Tag: Stock Market Crash

Here’s Why Citadel’s Customers Are About to Lose Everything

Citadel Customers, Citadel News

Citadel’s customers are in for a massive shakeup entering 2022.

The hedge fund just updated their liquidity terms for all investors and the institution continues to lose money on bets they’re not willing to close.

They are limiting quarterly withdrawals to 6.25%, meaning it would take 16 quarters, or four years to fully pull out unless the client is willing to pay a fee.

Unless Citadel Securities closes their heavily shorted positions in both AMC and GME, clients are in for more losses leading into 2022.

Should clients pull out?

It’s definitely worth considering.

franknez.com

Welcome to Franknez.com – hedge fund Citadel Securities has just made a desperate attempt to keep their clients’ money. Desperate times call for desperate measures.

Let’s get started!

Community, this is massive.

Aside from setting tighter restrictions on withdrawals, Citadel Securities is also giving their clients an ultimatum.

Citadel Gives Desperate Ultimatum to Customers

Citadel’s funds are currently closed to new investors, so if someone quits, they might not be allowed back in the future.

The hedge fund has given this desperate ultimatum to its customers in efforts to hedge against losing bets.

Citadel Securities has lost billions of dollars all year betting against AMC and GameStop.

Retail investors have been fighting this adversary from trying to bankrupt two of America’s favorite companies.

The hedge fund has been notoriously shorting AMC stock despite all talks of bankruptcy officially off the table since early 2021.

Citadel is not stopping despite billions in losses.

And it’s costing their clients a lot of money.

Now, Citadel Securities is making it tougher for their clients to withdrawal their investments.

Citadel will eat every single one of its clients’ dollars to fight retail investors.

Will Citadel Keep Losing Money?

The entire stock market has been volatile in general.

However, Citadel Securities has amounted billions of dollars in losses due to overleveraging short positions in AMC stock.

Retail investors continue to buy and hold the stock until this hedge fund closes the millions of borrowed shares they have open.

And until they do, customers will continue to face significant losses entering 2022.

Clients can expect to see the same pattern from 2021 if Citadel Securities does not cut their losses.

AMC is not the only stock incurring losses to the hedge fund.

Citadel Securities’ business model is built on shorting stock to earn money on the downside.

And that’s the problem, they’re betting on losers instead of winners.

Should Clients Pull Their Money Out?

should I pull my money out from Citadel

Citadel Securities is one of the largest hedge funds in the world.

They’ve created massive systemic risk for the entire U.S. economy.

Hedge funds such as Millennium, Susquehanna, and 638 are also at risk.

This list of hedge funds shorting AMC stock are playing with their customers money.

Clients have a better chance at yielding returns by opening a brokerage account and investing in an index fund every month.

More of the general public is learning how to invest in stocks.

They’re not looking for hedge funds to play with their money.

They are taking accountability and researching where their money can grow both short-term and long-term.

Analyst Says ‘Buy GME and AMC’ Before Evergrande Crash

evergrande amc citadel

A veteran credit analyst is encouraging buying GME and AMC shares to hedge against a market crash.

In this article I discuss why the possibility of AMC and GME experiencing a MOASS is very likely due to an Evergrande crash.

Now, Dr. Marco Metzler, an advisory board member of the German Market Screen Agency says crypto and ‘meme stocks’ can yield a massive opportunity for investors.

Retail investors in the AMC and GME community have been right all year.

Overleveraged positions, dark pool trading, naked shorting, negative beta, all of it.

AMC and GME stock are going to experience massive short squeezes and hedge funds betting against these two stocks are about to cause severe losses for their clients.

Read: 10 myths about the AMC apes the media has wrong

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What China’s Evergrande Debt Crisis Could Mean For AMC

Evergrande Group AMC
Evergrande Group – Stock Market Crash

It’s incredible how much debt is allowed to accumulate in one company. The Evergrande Group owes approximately $300 billion and investors fear it could destabilize China’s financial system.

