Q2 STOCKS TO BUY

GameStop Stock Pulls Back After 'Roaring Kitty' Boost

GME popped yesterday after Keith Gill's Christmas-Day post

Deputy Editor
Dec 27, 2024 at 10:08 AM
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Shares of GameStop Corp (NYSE:GME) are looking to snap a five-day win streak today, down 1.6% at $32.51 at last glance. The stock jumped 5.9% last session, after a mysterious Christmas-Day post from famed meme stock figure Keith Gill, otherwise known as "Roaring Kitty" on social media platform X. The post featured a wrapped Christmas present, which led to speculation from traders. 

Given its past, GME is highly sensitive to speculation, especially as it's still heavily shorted. Short interest makes up 7.6% of the stock's available float, and would take shorts three days to cover, at the stock's average pace of trading. 

Yesterday's pop had GameStop stock breaking out above long-term pressure at the $30 level, and hitting its highest level since June. Since the start of the year, the equity is up 85%. 

When weighing in on GME, options might be a good way to go. The stock's Schaeffer's Volatility Index (SVI) ranks in the 18th percentile of its annual range, meaning options traders are pricing in low volatility expectations. 

 

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