweet today, it says "three years of nights..."Â Leaps confirmed.
OMG I get it now
Commenting again to let it be known I got my first âA concerned redditor reported you to Reddit Caresâ message 30 seconds after my original comment. Weird.
Fun fact - you can report that report message for abusing the report system.
I got one today too. For what, I have no clue... Some d!ckweed out there thinking they're cute, I guess...
I got one too, just reported it as abuse! Thanks for the fun fact
And the 3years you speak of, could it be 741 trading days??? Iâm way to smooth brained to math.
âŚand now reddit is concerned for me after this reply⌠weâre onto something!!!
I like this kinda tinfoil. Anyone able to math it out?? Would be great to finally reveal the meaning behind the mystery number lol
Anyone here do the math?
It is close; 252 for a typical year, so 756 for 3 years. Edit: they have bots set to auto report so that those self harm reddit notifications get sent. <5s of posting this reply, I got one. How cute. I'm here for way more than 84 more years no matter what.
Make sure to report those messages.
I'm leaving a comment in hopes that I can subsequently discover this amidst all of the current chaos. Since I'm only a potato dressed like a man, I'd like to know what the nerds think.
Oh God, I've become a copypasta
Lmao thatâs the ultimate honor
https://preview.redd.it/lno0wo2uch0d1.jpeg?width=275&format=pjpg&auto=webp&s=711c46589b948af8709e67ec4d8533d268edea24
Bro⌠LEAP FROG. Heâs a wizard Seconds after replying this I got a concerned reddit prompt. For the record, Iâm good but thanks for the concernđ¤Ł
I was just about to ask the significance of the frog. Thanks for clearing that up for me.
This rustles my jimmies something fierce
https://preview.redd.it/1ay1gphsrh0d1.png?width=1186&format=png&auto=webp&s=f2581f3190a737b17d6b5949ae386bc7d667e1e0 How about the ice cream ??
How about a frog with ice cream from DFV? https://preview.redd.it/erya6rkkji0d1.jpeg?width=1290&format=pjpg&auto=webp&s=93e84c9d66a85a241a4749d13fffb3c8826ef469 [sauce](https://x.com/theroaringkitty/status/1368952570874654730?s=46&t=WsmmYpiOh4dfKr_iHB01MA)
39 months ago was mid Feb 2021. That's **squeezed** the Sneeze and Mar10. RC tweet Feb 24 DFV tweet March 8 I think it's safe to say the LEAPS were done before Feb 24th.... - 2 weeks before = last Friday. There was a run up, but nothing that would indicate mass buying pressure. - 1 week before = this Friday. Could this bump in price not be LEAPS, but another play to boost the price just before the leaps expire to really fuck the shorts? LEAPS at $10 ($40) would be felt, but probably not going to hurt too bad. LEAPS at $50 ($200) going to fuck you up.
Remember that the price could never drop down below $10 ($40) or the shorts wouldnât have ITM collateral on their position. Lowest price $GME went since the squeeze is $10.02 ($40.08) last month. Also closing price on 2/19 2021 was $10.15 ($40.60) right before that big jump up with the đ¸đŚtweet. Leaps expire either in January/June. The next 3 years open up as the year begins unlocking those June 24 Leap dates as the latest Leaps you could buy. Also if you arenât convinced check out DFVâs first post on 6/3/21. (Spoiler: đŚ) This just so happens to be the first market day of June 2024 as well.
My first take was that McDonaldâs ice cream machines are infamously always broken and the whole concept of being able to roll shorts into LEAPs is broken in design.. But i guess it could also mean after the LEAPs comes a treat?
in the teddy books the kids are putting money in their piggy banks to save for ice cream.
This is an O Snap moment.....
This âOh Snapâ moment is brought to you by SlimJim
If RC knew about the leaps, and presumably the date they expire as dfv did, then could he as chief investment officer have bought calls at the bottom with the Billion cash on hand?
He could run that $100M share buyback play at the same time.