The massive selloff seen in the Hong Kong markets heavily influenced the New York Stock Exchange. If one of the world’s top economies crumbles, what will happen to the U.S markets, and what will it mean for AMC stock?

franknez.com evergrande

Welcome to Franknez.com – I saw some apes in the community wanted to hear my thoughts on how Evergrande could potentially affect AMC stock.

Lets get started!

A Preview to An Economic Downturn

Economic Downturn

Blood everywhere in the markets, and this seems to only be a preview to what’s coming.

We received a glimpse into the future of the repercussions caused by overleveraged companies.

I think it is safe to say the feds are sweating bullets from this economic trailer.

They’ve been pumping trillions of dollars into the system and loaning overleveraged institutions money that can’t even get paid back.

Large hedge funds have lost billions of dollars while short seller losses continue to accumulate in the millions.

This disruption has been caused by retail investors creating buying pressure in heavily shorted stocks.

Two of the biggest ‘meme stocks’, AMC and GME, have raised havoc for financial institutions betting against AMC Entertainment and GameStop.

According to insiders within the retail community, TD Ameritrade has never seen this much shorting take place in the history of the markets.

The word is there is no guarantee that the Group will be able to meet its financial obligations, with the company hiring a team of outside advisors.

How Will Evergrande Affect The U.S?

We saw Evergrande’s slip affect the three main indexes in the New York Stock Exchange.

The collapse of the Hong Kong markets would send shockwaves through global financial markets, including the U.S.

Just about every stock and crypto in our markets was significantly down after the Evergrande announcements. We saw massive liquidation in both of these sectors.

If China is unable to step in and protect its economy from financial collapse, the U.S markets will too experience a stock market crash.

Though I think the NYSE is due for one anyway, with or without Evergrande.

The Great Uncovering

Hedge funds in the U.S have been suffering from losses all year due to retail investors buying heavily shorted stocks.

Short sellers have been overleveraging their positions to drive the share price down no matter the costs.

They too have been digging too deep of a hole to close their overleveraged positions.

With billions of short shares borrowed and zero positions closed, hedge funds are a threat to the stock market and U.S economy.

As the market demands for debt to be repaid, hedge funds will need to accommodate to margin requirements by liquidating some or all of their positions.

In doing so, stocks such as AMC and GME will experience major upswings.

A stock market crash could force short sellers to get margin called, where their accounts will be forced to get liquidated if they cannot meet the margin requirements.

Closing out positions in AMC, GME, or any other momentum stock that has been heavily shorted, would cause a short squeeze.

This is why retail investors holding AMC stock or GME stock should not worry about its current volatile share price.

The Share Price Is Psychological

If you’re holding a heavily shorted stock with negative beta, such as AMC or GME stock, chances are they will react the complete opposite to the rest of the market during a stock market crash.

So why was AMC and GME red during the Evergrande announcements? Shouldn’t both these stocks have been green oppose to its counterparts? One thing we have to keep in mind is that hedge funds borrowed more than 4 million short shares to drive the stock price down.

Both of these stocks’ performances were masked by continued shorting and psychological warfare. In theory, stocks with negative beta should have reacted the complete opposite.

We have seen multiple manipulation tactics in the markets to understand that hedge funds will use every resource possible to attack retail investors.

What Will Happen To AMC Stock If The Market Crashes?

Major selloffs from institutions holding AMC stock would take profits, resulting in the share price taking a massive dip.

This is the opportunity seasoned retail investors in the ape community have been waiting for.

Massive buying pressure from the community would pump the price back up and could force shorts to cover their positions once and for all.

The reason I say AMC’s stock price is psychological is because the stock will continue to go down. This could very well be the dip before the rip.

And it will be 100% up to retail investors whether they choose to play offense or not. As for me, I’m taking advantage of the biggest dip yet to add to my position before hedge funds begin covering their positions.

