Tag: Trey’s Trades (Page 1 of 2)

Articles published by Frank Nez featuring Trey’s Trades (AMC) – AMC Stock.

Will AMC Have a Short Squeeze Soon? All You Need to Know

Will AMC have a short squeeze soon?
AMC Short Squeeze – #AMCtothemoon #AMC – AMC Stock Forecast – AMC Stocktwits

What a storm. What a battle right? AMC keeps on keeping on, and although AMC has been on discount recently, retail investors continue to buy and hold it.

Retail investors are very excited about the data that’s been collected for months now.

Will we see an AMC short squeeze while we continue to ride this bear?

And if so, how soon?

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Welcome to Franknez.com – the blog providing you with content on stocks, crypto, and market news. Today we’re discussing AMC Entertainment stock.

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How soon will we see an AMC short squeeze?

Retail investors all want to know.

Is it this week?

Will it be next week?

Or, are we looking at a longer game here?

Here’s what we know.

Key Highlights

  • AMC closed at $12.78 on July 5th. The stock continues to be heavily shorted. AMC Entertainment is set up for a short squeeze.
  • Shareholders continue to buy and hold the stock.
  • AMC’s short interest data shows us the stock has the perfect setup for a short squeeze.

Some of you reading this article might have been holding since January now.

Kuddos to you for holding the line.

If you’re a new retail investor getting in on AMC be sure to thank the seasoned apes when you get a chance.

Below is a series of documented facts and positive news that all influence AMC’s potential towards a short squeeze.

One thing is certain, it’s inevitable.

Related: These Two Signs Will Tell You a Short Squeeze is Over

AMC stock news and highlights

FOX Business reported AMC to have a strong chance of a short squeeze.

Coming from a big news platform it certainly brings the stock sentiment up for most retail investors.

This is the type of news retail investors need to keep an eye out for.

AMC Short Squeeze News Fox Business
Strong chance of a short squeeze – Fox Business AMC

AMC is still currently the most shorted stock in the market.

President and CEO of AMC Entertainment Adam Aron, announced AMC will reopen all 13 AMC theaters in New York City as of March 5th, 2021.

As of today, all AMC movie theaters are now open across the United States with many selling out.

Check out what Adam Aron had to say (via. Investor Relations AMC)

“Since reopening our first theatres with AMC Safe & Clean in August, AMC has welcomed back nearly 10 million moviegoers nationwide without a single reported case of COVID-19 transmission among moviegoers at our theatres. We look forward to welcoming back our New York City guests to the big seats, big sounds and big screens that are only possible at a movie theatre.”

Adam aron, President and CEO of AMC Entertainment

For those who thought AMC was a dead company, think again.

The company is now generating big revenue since it’s reopening.

Melvin Capital closing in June

Melvin Capital AMC Stock
Melvin Capital Hedge Fund – AMC – AMC Stocktwits

This is huge.

Melvin Capital is a hedge fund that has been shorting both AMC and GME stock.

Melvin Capital suffered a 49% loss it’s first quarter of 2021, via. Markets Insider.

Today, the hedge fund is scheduled to close in June of 2022.

Here’s why this matters:

  • Not only are shorts losing money every day but huge hedge funds are bleeding
  • This is a huge win for retail investors
  • Unless shorts close their positions, hedge funds will continue to suffer
  • Interest rates can skyrocket for short sellers enabling them to close their positions
  • An AMC short squeeze might be closer than we think

Here’s what retail investors can do:

  1. Continue to hold your positions, it’s free
  2. Buy the dips to counter any short attacks
  3. Share articles on social platforms that can provide value to the community
  4. Keep a close eye on the stock to not miss the squeeze

I’m going to discuss a little more on the short borrow fee that continues to increase for these hedge funds shorting the stock.

This is going to be a massive component to a short squeeze.

Related: Hedge Fund Melvin Capital Is Shutting Down in June

Positive news for AMC Entertainment (archive 2021)

Adam Aron gives positive news on AMC Entertainment – Archive 2021
  • AMC Entertainment has raised more than 2.2 billion dollars in cash
  • 90% of AMC theaters in the United States are now open with New York and Los Angeles finally reopening
  • Vaccinations and policies are making movie theaters safe
  • New movie titles are guaranteed to increase sales revenues
  • CEO and President Adam Aron expresses an optimistic future for AMC Entertainment
  • AMC Entertainment has implemented a Safe & Clean program under the advisement from Harvard University’s prestigious School of Public health as well as well as the No. 1 U.S. cleaning brand, The Clorox Company. This means movie goers can now return at ease knowing a proper sanitation program has been put in place.