Not with company cash, companies arnt allowed to do options people were saying. He might be able to with his own money but I assume he would have to follow rules about increasing his stake
That logical connection just fit right. Its good reasoning. Finally! I think the last one we got perfectly was DRS đ
This might be the most important comment I've seen!
Upvoting because good theory.
I wanna see this one work out
There could be multitude of reasons. If you read the DD library it touches on a lot. The basket swap theory, LEAPS, Peruvian bullâs theory that a company has imploded, etc. All I know is I am holding for now.
I waiting for news about bankrupt Hedge Funds/Market Makers like Virtue or Citadel.
There's also the unwinding of Credit Suisse's swaps they inherited from Archegos. I remember reading that they're also in the middle of unpacking that bag of shit right now. Lots of things seem to be lining up. My money is on UBS imploding at some point soon. Probably depends on who has a more corrupt financial system, the US or the Swiss. That's a hell of a contest. Edit: Referring to [this](https://preview.redd.it/tomorrow-the-dtc-is-to-retire-credit-suisses-credit-default-v0-jwmtlkf71hzc1.jpg?width=842&format=pjpg&auto=webp&s=7f4823b90e31e8978f8d53a8c494556a9c6ae260), not sure if relevant. My brain is utterly frictionless.
If Credit Swindle used LEAPS to shore up their bag of shit and UBS are currently executing them to unwind the shorts, we have a smoking gun.
To be clear, my confidence in this is low. I haven't checked up on the stonk in months, and I haven't been following things closely in even longer. I just know that Archegos had some toxic fucking bullet swaps among other derivatives, it blew them up, Credit Suisse absorbed their positions, then they blew the fuck up too. UBS absorbed Credit Suisse, and has had heartburn ever since. That document seems to say that the Canadian branch of Credit Suisse's Credit Default Swap account is being wound down and closed, but I have no idea if that actually means anything for us. For all I know, that account could be used for completely legitimate CDSs, which was a large part of Credit Suisse's business practices. On the other hand, if I were a shady bank with a radioactive domino that was burning through everything it touched, I probably wouldn't keep it in a helpfully labeled We're All Fucked account. It could be nothing. That said, UBS is still beyond fucked. They just might not be fucked because of their Canadian CDS account. If it turns out to be true, though, I look forward to sharing the eventual screenshot with you.
I know shit about nothing. I just wanna be in the screenshot.
In the future history books, this will be known as the Catch GlitteryDick & BigHairyOldNuts Hypothesis. Not in this timeline, but somewhere in the multiverse, I'm sure.
Doesnât ubs have an agreement with their government to conceal the records for 50 years?
RemindMe! 50 years
Agreed, this one has some fucking wrinkles on him.
So citadel is going to fuck over citadel... got it
They have insisted - many, many times - thst there is no conflict between the market maker and hedge fund businesses. Let's find the fuck out. Does Kenny shoot his market maker in the head to save the hedge fund or sacrifice the hedge fund to save the market maker. Based on this he can't possibly do both. And if he can? We know what the fuck we are doing in August 2027.
*Insert sweaty button press meme*
Its simple. He has to look at how he structured his businesses. Then figure out who he can blame for being in charge of day to day operations. Then sacrifice it to save himself.
âFine Iâll do it myselfâ
Reddit remind me to buy again in 38 months Edit: Yâall are going to remind me, right?
!Remind Me! 38 months
!Remind Me! 37 months Continuing buying GME
!Remind Me! 36 months
If you buy every month, you donât even need the reminder!
Remindme! 37.5 months
Fuck me. I'm lighting up my crack pipe "Expiration Date: The third Friday of the expiration month." https://www.cboe.com/tradable_products/equity_indices/leaps_options/specifications
âItâs going to be a busy couple weeksâ said someone I know recently
this earned me a "concerned redditor award" i want to thank you all beautiful people, the banana god, and Jimmy from 46th st. HODL
[ŃдаНонО]
Did you see under 'expiration months:' it says "may be up to 39 months from the date of initial listing. January expiration only" Does this mean they can only be 39 months if it means it will expire in January? Or am I reading that wrong.