However, follow what your conviction towards the stock tells you. Trey said it best when he says we are all adults and no one can decide what we do with our money but ourselves. “Have a plan.”

Evergrande Group and AMC

Prepare For The Challenge

I’m going to share my real thoughts with you on this short squeeze play with AMC.

I am not selling my AMC stock and I am taking any massive dip that comes our way as an opportunity to increase my position.

It’s really that simple to me. What’s going to be challenging for new retail investors is seeing their investment drop little by little, every day.

What’s prepared me for this challenge is my conviction towards the stock. The data says it all and I don’t mind holding AMC through the winter.

The longer AMC shareholders hold the stock, the more money hedge funds lose.

And although AMC stock could potentially face a steep drop, I know holding my stock is causing short sellers serious damage.

Should You Keep Holding AMC Stock?

franknez.com

When GME began skyrocketing, only a bunch were able to cash in some serious profits. These were the diamond hands who stuck to their convictions.

I can’t tell you to hold, but I can tell you that I’m going to hold.

I personally don’t care what gets thrown my way or about what the people who’ve lost their conviction have to say.

See, at some point short sellers have to cover their positions. Whether that price point is at $40, $30, or even $10, no one knows.

What I do know is that the retail investors who get to experience the MOASS will be those who held AMC stock the day shorts decided to cover.

And that’s good enough for me.

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Gary Gensler Under Fire By Retail Investors [Leak]

Gary Gensler Under Fire By Retail Investors. When Will The SEC Step In
Will Gary Gensler protect retail investors from naked shorting and dark pool abuse?

The heat has been turned up. All eyes are on #KenGriffinLied, Gary Gensler, FINRA, and other regulators.

Financial institutions are calling retail investors conspiracy theorists despite a variety of proof leaked across social media. Transcripts, real messages regarding the manipulation that occurred in the markets preventing investors from buying GameStop and AMC stock are beginning to wake up a sleeping giant.

Retail investors cannot be gaslighted. This attention has reached many finance and business personalities including Charles Payne of FOX Business. And he wants to get Ken Griffin or Vlad Tenev on his show.

franknez.com gary gensler

Welcome to Franknez.com – the blog that fights to protect retail investors against tyranny. Today I’m calling out regulators.

Let’s get started!

Citadel Securities Denies Allegations

Apes have been raising awareness of the manipulation tactics in the market caused by Citadel Securities, Citadel LLC, and Citadel Connect… yeah it’s the same company.

See, the problem is one branch is a market maker, one is a hedge fund, and the other is a dark pool.

Since Citadel is one of the biggest hedge funds and market makers, it gives retail a massive disadvantage because of how their orders are processed.

One company is shorting AMC and GME stock, the other is creating failure-to-delivers, and the third is hiding buying pressure through dark pool processing and trading.

Financial regulators such as the SEC and FINRA are supposed to be protecting retail investors from this very exact type of manipulation.

The AMC and GameStop community have been looking at Gary Gensler, Chairman and President of the SEC to act. And now, the world is looking too.

“Justice delayed is justice denied”

William E. Gladstone

#KenGriffinLied Files Lawsuit Against Flying Company

The AMC community has been flying banners all year. The community gathered to further spread trending Twitter hashtag “#KenGriffinLied” but was halted from doing so through a law suit.

#KenGriffinLied started trending on Twitter when transcripts of coversations between Citadel and Robinhood insiders took place regarding the halt of trading meme stocks earlier this year.

Ken Griffin under oath said his team had no communication with Robinhood’s team in regards to halting trades. The transcripts show there was communication a day prior to the halts.

You can view them here.

AMC Plane Banner
AMC Plane Banner – HODL ๐Ÿ’Ž

Robinhood Sold AMC Portfolio Before Halts

More transcripts have come out regarding the communication between Robinhood and Citadel Securities.