Hedge fund affiliate partners such as MarketWatch, The Fool, and other finance website have been trying to redirect the public from investing in this stock.

That’s primarily because hedge funds are losing millions by the day.

A short squeeze could even put them out of business.

This is why it’s important for me to spread the positive news surrounding AMC.

I don’t believe in the manipulation of the media and I will continue to update these articles as more great news unfolds.

Is AMC Shorted?

AMC’s current short interest is around 18%.

As of 7/5, we’re seeing 150,000 shares have been made available to borrow (for now), via Stonk-O-Tracker.

AMC’s short shares available will be updated here so be sure to bookmark this page.

AMC Short Shares Available to borrow

While shorts might have the capability to short AMC stock, this is only temporary.

They will run out of borrowed shares and eventually have to cover.

There are finally investigations going around regarding naked shorting.

Yeah.. I sense a grand mother of all short squeezes. #GMOASS

BREAKING: Anchorage Capital closes after betting against AMC stock

What does this mean for the AMC shareholder?

Expect to see gains after shorts have run out of borrowed shares to use.

Hedge funds and short sellers alike have dug a deeper hole for themselves.

What this means for the AMC shareholder is a squeeze bigger than anything the market has ever seen before.

I am personally doubling down.

Not only is bankruptcy off the table (via. Los Angeles Times), but AMC movie theaters are now about to begin reopening in larger parts of the United States.

Which of course now introduces revenue.

AMC Entertainment Quarter Earnings History (2021)

Below are AMC’s quarter earnings for 2021, the year the ape movement began.

AMC’s quarter earnings for 2022 will be updated here and on another blog post once those have been announced later this year.

AMC Q1 earnings for 2021

AMC announced their Q1 earnings for 2021 on Thursday, May 6th. Things have been looking particularly bullish and optimistic since that point.

For the retail investor this means the upper hand is yours.

AMC Entertainment has raised over $2 billion dollars to hold them off until the year 2022.

If you missed the conference call you can view it here for your viewing pleasure. [ARCHIVE DATA]

Archived – 2021 Q1 Earnings Call – AMC Stock Forecast – AMC Stocktwits

AMC Q1 2021 highlights

  • The AMC community is recognized
  • Q1 earnings are higher than last years 4th quarter
  • Expectations for Q2 – Q4 are much higher
  • Food and beverage sales are up by 45%
  • Sales revenue will continue to rise as new titles are being released

AMC Q2 earnings for 2021

Quarter 2 earnings for AMC were absolutely amazing! I published an entire article on this information you can read all about here.

AMC Q2 2021 highlights

  • Record breaking $2 billion in liquidity
  • Increased revenue / tickets & concession
  • AMC to accept Bitcoin by the end of the year
  • GameStop partnership
  • Enhancing the cinema experience with sports and music performance

You can read Q3 earnings here and Q4 here.

I will be updating 2022 earnings highlights here so be sure to join the newsletter for updates!

I left 2021’s earnings call in this article for record purposes.

You can read 2022’s Q1 highlights here.

When will an AMC short squeeze happen?

When will an AMC short squeeze happen?

It’s really hard to tell.

Even experts can’t identify an exact date and time.

However, the possibility of an AMC short squeeze is certainly possible given that it is still the most shorted stock in the market and the stocks volume continues to rise.

We also now have more data then ever before that indicate a massive short squeeze is almost certain to happen.

Especially now that the SEC has announced some crackdown on shorting.

With Melvin Capital and other hedge funds losing money, it’s only a matter of time before the short borrow fee continues to skyrocket and shorts have to close their positions.

It’s tendie time!

Analyst AMC predictions

With that being said, Trey’s Trades predicts a short squeeze is now certainly guaranteed. Trey has been a leader in the AMC community and deserves a spot on this page.

More data points towards the stock reaching $1000+ per share.

See what stock analyst Trey has to say.

AMC short squeeze – AMC Stock Forecast – AMC Stocktwits

The real questions is how can retail investors make this AMC short squeeze happen?

We know that short-sellers eventually have to cover their spots. This means that they will eventually have to buy AMC stock at the current share price.

  1. If retail investors continue to drive the share price up by buying the dip and holding their positions, short-sellers will have no other option than to buy from the retail investor at a higher share price.