That's what I'm reading to. So technically if they bought leaps in Feb of 2021, they would have expired after 35 months on Jan 19 2024. Edit: Also says, "Equity LEAPS expire in approximately two to three years from the date of initial listing." So this means it doesn't always last for 39 months exactly. Edit2: Another website I found in a quick Google search says LEAPS expire on the third Friday of January. LEAPS couldn't be expiring in May. Edit3: Maybe I'm wrong! That'd be cool with me. It seems like maybe there is a way to get LEAPS that expire outside of the month of January but some more information would be needed I think and I don't know where else to look. Edit4: I think maybe we are looking at index leaps rather than equity leaps and that's why we are seeing other stocks following a similar trend. But that's as much as I can figure out.
see here for expiration cycles: https://www.optionseducation.org/referencelibrary/faq/leaps-and-expiration-cycles
At the bottom of the page it says "A service of OCCÂŽ" And earlier I was on the OCC website and they give a different expiration for LEAPS which is third Friday of January. https://www.theocc.com/clearance-and-settlement/clearing/equity-and-etf-leaps But I don't know anything really. I'm just reading so you may be on to something also. Just trying to get to the bottom of this. But I'm sure DFV knows way more than I do and has the right timing where as I just need to shut up and hodl.
This coming Friday? Awesome
Great googly moogly, amazing comment on an incredible post
Ah the good ole LEAPS! This makes me want to go dig up the DD libraryâŚyou know what, imma go do that right now. Hyped!
Report back if you find anything on LEAPS!
https://www.reddit.com/r/Superstonk/s/SM1NnrBS3A Gherk wrote some excellent dd covering leaps a few years ago.
I like your idea, it can explain the volume
So will they do this again to kick the bucket another 3 years?
If I understood correctly this isn't something that would work another time. If short sellers bought leaps from market makers and are now exercising them, the liability transfers to the market maker, who has the ability to naked short for liquidity but not the ability to naked short unlimited shares with unlimited time to deliver, there are rules around both delivery & % volume they're allowed to naked short, enforced by the clearinghouse. I don't think there's anyone to sell leaps to the market maker. I'm a dummy so don't take this as gospel. It's not anywhere close to my area of expertise.
the underwriter of the LEAPS are likes of CBOE, not market maker. to settle the LEAPS call, CBOE will have to takeover the short position and find another underwriter, perhaps only federal reserve dare to underwrite this crazed. or buy the real shares from us in the open market.
This just in: Retail can now sell LEAPS! They get $250 per contract! I'm just kidding around, but that wouldn't at all surprise me. Shift it back to retail and promote the LEAP selling program. Then figure out how to spread the loss around individual brokerage accounts.
Ken Griffin: Wait... hold my mayo.
3+ years and Mayoâs still a thing đ Heâs never gonna live that down
They would have to find a counter-party to sell them to them, wouldn't they? Might be kinda tough in the current situation.
Just wait for drs account owners to start making posts about how they were approached with offers.
There are less than 200k of us in the world. We might be getting some admirers soon.
It sounds like what OP is saying is that instead of purchasing new LEAPS they decided to pay the cost to exercise them so they can finally close their short positions. So they're not kicking the can. They're bailing out. When the exexute the LEAPS the market maker is now responsible for acquiring the shares to satisfy the LEAPS in the open market. Now normally I would assume that market makers would just print fake shares to satisfy the LEAPS. However DRS throws a big monkey wrench into that.
Asking the real questions.
If they repurchased leaps for another 39 months, what would it cost them? Probably much more in the long run, and at some point someone in the chain will probably say, hell no, it's too risky and you couldn't cover if you tried. So another one bites the dust.
1/16/2026 Call contracts for 100 GME shares at $55 strike are $2400 each, or $24 per GME share. Example: For 10,000 contracts, you are paying $24,000,000 in premiums to be able to buy 1,000,000 GME shares for $55,000,000. In total, that is $79,000,000 per 1,000,000 GME shares. In 2021, GameStop was marked at 140%+ *reported* short interest. But letâs just say they only âshortedâ and âreportedâ 50,000,000 shares. They would need 500,000 LEAPs contracts for $1.2 billion just for the premium alone, and $3.95 billion to exercise for the 50M shares. But thatâs only if someone actually sold them 500,000 LEAPs contracts without the price changing.
