Is the meme stock frenzy back? Are we witnessing a repeat of the 2021 spectacle, or is it just another round of shearing the retail investors?

While we can only speculate about Gill's motives for fueling meme stock mania – answers may only surface after the dust settles – the allure of another meteoric rise is undeniably before us.

Many mooers are likely chomping at the bit, eager to pounce on this opportunity. This post aims to temper those impulses with a cool-headed analysis of the present scenario, divided into three parts:

1、 Is the GME surge accidental?
2、 Can GME replay history?
3、 Some prudent investment perspectives

Attention:
The following content is only my personal opinion and is for record purposes only. It does not constitute any investment advice! Any investment carries risks, please do not blindly follow orders!!

This compares to a combined total of around 1.4 million for options expiring on June 7th and June 14th.

So, it's no surprise that Keith didn't make any moves with his GME shares or options last night. He's playing a long game, not fixated on short-term fluctuations.

Those 1.5 million contracts imply control over 15 million shares should they be exercised, potentially propelling the share price even higher.

For those wondering why such activity isn't visible in option volume, it could be due to multiple buyers or staggered purchases.

Could GME Repeat History?
It echoes 2021, but the investment thesis is different; caution is paramount.
Past factors behind GME's rise included:
Retail investor resentment towards Wall Street,
Influencers joining in,
Media coverage attracting more retail investors.

Perhaps this will be the common thread in future meme stock surges.

Notably, China's "Warren Buffett," Duan Yongping, also revealed his GME position, adopting a more cautious approach with call options set to expire in January 2025 and a strike price of $100.

This signals confidence in moderate growth, but history doesn't guarantee repetition. With a short interest ratio of only 22% as of May 15th, a short squeeze isn't the play here. Keith's motives remain unclear.

Prudent Investment Perspectives
Given this analysis, I see GME's game as just starting, but with unclear investment logic, I'd suggest allocating a tenth of your portfolio cautiously.

As for GME options, after last night's action, implied volatility (IV) has skyrocketed to 400-500%, up from already high levels. Such elevated IV is unsustainable, with brokerages like Futu warning against it.

High IV isn't ideal for buyers since a drop in IV could rapidly erode option premiums, even if the stock rises.

My take:
Hold a small position in the stock,
Sell short-term GME calls to profit from a potential decline in IV.
The future is uncertain, and GME could indeed soar. As a seller, focus on certainty; avoid prolonged risk unless you have a solid thesis like Duan Yongping.
Final Thoughts:
Let me reiterate: these insights reflect personal opinions and should not guide your investments! Be rational, scrutinize market news, and invest wisely!