2. Retail investors will also need to buy the climbs in order to show a demand for the stock. This doesn’t have to be huge buys, rather incremental to validate the current share price.

This play essentially creates a supply and demand scenario between retail investors and short-sellers. The results? A short squeeze.

Hedge funds are doing everything they can to prevent a short squeeze

How are they doing this?

  • By promoting false information online (we’re certain you’ve seen it)
  • Through strategies such as short-ladder attacks in the market
  • And, by restricting certain brokerage accounts from allowing its retail investors to purchase or buy shorted stocks (Robing hood)

This is what retail investors can do to fight corruption

  • Share content that presents facts (blog posts, analysis videos, etc.)
  • Continue to educate yourself and make investment decisions based on your personal analysis
  • Protect the community and one another
  • Follow your instincts
Read: How Hedge Funds Manipulate The Stock Market

What will a short squeeze look like?

We’ll begin to see a trend similar to that of GME (Gamestop). AMC will enter a bullish territory before hitting an ‘abnormal’ peak in which AMC would have ‘squoze’.

What will an AMC short squeeze look like?

It seems we’ve already hit the bottom.

AMC continues to be heavily shorted through dark pools and other market manipulation tactics.

This price level can be seen as a buying opportunity for retail investors looking to squeeze shorts out of their positions.

We’ve seen resistant levels around $14-$16 recently which is a great push from $5.

We’re now sitting at $12.78 per share.

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An AMC short squeeze will certainly make headlines.

Expect to see various gains prior to any sort of major peak as well as volatility.

Retail investors will have to hold their positions through upcoming gains if they want to see AMC short squeeze.

But most importantly, they’ll have to refrain from selling at the first sight of gains if they are to see bigger and more massive gains.

Gamma squeeze vs Short squeeze

Don’t confuse gains and momentum with a short squeeze.

Here’s the difference between a gamma squeeze and a short squeeze:

A gamma squeeze are momentum gains. These usually occur from call options closing in the pocket resulting in heavy buys or purchases in the market.

A short squeeze is vigorous and can spike with no warning.

This is where you see 100% gains in a matter of seconds and minutes.

A short squeeze can even reach 1000% and 10,000% gains.

AMC Short Squeeze Stock Prediction

AMC Stock Forecast – AMC Stocktwits

New retail investors are wondering whether $1k, $10k, or even $100k per share is even possible.

Gabe from ReviewDork does some math that’s going to leave you with an open mind.

AMC stock price predictions range from $1,000 to $100k+.

Will AMC reach peaks like GME?

AMC has been fortunate enough to receive more publicity and hype than GME did, at least recently.

The volume will speak for itself and retail investors will just have to wait to find out.

We’ve seen that abnormal gains are naturally part of a short squeeze.

Volkswagen rose up to nearly $1,000 when it squeezed back in 2008 due to a similar strategy produced by car manufacturer Porsche.

Analysts are predicting AMC can even go above the $1K mark if retail investors and institutions alike continue to buy and hold their positions.

Wouldn’t this be something. If you’re holding 1,000 shares and AMC spikes to $1K per share, you my friend have made 1 million dollars!

I strongly suggest using a reputable broker such as Vanguard or Fidelity oppose to phone apps like Robinhood.

Simply because the broker colluded with market maker Citadel to halt the buying of ‘meme stocks’.

Read: Codes to see if your phone has been hacked

Is it too late to get in on AMC stock?

Absolutely not, at least not yet.

AMC Entertainment is still heavily shorted.

You will have to decide whether its current share price is worth it if trades at $100, $500, or even $1,000+.

AMC Entertainment stock has not even started squeezing yet.

Redditors have touched base on this topic and advise anything below $100 is a buy.

I’ve been personally buying the stock when it dips.

This allows me to pick up more shares at a discount.

If you’re a beginner, I recommend buying 5-10 shares of AMC stock.

This amount will give you a feel of the market.

Not only is it affordable, but if the market is red you won’t see much loss on paper.

Where was AMC trading at before the pandemic?

AMC was actually trading between $30-$35 back in the booming party economy of 16′!

AMC stock started to decline as their debt increased and hedge funds began to heavily short it.

Short sellers could have covered back in August when AMC’s stock price was trading at $30 levels or even today.

However, AMC gets really uncomfortable under $30 per share.

Related: Are Institutions Preparing to Close Short Positions in AMC?

What if a short squeeze doesn’t happen?