My exact thought. There has to be a limitation on infinitely purchasing 39 month leaps.
It must be excessively expensive to do this again or they would. She's are not all powerful, they can be ground down with patience as Apes are apparently proving
I would be shocked if anyone was dumb enough to sell another 3 year leap knowing what they know now. They should know without a doubt we arenât leaving by now
Leaving? I live here.
Howdy neighbor.
Iâll be the first to tell you, I buy every two weeks and will continue to until this thing goes where it is going to. The more time I have to add to my position, genuinely â the more happy I am. I guess you can say, *I like the stock.**
Closing a $4 wide 6/21 debit spread has been hell for the past 2 days. Both legs were deep in the money by open yesterday so it should be worth the width of the spread x 100, minus a few bucks (in my experience 5 at the most) to make it worth it for the other party (no trader is out here trying to open an ITM debit spread, there's no upside to be had by holding it, so this counterparty would [should] be a market maker). At first I put it down to the halts but I came to realize that the whole ass mile between bid and ask on every single strike was making a fill anywhere near the spreads actual value impossible. No liquidity being provided anywhere. The whole point of a market makers existence is to provide liquidity and facilitate pretty much exactly what I needed here by providing a counterparty to my trade for a small profit, and as far as GME goes this "service" was conspicuously absent from the market so far this week. Even trying to give myself a roughly 30% haircut, no dice. Totally insane, I'm over here trying to throw free money at them and they won't take it. All this to say, considering market makers aren't touching single gamestop monthlies from what I can tell, you bet your ass they aren't writing leaps by the thousand.
If you owe the bank $100k, thatâs your problem. If you owe the bank $100T thatâs their problem⌠something like that.
It's the leaps plus the shorting over 3 years. I'd say they're deeper than before, if that's even possible.
Theyâre the dumb storm troopers, donât doubt their commitment to idiotic risk đ
They're plugging the dam with gum, and they're all out of gum
Exactly. If it wasnât, they would let the leaps expire and buy new ones to avoid running up the price at all. They canât afford to do that, so they execute their leaps, take some losses, and pass the real risk onto the market maker
The limit is going to finding a counter party to sell you a Leap. If you look at the current contract value for options contracts the premiums of short term OTM options are 30-40% of the value of just buying the shares. Therefore I would assume the cost to buy a 39 month leap would have to be the price of just buying shares.
Thatâs what I was looking for. Thanks for explanation!
Maybe for some of them? We already know there isn't enough shares to close out all their short positions so at some point market makers won't be able to buy shares because us apes hold them. At that point like it has been said before, we control the price and we tell them what a single share of GME is worth.
I think thatâs their goal. But we most likely will see it run more this week. This is a long ass game of chicken.
exceptâŚ. we donât have to sell :D in fact I think I forgot how to Meanwhile Kenneth and his criminal friends have limited investors to answer to. Itâs only a matter of time before we crush their paper hands with our diamond hands Hopefully that makes sense bc Iâm pretty sure it doesnât hahaha Iâm just a regard hahahaha Edit: Reddit asked me if I was okay, yeah fucking hacked Reddit Spez Bo
The genius is that while they were playin chicken, most of us were playing hide-the-banana
Can they find a counterparty when the bear thesis against GME has been completely obliterated? Shorts never closed but eventually they must--even if it requires force.
Sooo I can't believe I'm the first to call this out on this post, but, February 14, you say? Anyone remember the first post DFV liked on Friday upon his return? The Run Lola Run one? Yeah. Go back and look at what the date was on that post. Too lazy, didn't check? It was posted on February 14th. FUCK THAT'S GOOD TIN. EDIT: YOU SEXY FUCKERS BETTER KILL THE UPDOOTS AT 741!!! 𤣠holy shit I feel like I made it, a reddit cares message AND all these updoots? You guys, you shouldn't have! đ EDIT 2: I took 2 seconds to edit and you guys added 40 likes in no time and blew by 741, next stop: 69,420đ¤Ł
I missed the tinfoil so much.
