Thursday, December 17th.
GME closed at 10.9 cents.
Short Selling ratio remains above 90%.
The floating losses of Era Vanguard continued to expand, but the exposure monitoring never triggered any operations.
Zhao Chen only said two sentences at the routine internal meeting in the afternoon--
"Common Stock won't sell one share. Options won't move. Wait for Citron."
December 21st, Monday.
GME fell to 10.5 yuan at the opening and hit 10.2 yuan during the session, hitting the lowest point since Q3 Report.
Short Sellers continues to increase its position at this position, and the proportion of Short Selling climbs to more than 95% of Circulating Supply.
Zhao Chen was sitting in the office, looking at the time-sharing line on Bloomberg Terminal, and slowly rubbing his fingers on the cover of Zisha Pot.
The floating losses were increasing, but he had no intention of operating.
At two o'clock in the afternoon, Lin Shicheng suddenly stood up from his workstation and turned the screen of his mobile phone to Zhao Chen.
"DFV posted a message and started a live broadcast."
Zhao Chen took the phone.
On WallStreetBets Forum, the DFV account just posted a new screenshot of the position--
The market value of the combined positions of Common Stock and Options shrank from 3.4 million US Dollar to about 2.7 million US Dollar, with no shares sold.
There is only one line below the screenshot. "I like the stock."
But it was another link that really blew up the forum.
DFV opened a YouTube live broadcast less than five minutes after posting, with only one sentence in the title -
"I'm not leaving. Are you?"
The number of people in the live broadcast room jumped from a few hundred to 20,000 in ten minutes, and the barrage was so loud that it was almost impossible to see the screen clearly.
Lin Shicheng Connect the mobile phone to the projector in the office.
On the screen, DFV is sitting in a room that looks like an ordinary apartment Living Room, with a white wall and a simple desk behind it.
He was wearing a dark blue short-sleeved T-shirt, his hair was a little messy, and the shadows under his eyes were deep. He had obviously not slept well for several days.
But his voice was steady - the Boston accent, neither fast nor slow, as if he was giving a speech that had been prepared for a long time.
"I know a lot of you are scared today.
Q3 Report is very bad, the stock price dropped from 16 yuan to 10 yuan, your account may have a huge floating loss.
The same goes for my account - the market value of my positions today is 700,000 US Dollar less than last week.
Seven hundred thousand. But I didn't sell one share."
He picked up his phone, showed a screenshot of his position to the camera, and then put down his phone.
Put your hands on the table, lean forward, and stare straight at the camera.
"Do you know what makes me angry the most? It's not Q3 Report.
We have known the number Q3 Report for a long time - GME is at the end of the host cycle, and the flu has wiped out store traffic, so it is normal for revenue to drop.
What is really abnormal is GME's Short Selling ratio.
As of today, the Short Selling ratio is still over 90%.
The amount of Circulating Supply loaned out to Short Selling exceeds 100%. This is not short selling, this is hunting.
Wall Street Those institutions borrowed the same batch of stocks three, four, or five times, repeatedly shorted them, and used leverage to drive down the stock price.
What they're betting on is not that GME's Fundamentals will deteriorate - they're betting on retail investors fleeing the market in panic."
He withdrew his hand from the table and leaned back on the chair, but his eyes did not leave the camera.
"I did some calculations.
If Short Selling GME's Short Sellers wanted to close all their positions at the current price, they would need to buy back more than 70 million shares.
However, GME's daily average Trading Volume averaged just over 10 million shares in the past month.
What will happen if 70 million shares of Buying Pressure crash into a market with a daily average of more than 10 million shares of Trading Volume?
The stock price will be pushed to a level that Short Sellers himself cannot believe.
This is not theory, this is mathematics.
Short Sellers has borrowed all Circulating Supply, and any new Buying Pressure will turn into a stampede."
The barrage scrolled crazily on the screen.
Someone wrote "DFV, we will follow you",
Some people say "I Add Position bought 500 shares", while others say "I can't hold it anymore, I sold it".
DFV stared at the camera for a few seconds, and then spoke. His tone suddenly became very soft, but every word seemed to have been bitten between his teeth.
"I know some people can't bear it. I also know some people are already cutting their flesh. I won't blame you.
More than three million yuan has turned into more than two million yuan, and anyone would be afraid of the change.
But I want to tell you one thing - I have been doing research on GME for more than a year.
I looked through the company's balance sheet, the size of the second-hand game market, and the e-commerce experience Ryan Cohen brought over from Chewy.
My conclusion has not changed - GME is not a mortal company. It is just held down by Short Sellers's leverage and emotion.
When leverage disappears and sentiment reverses, the value of this company will reveal itself."
He paused and then said the last words.
"I won't sell today. I won't sell tomorrow. I won't sell next month.
You can follow me or not.
But if you choose to follow me, please remember one thing - we are not betting on a stock.
We are telling Wall Street that they cannot limit Short Selling to one company and then expect retail investors to hand over their chips at the lowest point.
Someone has to do this. If no one does it, they will do this to other companies next time."
The live broadcast ended after five minutes, and the number of viewers finally stopped at 42,000.
The replay video was pinned to the top of WallStreetBets Forum, and the title was changed to--
"DFV: I won't leave. What about you?"
Zhao Chen Turn off the projector and lean back on the chair.
Su Wantang put the newly brewed tea in his hand, and Shen Zhiyi walked over from the Legal Department's workstation, holding the newly updated exposure monitoring report in his hand.
"After the DFV live broadcast ended, WSB's sentiment indicator rebounded from the panic zone to the neutral range.
The number of GME discussion threads on the forum tripled in half an hour.
Someone was counting DFV's historical live broadcast frequency and found that this was the first time he started a live broadcast after the stock price fell - before, he only posted screenshots and did not speak."
Zhao Chen took the report and flipped through it. The exposure monitoring did not trigger any operations.
Common Stock has 1.95 million shares, Options totals Premium 18 million, and the exposure is stable at about 4.1%.
He signed the report and handed it back to Shen Zhiyi, then leaned back on the chair and looked out the window at the winter night of Manhattan.
"DFV has held back the confidence of the retail investor camp.
Q3 Report's bad news was partially offset by his live broadcast, and it became more difficult for Short Sellers to continue to drop prices near ten yuan. But Citron has not moved yet."
Zhao Chen picked up the tea cup and took a sip.
"Citron is waiting. Waiting for DFV's live broadcast to subside, waiting for retail investors to become emotionally exhausted again, and waiting for a better time to publish their bearish report.
They will not let go of GME - the proportion of Short Selling is over 95%, and the floating profit of Short Sellers is huge.
They need a bad news big enough to defeat the last batch of retail investors who resisted."
He stood up and walked to the window. The lights on the Hudson River were bright in the winter night, like a row of light spots nailed to the river.
GME's stock price recovered slightly from $10.2 to $10.4 in after-hours trading.
DFV's live broadcast replay was repeatedly posted on WallStreetBets Forum's homepage.
Citron's tweet has not come yet.
"Exposure monitoring continues to operate."
Zhao Chen never looked back,
"The day Citron tweeted, that's when GME really started."