If an AMC short squeeze doesn’t occur, AMC stock price will still go up allowing shareholders to make at least some sort of profit.

With AMC theaters now open, it’s inevitable that the company will begin to see bigger sales revenue every time a new title is released.

I update this post when new titles make the headlines regarding earnings.

Keep in mind that AMC’s share price during the booming party economy of 16′ was roughly around $30 per share.

If a short squeeze doesn’t happen, fundamentals will continue to bring the stock up as more investors are buying the stock.

However, a short squeeze not happening is very unlikely as AMC is currently the most shorted stock in the market and most held stock, beating both Apple (AAPL) and Tesla (TSLA), via. NASDAQ.

Majority of the float is also held by retail investors and short sellers are going to be forced to close their positions very soon, more on that coming up.

As Mark Cuban bluntly put it, keep holding.

Why hasn’t AMC squeezed yet?

why hasn't AMC squeezed yet
AMC Stock Forecast – AMC Squeeze – AMC Stocktwits

AMC hasn’t squeezed yet primarily to two main reasons.

  1. We need more volume to drive the stock price action up
  2. Shorts need to close their positions

Volume really just comes to more and more retail investors as well as institutions getting in on AMC stock.

Regarding shorts covering, retail investors need to squeeze them out of their positions by holding their positions and helping increase AMC’s short borrow fee.

You can keep tabs on AMC’s short borrow fee as it changes every day via. Ortex, or Fintel.

AMC short borrow fee

As of 7/5 AMC’s short borrow fee rate is 14.70%.

Read: When do shorts have to cover their position? (AMC)

Aside from this, Wanda Group had caused a little bit of disruption for retail investors by profiting on the first sight of gains.

This turmoil was only short-term but is a reason why we’ve seen some selloff in the market a few weeks ago.

However, Adam Aron has brought awareness in an interview with Trey’s Trades that this selloff from Wanda is simply policy from China.

Retail investors should not be concerned.

Is AMC Ever Going To Squeeze?

All the numbers point towards the right direction for a massive short squeeze.

Shorts and hedge funds continue to lose money every day.

The interest is growing at an alarming rate and AMC’s current utilization is at 100%.

The lives of these retail investors are about to completely change.

Say goodbye to your old world.

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Related: DTCC B16845-22: Are Margin Calls on The Way?

And lastly…

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What will an AMC short squeeze mean for you?

Let us know in the comments section below what an AMC short squeeze would mean for you!

If you’re an AMC shareholder let us know in the comment section below.

Related: Will AMC Squeeze in 2022? [Short interest data]


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How High Can AMC Stock Price Skyrocket Up To?

how high can AMC stock price go
How high can AMC stock price skyrocket up to? AMC News and updates

Bookmark this step-by-step guide on how to invest in the stock market

AMC continues to be one of retail investors favorite stocks.

And yet again sources such as The Fool and other hedge fund partners are trying to steer the public from investing in this specific stock.

Well, just how high can AMC stock price skyrocket up to?

AMC stock price closed at $13.53 on July 1st. The share volume remains healthy as AMC is primed to take off.

We have broken the $30 and $40 levels of consolidation but have now come down. How soon will AMC rip?

Most of the market has been on sale and AMC has been no exception to that until now.

But AMC wants to keep climbing.

The stock continues to consolidate as short sellers find loopholes to short the stock.

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Welcome to Franknez.com – the blog where you can digest content on stocks, crypto, entrepreneurship, and market news.

Lets get started.

As some of you know, I update this article frequently. I update it with the intraday price action as well as any information pertaining to the stocks performance.

A lot of the information on here will be left untouched as it is a means to archive a lot of the information from throughout the year.

What do we know about AMC stock price?

AMC’s stock price continues to be volatile although we’ve seen the stock is scared of single digit share price numbers.

No matter how many times this stock is attacked by short sellers, it keeps correcting itself upwards.

AMC stock price bull market

Key highlights

  1. We’re seeing AMC stock price enter bearish territory due to an array of market abnormalities right now.
  2. ‘W’ shape formations in the past have indicated bullish territory.
  3. Retail investors and large institutions alike, like the stock. Buyers include Vanguard, Charles Schwab, Wells Fargo, and BlackRock.
  4. What causes AMC stock price to rise during ‘power hour’ is how many more shares are being purchased before trading hours close. As retail investors continue to buy the dip and hold, we’re going to continue to see this trend of perpetual gains into the new year.
  5. The stock price is still relatively low enough for majority of people to buy, but hurry before it’s too late.
Related: Are You Holding Significant Losses in AMC Stock?