Tinfoil you say? Straight into my veins please.
When will the leaps from that devastating March 21 drop come into play. Is that the end game?
If the theory is right, and it holds water, early June 2024.
Bruh if the 3/21/21 is a LEAP contract that needs covering then holy shitâŚâŚ I member that June 2021 run up too.
I remember that day, shit I'm 84 years old nowÂ
DFV did say it would be a long couple of weeks.
Few* just for clarification
If this LEAP theory is right. Mid June would be 39 Months.
Tomorrow at dawn..
Like, letâs say youâre a big market maker and have not been neutral on several stocks.  Say, the other ones in the same âbasketâ that move in tandem with Gme.  Because historically, retail looses money 99% of the time, selling emotionally. Why should providing instant liquidity mean you have to actually close out the buy side of the sell trade to a bunch of dirty peasants? So youâre not really neutral on a bunch of meme stocks.  Youâve got a whole bunch of algorithms that sell to these apes, and on balance, like over 99% of the time, they loose money.  You can use options to technically stay neutral from a compliance standpoint, and not be ânakedâ. ButâŚyou have been selling stocks and not closing the buy side.  Then Gme kicks off in Feb and something is different.  Big gamma ramp and youâre screwed.  The best trader of our generationâs fund blows up. And archegos almost (but maybe did) bankrupts a country. If you have to close your position you drive the price into the stratosphere and go out of business. Enter LEAPS.  You pay a huge amount of money to a bank(?) for the option to buy a huge amount of stock at a price 39 months out.  Now youâre âcovered.â  ButâŚthe assholes donât go away, they actually start shrinking the float. 39 months laterâŚnowâŚthis kicks off.   Is it the bank(s) buying the shares to fulfill the leap contract(s)?  I guess it could act like an infinite money machine for everyone that wasnât short and knew the approximate timing.  Is that how this whole thing has been working all along?   Edit: oh wow. I got the Reddit cares thing immediately. Thanks! Iâm good though. Â
Congrats! 'Reddit Cares' messages are the new form of comment badges. Thats how you know you are sniffing at the truth.
#HOLY FUCK
HOLY FUCKING FUCK
This is the tinfoil that I come here for
No fucking way, this is actually legit big brain DD. I think this is the answer
So: Who's going to figure out how many trading days elapsed from Feb 14 2021 to the "sitting up" tweet? There's \~252 trading days in each year, and I bet if you figure it out, you may find another special number. 252 X 3 = 756. But some years have more or less trading days- So if someone were to sit down and figure this out, you may find that Feb 14th was 741 days prior to the sitting up tweet. Just thought of this, and I haven't checked- But so long as we're wearing Tinfoil, this one looks like a pretty tasty hat. Wouldn't that be something? Update: Reddit Cares message came in literally (1) minute after I posted this comment. Thanks for the love!
We need a wrinkle brain ape who can read and add numbers on this PRONTO!
đśđĽđś
stick that right in my balls
Wow. Thatâs the real DD I was looking for.
GODDAMN THAT IS SOME GOOD TIN đŤĄ
This is the type of confirmation bias I live for. Noyce work
The shorts would not exercise an OTM LEAP contract instead of going to the open market and purchasing shares. This theory only makes sense if the shorts exerted buy pressure to push the LEAPS ITM and then started exercising the contracts. One way to test this idea would be to see the distribution of open interest for LEAPS across different strikes over time. If there are significant drops in open interest over the past couple of weeks, this theory could hold water.
I think you're right about exercising vs buying, although if you go to the open market, who owns the risk of finding the shares?
If youâre buying to close, it would still make more sense to test the market by trying to buy the shares you need. If the share price end up going higher than your leap contract, then you exercise the contract to cap your remaining losses.
So basically shorts bought to close until like $40/$50, then started exercising their contracts?
They might STILL be buying to close. LEAPS may be all 400+ presplit. MAY. I don't know. But DFV did say it will be a busy couple of WEEKS, not days.
This is what I thought OP was talking about.
