AMC and GME soared Thursday morning as buy orders filled the market.
Both stocks were momentarily halted, though it seems GameStop had stricter halts.
AMC surged from $9.82 per share to $13.46 per share during the rally.
GameStop skyrocketed from $78.09 per share to $108.05 per share before getting halted.
Mainstream media boasted that retail investors were done with so called ‘meme stocks’.
But unless you’re in the community, you know this is a blatant corporate lie.
AMC and GME’s trading volume proves there is a massive demand for the stocks.
Let’s discuss it.
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AMC is a top holding for Millennials and Gen Z investors
Market Rebellion says Tesla, Apple, and AMC are the top holdings of the average Millennial and Gen Z investor.
And while they are not wrong, they missed another generation, Gen X – also known as boomers.
The ape community is made up of many boomers.
In fact, I’ve talked to more boomers in the community than Gen Z investors.
Perhaps that’s just my circle, but I’ve been part of the community since its inception.
And every time the media published FUD headlines stating both AMC and GME plays were over, millions of people laughed.
AMC became the most popular stock of 2021 and continues to be the most popular stock in 2022.
And believe me when I say, retail investors aren’t leaving.
Related: Are You Holding Significant Losses in AMC Stock?
AMC and GME volume skyrockets as demand surges
We saw a very similar occurrence in late March where both AMC and GME began to surge due to big buying volume.
But both stocks were halted, leaving retail investors extremely disappointed with the blatant market manipulation.
AMC climbed up to $34 per share while GameStop claimed $200 per share.
Retail investors didn’t leave then, and they’re not leaving now.
AMC’s current trading volume is more than double its average of 48.1 million.
GameStop’s is also more than double its average of 4.1 million.
We saw high buying pressure early in the market as the two ‘meme stocks’ took the lead and left corporate media pinched.
No matter how much mainstream media lies and says these two plays are dead, the truth is still the truth.
Both AMC and GME have incredible short squeeze potential, and the only thing keeping them from skyrocketing is open short positions.
Volume, however, could create big panic and set off a chain reaction enabling shorts to close their positions.
Short interest data
Just how AMC and GME’s high volume proves there is still a massive demand for the two stocks, the short interest proves these are short squeeze plays.
Both AMC and GME have very high short interest.
AMC short interest: 21.44% | GME short interest: 21.52%
Both these stocks have a record high number of shares on loan that have to get bought back and returned at some point.
Short sellers have their foot on a bouncy betty.
These stocks will squeeze whether shorts get out at their current share prices, lower, or even higher.
Because AMC and GME’s shares on loan are at an all-time high, this also means that when they do skyrocket, share prices will surpass their last record highs.
This is why people around the globe are buying these stocks.
The upside potential is too large to pass on.
When will these two stocks squeeze?
No one can say for sure.
But this bear market could prove to be a great time for shorts to close their positions, at least while stocks are at temporary low.
Related: Are Institutions Preparing to Close Short Positions in AMC?
Are you holding AMC and GME stock?
What are your thoughts on the current market conditions?
Is now a good time for short sellers to cover or do you think the market is still trying to find a floor?
I’d love to learn what you think.
Leave your thoughts in the comment section below for the community to read.
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How is demand high when it’s clear the % of retail declined by for than 40%? And the float increased through the year by more than double since Jan 2021. A pump and dump or a money grab for executives if the company. Pick one or both.
Boomer refers to baby boomers which is ‘46-‘64.
GenXers are known as the forgotten generation…not Boomers…as per one of my education and experience backgrounds.
Gen X are kids of the 70’s and 80’s! Yep, we’ve been left by the roadside to fend for ourselves. No participation trophies for us.
Gen X created and invented the entire world we live in now. Gen X is the point of origin for the internet, logarithmic trading, tech, including social media, internet business and fulfillment like Amazon. Gen X is the shizzle and the hardest working, most innovative generation maybe in history. I have great respect for them. The boomers brought them into existence and gen X brought the millennials into existence. The one knock on gen X is the piss poor parenting they did with gen Y while working so hard. Fortunately, gen Z looks like a chip off the old block and may end up being the generation most like gen X. This is good.
Let’s start a discussion! Leave your thoughts below.
Frank, is there a possibility that any squeeze can be prevented with the continuous halts on trading? This seems like a pretty powerful trump card.