The classics are always the best.
So just what does this mean when yours truly states “The Bankster Empire Strikes Back” or other memes of famous songs like “The Song Remains the Same” my new readers might ask.
Take a moment if you’re old like me, and remember the 1990’s. The “investing public” was sold a bill of goods via the internet then also. Mind you it was 2400 to 9600 baud and bulletin boards were the hot area to chat back then, but by God we could move money in our 401K’s and talk to human beings who said they would invest “responsibly” for us. Or our broker would “always” have our backs.
Right…..and I’m really Billy Dee Williams who got lucky with Princess Leia and a Wookie on a drunken threesome binge.
For those who were just washed, laundered, beaten, rinsed, and left hanging out to dry holding calls which require you to purchase XYZ call options at $350 per share in March, let me clue you in on some Wall Street reality:
1. The brokers do not give a crap about you unless you have a nine figure balance and even then they wonder why you’re stupid enough to let them manage your fortune.
2. The government will hear your complaint, investigate it, and put it in the same filing cabinets in Robert Byrd, WV next to the Social Security IOU’s.
3. Financial “news” television will note your brave “insurrection” against traditional Wall Street and end their commentary with “ain’t that just precious” just like they did in 2001.
4. No one cares how much money you lost or made. If you lost money they will sue to you take your personal holdings and if you made money, they will con you into losing it at some point.
Wall Street is much like it was in the late 1890’s, 1920’s, and ‘gasp’ the mid 2000’s; most of the shops are con artists looking to convince grandma and grandpa that their annual gains of 5% with 7% fees are awesome and better yet that your money is safe in companies like IBM or Intel which have yet to trade above their 1999-2000 highs on a dollar weighted basis.
Need some proof? Check out these round trips from the past few weeks:
If one got in at $5 per share, bailed at $30 or even $50, that individual or hedge fund was a genius. If you bought options at the top thinking that the Reddit crowd would actually “hold the line” and that a $150 or $200 March call was a lottery ticket, well, you’re moving back into or under your Mom’s basement as you file for bankruptcy.
But it gets worse.
Yes, this BlackBerry:
While they have some great secure communication software and devices coming out (hopefully soon), this is a company with basically zilch for revenues and not quite worth a $30+ stock price at this time.
No one is going to the movies.
No one is going to hold meetings in smelly theaters.
And there are not any decent “blockbuster” movies on the horizon.
Yet someone on a message board, just like 2000, said “recovery means it’s worth $20 at least.”
And the big enchilada? Yeah, Gamestop:
I am not mocking the message board suckers. I truly feel sorry for them. I’ve been there, done that thinking I had the ‘next hot thing’ but thankfully didn’t have social media at that moment in time to whine about it.
I have officially sold all my meme stocks. I lost 700k ish. Vlad and company stole it from me and should be in jail. pic.twitter.com/qXP1N1UFil— Dave Portnoy (@stoolpresidente) February 2, 2021
Okay, maybe I’ll mock that guy.
Blaming a penny stock brokerage huckster company internet app for your losses is not cool nor a good look. The reality is that if you invested with the big boys back in the day, like Merrill, Wachovia, etc., the same thing would have happened to him then as it did to many of us. You lick your wounds and move on.
Today’s “hold the line” was silver which is an entirely different animal which has been falsely manipulated with the blessings of the Federal Reserve, COMEX, and United States Treasury since the Hunt Brothers days. I made money on that as a teenager but this past 72 hours, sat it out as I have seen this movie before.
It’s called “The Empire Strikes Back” and has a sad ending every damned time.
Never, ever think you can take advantage of a loophole the banksters create as they will close it and crush the gnats before the “revolution” can take hold. The narrative created by financial media about a retail revolution was cute, but it was designed to suck in more “new” money so other hedge funds on the side of the revolt could cash out at handsome profits while using their boys to post “hold the line” on Reddit and social media to sucker more people into the game and push prices higher.
Hell, for all we know suckers like this were paid interns at major brokerages and this was a legendary push protest to fire up the true believers into holding during the hedge fund fire sale:
The truth is that if you play the game with their 401K you get an annual pittance saying you made 4-9% while paying 5-10% in fees. The government pats you on the head and gives you permission to “keep” your own worthless fiat money tax free until you are too old to use it for fun or inflation destroys its value.
The game is rigged.
The bankster Empire always wins.
Profit from it when you can, take your profits and stash them in physical precious metals, guns, ammo, and other preps.
Because the next crash is on the horizon and this one is for all the marbles; especially yours.