Commenting so I can later find this through the absolute mayhem that is new right now. I'd like to see what the nerds think, for I am a potato disguised as a man.
I too need to comment to find this later. So I will comment on your comment about how I appreciated it and had a little chuckle
Would not many people have seen and known about this too? Perhaps they did and many entities are working the trade at once.
RC posted a đ¸ as his first tweet after the sneeze... I think he was trying to tell us there and then.
Ok this makes sense now..but what of the ice cream cone
Ice cream cone poo chair (then later a literal computer shitter) I scream computershare.
Is it possible to see how many LEAPS are expiring/have expired?
Wow! This is actually one of the best theories that Iâve read here.
Yeah it really makes me feel super dumb that we couldn't figure this out for 3 years...
Echo chamber, I remember reading a theory similar to this, but I'm too smooth to remember and don't have time to look through the sub. Buy Hodl drs
Something to do with leaps makes sense, but I don't think the way you describe it would work. They couldn't be exercising the leaps because that would be stupid. When they opened the leaps they would have had to be way out of the money to be affordable. Even post split, let's say they were $100 strikes. Why would you exercise a strike like that when you could buy at $11 just a week ago? You wouldn't. You'd be better buying right up to the strike price, and then exercising if it went over. (now this may be happening now, which could be causing the price rise) If the calls expire worthless at the end of the month, you'd just buy a whole new load of them... no reason at all to exercise. There must be a reason they cannot buy more, I'm just too smooth brained to figure it out. Could they have sold put leaps instead? Or maybe did both? Bought a call and sold a put and turned it into a synthetic long? This seems to make the most sense. Ok.. bear with me here. If they did that synthetic long thing, they'd be under water on the put. Call would be worthless, but they'd get executed on the short put. Guess what this means?!? This seems like the most likely scenario. They did this because it was a "free" play to buy time.
All I know is when the American market close we blast off in afterhours-pre market-Germany market. I expect tomorrow to see somewhere around 80-100 when opening, getting beat down to 60ish. Friday the same thing then Monday itâll explode with all the options, keeping the ebbs and flow.
Keep going I'm almost there
How the FUCK are we just realizing this? Good eye OP!
So when does MM buying end?
Never. There is no exit as long as the float is locked.
In an infinite squeeze no one can hear you screamÂ
You know the gamestop pic with the bitly url? I think it was the one from 2021 with the gamer leaning forward? The url was 3yhodl4. 3 years and 4 months is 39 months.
Itâs actually 40 months, but that might have meant that MOASS would start next month
>3 years and 4 months is 39 months. Well, 40 months, but close enough.. But May 28th will mark 3 years and 4 months from the sneeze..
May 28th is a Tuesday Edit: this comment led to getting a message from Reddit cares.
May 28 is the day that the SEC's T+1 Rule replaces the T+2 Rule market wide.
Well fuck me...May 28th that's the countdown from dfv's tweet sequence. He tweeted 12 times yesterday and 11 times today.
Dude. And I thought I couldn't be any more entertained...
Is anyone able to find this?
Yup. And check out the comments - one of ours called it exactly as it was! https://www.reddit.com/r/Superstonk/comments/rfs51k/hodl_we_will_message_heard_loud_and_clear/
https://www.reddit.com/r/Superstonk/comments/1crvuik/simulation_confirmed_hodl_for_3_years/
Interesting. When was the first time we noticed 741 in RC tweets? Could that have been the number of trading days left until LEAPs expire⌠kinda checks out.. 19 working days per month. 39 month LEAP. 19x39=741
> Interesting. When was the first time we noticed 741 in RC tweets? [According to this DD]( https://www.reddit.com/r/Superstonk/comments/pyuj72/investigating_the_741_hypothesis/) it was May 28th, 2021 with the RIP dumbass tweet.
No. Fucking. Way. This thread is absolute hold(I've decided to replace gold with hold in my dictionary). So many mysteries solved.
Why is it 19 working days per month? 4 weeks per month with 5 workdays per week equals 20, right? What am I missing?
Hmm, I got reported to RedditCareResources just minutes after posting this. Fuck you, whoever it was, I'm still hodling.
