Gamma Squeeze Explained: Why GameStop Wasn’t One
A gamma squeeze forces dealers hedging calls to buy stock, pushing it higher. Here’s the mechanism, how to spot one, and why GameStop wasn’t one.
A gamma squeeze forces dealers hedging calls to buy stock, pushing it higher. Here’s the mechanism, how to spot one, and why GameStop wasn’t one.
Every stock trade passes through a market maker who profits from the bid-ask spread. Here’s how market makers work, what payment for order flow means for you, and why liquidity affects every investment decision.