We recently compiled a list of the 10 Firms Suffer Steep Downfall on Monday. In this article, we are going to take a look at where Reddit, Inc. (NYSE:RDDT) stands against the other stocks. Ten companies kicked off Monday’s trading in a bloodbath, mirroring the broader market pessimism, with valuations slashed by double digits mostly due […]
Lol, finance (and thus financial reporting) is so braindead.
I’ll summarize the whole article: Why did RDDT crash? “Because the stock price went down. Some people sold the stock, so more people sold it, now the price is lower”
Thanks Yahoo finance, this is the journalism we rely on you for…
This is what people mean when they say they have an economics degree.
People selling the stock does not cause the stock value to lower. For every sale there is a purchase. What causes the stock to lower is people willing to sell for cheaper.
This is semantics, because that’s the same thing.
If you want to sell now you have to sell at a lower price, to have your put orders at the top of the stack. So the reason they were selling a lower price was just that they actually wanted to sell.
Sure, you can put an order to sell at some optimistic price, and that won’t effect the stock price, but simply having a put order on a stock is not actually the same as wanting to sell. People actually wanting to sell now lowered the stock price.
Once I bought a set of stockes (5 of them) for 50 cents each and sold them for a dollar 2 minutes later. It’s a fun way to game the market a little if you get lucky
It’s gambling. Highly complicated strategies exists, but at the end, it’s gambling. And somehow we’ve let ourselves get convinced that’s the way the world should be run