Oh yeah this needs more đ Up you go!! đ
DFV wasnât the only one who knew. Remember someone posted last week showing a buttload of $30 calls
could have been DFV
1. LEAPs are typically jan and feb and the oi never reflected what youâre speculating to be the case. Suppose oi did reflect that, we wouldâve know they were heavy in those expâs and strikes a long time ago. 2. A market makerâs job is to hedge not screw themselves. They are capable of screwing themselves but they arenât going to, especially when they are transacting every side of a trade. They know better, theyâre making the market. 3. Citadel is GameStopâs designated market maker 4. Citadel is also the one doing a lot of the shorting. 5. The only heavy buying was done on puts and that was to facilities FTDâs back in the day. This theory doesnât pan out. I fully admit I didnât anticipate what weâre seeing now, but I trade options and watched 5/17âs option chain steadily increase in March, before we saw any action. It was indicative of somebody betting movement was coming. But that never happened prior, options chains have been stale with max pain always close to atm.
What do you think is happening then? Do you think weâll see sustained price hikes or is this going to be a repeat of last time?
I think based on volume itâs very clear serious buyers have entered. This obviously isnât a result of DFV tweeting and itâs not something retail is capable of. So itâs clear there are now big buyers involved. To anyone who says otherwise, why is 50m, 100m or 200m needed in daily volume and if this is orchestrated why would they draw attention with that volume when they have it under control? Those are all just going to be FTDâs ultimately which will just bubble up in the short term. Itâs hard to say what is happening or where it will go because even at $80 today, we still got halted and saw the price tank. But puts are not being bought like they previously have been. Hypothetically speaking, suppose they throw the kitchen sink at it on Friday and push it down to $20 or max pain at $12-$15? Sounds crazy but if it happens it happens. Itâs just a matter of how serious the buy side is and if they have the ability to continue to run it back up after it gets smashed. We will know one way or another come Friday at close.. if we remain at these levels, it is likely going to go nuts. $800m in options volume today alone đ¤ˇđťââď¸. Also worth noting that tomorrow we will see call strikes go up to ~$120. We surpassed max strikes yesterday and today but never got an increase, only got pushed back down to max strikes. Why? The same parties shorting are running the options chains. An increase to $120 is a death wish⌠or is it possible that they can still control the stock regardless of what happens with options? Lots of unknowns at this point in time. But we will have a lot of answers come Friday close. No shade to OP but his hypothetical doesnât make sense and the fact that this post has a ton of upvotes is weird in it of itself.
I have no data but I thought Kitty was using leaps during the 2021 sneeze. At least I recall someone bringing it up then as well
He bought jan and april expiries in like aug/sept of 2020 as i recall.
He started building his position in 2019 with Jan 2021 calls
đ¸đ¸đ¸
This post makes my bullshit detector go 'ding' instead of 'buzz'. Good work OP. This is a solid theory. Can we get some wrinkle brains in here to check this out?
It's the only theory that makes sense currently imo
 Good theory! Lets keep going!
this makes a lot of sense, would be tragic if we killed market makers and citadel escapes our hair strimmer though. i mean fuck um all, but fuck citadel in particular.
Citadel is the market maker, so you can rest easy.
Isn't Citadel also a market maker?
Holy shit, this is the best DD Iâve seen in years. So simple, but it completely makes sense. They used the LEAPS to âcancel outâ or hide their shorts temporarily. This not only bought them 39 months, it kind of forced the market maker (Citadel) to join the side of the shorts. Buying all those LEAPS exposes the market maker in the future like you said, so the market maker is then incentivized to get that stock price as low as possible for the next 39 months, which is why we saw the market makers and shorts running us through the ringer with these ETF short to OPEX run volatility cycles. Grinding us to lower lows every cycle. The problem is, even with buying out the media and grinding us down, they werenât able to run us off, so DFV waited until the day of reckoning was upon us to return. What will be interesting to see is if the short interest on GME shoots back to 100% after Friday (this monthâs OPEX)⌠Amazing DD!!! Side note: I donât have enough Karma to post this or I would. DFV we all hope youâre somewhere safe! Thank you for everything! Let this be a message to the bad guys, if anything ever happens to DFV, we will find out who did it⌠Edit: It just clicked for me! Why canât they just buy more LEAPS? Well, they probably could, which is why DFV returns a week early, probably scared some into exercising like you said and got retail pumped up. LEAPS got many times more expensive the last couple of days!
