HOLLYWOOD STOCK EXCHANGE
THE ENTERTAINMENT MARKET
THE ENTERTAINMENT MARKET
here is my take, and I think this was Dmac's motivation (pure speculation on my part)
I know it will sound crazy, but hear me out.
I think he is trying to make the game harder. Yes, harder.
Why? It is extremely easy to make crazy amounts of money in this game, once you figure a few things out. This creates a ton of cash on the sidelines, as much larger ports, and even just big ports have to invest in EVERY security to use their cash or they have lots of cash sitting around. SS is right, many stocks are now even MORE overvalued. The thing is, you have to figure out which ones, or you will get creamed by blindly investing in them.
Think of an extreme example. If there were no share limitations, someone might go out and buy millions of shares in a particular moviestock, driving the price artificially high. what would happen? (especially with the change in price change increments) The market (which is smarter than any one player) would short the crap out of it, earning profits and wiping the dumb player out. This is the increased risk, which is good, IMO.
However, I believe in the short run, things may get even more wacky, as many are asking what happened, and once they figure things out, they will invest their excess cash as well.
Does anyone know if Dmac as statistics on the market, like how much cash is sitting in ports?
Big changes: what are the consequences? Nov 02, 01:57
A lot of stocks becoming grossly overpriced by people blindly adding another 25k when they're already overpriced. {nm} Nov 02, 04:13
which in theory creates more opportunities on the short side... {nm} Nov 02, 04:18
I think that these new rules favour the ports that are getting it right. If on the other hand your port Nov 02, 04:21
Do you think these prices will drop again or will they just settle at a price that's a bit higher in general? {nm} Nov 02, 04:37
Oh, they'll drop and woe be to those who don't reverse them before they do. {nm} Nov 02, 05:11
^the above was my contribution to Colbert's "Restore the Fear" campaign :) {nm} Nov 02, 05:11
Yeah, except that it won't just go up .01... it will go up .01 for every trade made (or more--I don't know the ratio) Nov 02, 06:27
That is true. I am cash broke and my port is no longer a "small" one. Nov 02, 07:15
That depends of the kind of player you are. Short Term Yes, Long Term No. Nov 02, 10:26
sorry it should read "still can not make" {nm} Nov 02, 10:27
great, now I can lose more on the weekend openers! {nm} Nov 02, 06:28
here is my take, and I think this was Dmac's motivation (pure speculation on my part) Nov 02, 07:36
The rich get richer. all good {nm} Nov 02, 08:51
Time for an annual new 5% tax on profits? Yea, I said it! =D {nm} Nov 02, 09:43