Now that you’ve seen the transcripts between Citadel and Robinhood, the transcripts below will make sense. Two Citadel executives confirm the ‘closing only’ positions of AMC, GME, NOK, BB, and NAKD just to name a few.

Robinhood’s COO, Jim Swartwout said in an internal chat “I sold my AMC today. FYI – tomorrow morning we are moving GME to 100% – so you are aware.” This chat is dated from January 26, 2021. Just two days before trading was halted.

Robinhood sold GameStop stock on January 27, 2021 when it was up more than 1200% before halting trading for everyone else. This blatant manipulation has yet to be addressed by Gary Gensler and financial institutions.

When will the SEC step in to protect retail investors?

Robinhood sold AMC stock before halting trading
Robinhood sold AMC and GameStop stock before halting trades

The halting of ‘meme stocks’ occurred on Thursday, January 28, 2021 and trading resumed on Friday, February 5, 2021.

FINRA Bypassed The Market Manipulation

In another transcript, Citadel Securities Senior Vice President discusses with another Citadel executive on the need to inform FINRA of expectations around a plan for PCO symbols and to expect an increase in complain ‘impact’.

These PCO symbols were AMC, GME, NOK, and BB.

Who Is FINRA?

FINRA is a private American corporation that acts as a self-regulatory organization which regulates member brokerage firms and exchange markets.

Check out what their ‘about’ page says:

“FINRA is authorized by Congress to protect Americaโ€™s investors by making sure the broker-dealer industry operates fairly and honestly. We oversee more than 624,000 brokers across the countryโ€”and analyze billions of daily market events.

We use innovative AI and machine learning technologies to keep a close eye on the market and provide essential support to investors, regulators, policymakers and other stakeholders.”

This could very well be the AI technology that Citadel uses to track and predict how investors trade in the market. This advantage could be used against retail investors given that Citadel and other hedge funds have been losing billions of dollars from ‘meme stocks’.

Regulators portray to the world that their jobs are to protect retail investors and to ensure the integrity of the markets.

However, they have proven to merely be a tool for someone else’s gain. I speculate lobbying.

“Injustice anywhere is a threat to justice everywhere”

Martin Luther King

Who Oversees FINRA?

The SEC oversees FINRA as well as other financial institutions in the market. They are granted the power and authority through congress to make real change happen.

So why isn’t Gary Gensler taking action?

Missing Gary Gensler Have You Seen Me

Although we’d like to think the SEC is on the sidelines coming up with solutions, we have not heard from Gary Gensler in regards to the market manipulation that continues to occur with AMC and GameStop.

Mainstream media is finally shedding light on these problems. Now we just need our leaders to begin taking action towards a definitive solution.

What Do Retail Investors Want From The SEC?

Retail investors want a chance at a fair market where the stock they are invested in is not manipulated through naked shorting and dark pool trading.

  1. Eliminate dark pool trading
  2. Ban naked shorting / FTDs
  3. Liquidate/margin call overleveraged hedge funds

Hedge funds shorting AMC, GameStop, and other ‘meme stocks’ are preventing retail investors from participating in a fair market.

Treasury Secretary Janet Yellen just stated, “there are issues relating to hedge funds and the possibility of leverage..”

You can read the full article here.

Hedge funds are also proving to be the cause of disaster in the markets and are a real threat to the American people.

These financial institutions have been the culprits of devastating economic recessions throughout history. The Feds have just as much of a role to play as the SEC does. The Feds are currently dealing with their own scandal too.

Policy makers are stepping down for illegally trading in securities and playing major roles in monetary policies.

The American people and those who stand by us are holding our leaders accountable. Gary Gensler and the SEC should have taken action many months ago. The next best time to take action is now.

