WallStreetBets name is being used to make a quick buck

And it’s really annoying

by Maxim Holman on Unsplash

Social trading

The social trading apps are driving this fools trading game with Reddit’s WallStreetBets subreddit name.

If you have a social trading app like Webull or SoFi, and look at stocks like AMC and GME. You’ll see plenty of “bag holding” and “against the hedge funds” comments.

While if you head over to WallStreetBets subreddit, the popularity of some of those stocks on that subreddit is minuscule compared to what it used to be.

So what’s going on here? Well, individuals and hedge funds are using WSB name as a pump and dump scheme. They buy the stock cheap, put their fake comments to drive the stock volume and price, and dump it.

by Clayton Ewerton on Unsplash

Social media stock trading as about as close to gambling as you can get. You follow the people around you, thinking you know what they’re doing, or worse; that they’re on your side and giving good advice, and put money where it shouldn’t be.

by Tarik Haiga on Unsplash

Don’t trust blindly

You don’t know who they are on these social trading apps, you don’t know their intentions, you don’t know their motive, do your due diligence and protect your hard earned money.