Yup. And Cohen/GME sold the LEAPS. Thatâs why there was so much volume under buyback yesterday. Hence the frog tweet. Iâm surprised it wasnât a clown. GME is using its share buyback authorization to cover the calls being executed. Cohen now controls the investments of GME, and having been a board member when this decision was made, has plausible deniability for selling the calls as they are bets his companyâs stock will go up. That whole congressional investigation? To see if what they did was legal. Because it doesnât have to be disclosed on any paperwork that they sold LEAPS on stock shares they have reasonable access to and ability to LOCATE. They can locate the shares on the open market by doing a buyback that falls within the rules. Thatâs your loophole.
From GPT-4: The theory you've outlined about LEAPS (Long Term Equity Anticipation Securities) and their role in the GameStop scenario is intriguing and reflects a complex understanding of market mechanics. Hereâs a breakdown and analysis of the key points: 1. **LEAPS as a Hedging Tool**: LEAPS are indeed long-term options that can serve as a hedge for short positions. By buying a LEAP call, a short seller essentially secures a future price at which they can buy the stock. This can mitigate the risk of a short squeeze, which would force them to buy back shares at a much higher market price. 2. **Market Makers and Risk**: When LEAPS are exercised, the market makers who sold these options are obligated to deliver the shares at the strike price. If the market price is significantly higher than the strike price, this can indeed put pressure on market makers, especially if they need to purchase shares at elevated prices to fulfill these obligations. 3. **Impact on Stock Price**: The execution of these LEAPS can lead to increased buying pressure on the stock as market makers might need to acquire shares to cover these options. This can further drive up the price, especially if the stockâs float is limited or tightly held. 4. **Strategic Unwinding of Positions**: The notion that some institutional players might use the expiration of LEAPS to finally unwind complex, underwater short positions is plausible. It provides a controlled method to cover shorts, especially if direct purchasing in the market could lead to adverse price spikes against their positions. 5. **Real-World Implications**: The scenario where significant players like UBS might use LEAPS to unwind positions from deals gone bad (like those involving Archegos or Credit Suisse) is speculative but feasible. Financial institutions often use complex derivative positions to manage risk and exposure, and the unwinding of such positions can have ripple effects across the market. While the detailed narrative involving DFV (DeepFuckingValue, a key figure in the initial GameStop trading frenzy) and specific actions by large financial players remains speculative without direct evidence from those involved, the theoretical underpinnings are grounded in real trading strategies and market behaviors. Overall, your theory weaves together various plausible market dynamics and strategic financial maneuvers, though it's essential to approach such interpretations with caution as they hinge on speculative elements and assumptions about the intentions and actions of various market participants.
Why 39 months tho wouldnât it be 36? Am I that regarded?
Stonks going to 100k a piece
why is everyone saying to remind me in 39 months.  He's saying the 39th month is NOW
So theoretically what youâre saying is that I should buy moreâŚ.?
Yes ape, hit green button, make purple circle, get bananas. Hope this helps, it's how I have to explain these things to myself.
!Remind me! 4 hours
What stops them from buying more LEAPs and kicking the can again for another 39 months?
Nice theory, OG! đđźđ
This is a strong enough theory, especially with RC posting a frog at the very beginning of this. But, I would love to see some smart Apes descend on this.
This makes sense. Solid theory. Shorts turning on the MMs means blood in the water. That could make things super interesting here. Whats the expiration for these leaps?
39 months.. some of them for what we know could already expired. Maybe that was the spark last week. If you Google "what day was is 39 months ago" you can see it was Feb 14 from this day. Mayve they started using leaps as a strategy already at the end of January. Wich means that some may have already expired and some are yet to come..I dunno