“Injustice alone can shake down the pillars of the skies, and restore the reign of Chaos and Night”

Horace mann

Your Voice Is A Weapon

If you agree that what’s occurring in the markets is a form of injustice, speak out on it. Leave a comment below. Tag government leaders on social media, share this powerful message, make a RUCKUS.

franknez.com gary gensler

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Yellen: “America Could Default For The First Time In History”

Yellen "America Could Default For The First Time In History"
Yellen “Economic Catastrophe”

News arose today regarding congress raising America’s debt limit to keep the U.S government on. Treasury Secretary Janet Yellen expresses her deepest concerns regarding our economy.

Yellen is currently blowing up on Twitter feeds as she’s stated, “there are issues relating to hedge funds and the possibility of leverage, they can trigger financial runs”..

A financial run is a consecutive run in the markets, whether bullish or bearish. In the case of a hedge fund, it’s usually bearish due to short selling or short-laddering.

Franknez.com Yellen

Welcome to Franknez.com – today’s finance news will uncover some rather jarring information in regards to our economy. Yellen has warned House Speaker Nancy Pelosi on the matters.

Let’s get started!

Failing To Act Could Spark An Economic Catastrophe

Yet again our government is forced raise America’s debt ceiling or face devastating consequences.

Raising the debt ceiling essentially provides America with a larger line of credit. Yellen’s solution is for America to continue mounting debt, as the treasuries extraordinary measures to print more money could have very well been exhausted.

Although, if congress does not raise the debt ceiling, the treasury would have to step in to keep the federal government running.

Inflation continues to skyrocket with the printing of money. And the only two solutions America has is to either keep digging a debt hole, or exhaust the worth of our dollar.

The lack of financial literacy in our own government is what will ruin our financial system.

How Did We Get Here?

If you ask Robert Kiyosaki, he will say the lack of financial education got America here. And I agree. Robert Kiyosaki, author of Rich Dad, Poor Dad is a strong advocate for financial literacy.

In this incredible interview with Patrick Bet-David, Robert talks to us about his thoughts on the U.S national debt.

Robert Kiyosaki on The U.S national debt

If you follow Robert on Twitter, you know his tweets are very strong when it comes to the Feds, our government, and the destruction of our financial systems.

The U.S Will Run Out of Cash By October 18th

Congress has up until Monday, October 18th to raise the national debt before they run out of cash.

โ€œIt is imperative that Congress swiftly addresses the debt limit,โ€ Yellen said yesterday in testimony before the U.S. Senate Banking Committee. โ€œIf it does not, America would default for the first time in history. The full faith and credit of the United States would be impaired, and our country would likely face a financial crisis and economic recession.โ€

What Would Happen If America Goes On Default?

If America goes on default, it would trigger a broad market sell-off and put a hold on everything from government payments to the ability to borrow.

Unemployment, child tax, and social security would all stop flowing to the American people. Not to mention, our troops would stop getting paid.

And although social security is a self-funded program, the money is drawn from various trust funds to pay benefits.

Stocks and crypto would tank which would present a buying opportunity for investors. Investors usually profit from these market crashes as they begin to correct themselves. As for hedge funds, closing short positions could result in the MOASS retail investors have been waiting for.

A default would only be temporary, but could hurt Americans who depend on assistance from the government.

The interest rates on credit cards, car loans, and mortgages would also skyrocket, making it almost nearly impossible for struggling families to keep up with occurring debt.

Let’s Talk Solutions For An Economic Downturn

How can we prepare ourselves for an economic downturn? This is not financial advice, but advice from a friend.

If you have money in stocks and crypto, know that with a stock market crash the value of your assets will go down. However, if you take this opportunity to increase your position then you will come out profiting during its correction.

Negative beta stocks such as AMC and GME are more resilient and less volatile when it comes to crashes.

Be sure to have an emergency fund set aside in case you see yourself needing cash short-term. While most of our holdings are in assets, it would be wise to keep cash at hand to prevent from liquidating certain stocks or crypto.

If you have a safe stream(s) of income, make sure you’re stacking. That way when turmoil hits, you’ll be ready to take advantage of the investing opportunities presented to you.

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