Adam Aron, CEO of AMC Entertainment Interview

Adam Aron AMC interview
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Adam Aron, CEO & President of AMC Entertainment

Adam Aron has done an outstanding job with the media in the past months and continues to show a positive and bullish sentiment towards AMC.

He is now praised among the retail investors community holding AMC. And for good reason too.

See what CEO and President of AMC entertainment has to say to CNBC news about AMC Entertainment reopening and the Reddit movement.

As of today, all AMC movie theaters are now open 4/14
  • AMC Entertainment has raised more than 2.2 billion dollars in cash
  • 90% of AMC theaters in the United States are now open with New York and Los Angeles finally reopening
  • Vaccinations and policies are making movie theaters safe
  • New movie titles are guaranteed to increase sales revenues
  • CEO and President Adam Aron expresses an optimistic future for AMC Entertainment

In a more recent interview we get an exclusive behind the scenes moment with Trey’s Trades and Adam Aron.

If you haven’t watched the video you’re not gonna want to miss out.

In this personal interview from the CEOs home, Adam Aron talks about the 500 million share dilution, which by the way as of today has been taken off the table, as well as his experience and perspective behind the the Reddit phenomenon.

Related: Are Institutions Preparing to Close Short Positions in AMC?

AMC’s Short Borrow Fee

AMC short borrow fee interest

AMC’s short borrow fee as of 7/4 is: 20.20% via. Stonk-O-Tracker, this is different from the short interest of 18%.

The longer shorts-sellers hold their positions means the higher the borrow fee may increase. This is great news for retail investors.

Shorts eventually have to cover their positions and when they do, AMC’s stock price action will continue to rise, inevitably creating a short squeeze.

Why AMC’s short borrow fee matters

While it costs the retail investor nothing to hold their position in AMC, it costs shorts interest.

Shorts are more willing to hold their positions if the short borrow fee is low so they’re losing money every day they hold.

Remember, shorts still think they can bankrupt a company that is no longer going bankrupt.. I know right?

As hedge funds like Melvin Capital lose money, the short borrow fee will go up to make up for some loses.

As the interest goes up, shorts will naturally cover.

If they don’t, they will bleed bad.

With the short borrow fee being so high at the moment, it has retail investors speculating a short squeeze will start soon.

Melvin Capital suffered 49% loss 1st quarter

Melvin Capital AMC stock
Hedge Fund Melvin Capital – AMC Entertainment

Melvin Capital is a hedge fund that has been shorting both AMC and GameStop.

Well it turns out holding has paid off one way.

The company was down almost half percent their first quarter of 2021!

These are people who want to put your favorite businesses out of business. Ladies and gentlemen, the good guys always win.

If retail investors keep holding, institutions are going to raise the short borrow fee.

Unless hedge funds don’t start closing their short positions, they will cease to exist.

Or at least cease to run operations until they open a new firm from scratch.

But who will trust them? Their clients are losing money.

Breaking: Hedge Fund Melvin Capital Is Shutting Down in June

Hedge funds are a sinking ship

Hedge funds are losing money shorting AMC stock

Cramer said, anyone shorting AMC and GameStop are going to lose. And he’s right.

Retail investors are holding until shorts are squeezed out of their positions.

Shorts can either:

  1. Take the loses and close their positions right now where the stock price is around $13.
  2. Or, get squeezed out of their positions at a high interest rate above $13, resulting in even bigger losses.

Ladies and gentlemen, shorts could have closed at $5 last year.

With that being said, short sellers have lost more than a billion dollars this second quarter according to Ortex data.

Things are not looking so good for them.

And it’s about to get a whole lot worse as AMC stock continues to surge.

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Read: Citadel loses billions: hedge funds are getting dragged down

How will this affect AMC stock price?

I can imagine shorts and hedge funds alike must be furious.

The little guy causing a disruption, what!?!

My personal take is retail investors are going to continue to see foul play.

You’re going to experience this from bogus headlines.

They’ll usually try to steer the public from buying AMC stock to keep the volume and hype down.

Not sure if hedge funds know this yet but you do know documentaries of what’s taking place are in the works right?

Independent filmmakers such as the Mulligan Brothers will be covering this story from the retail investors perspective and rumor has it Netflix will be writing as well.

Expect AMC stock price to rise and continue to be shorted.

We will see volatility with shorts attacking the price action.

They do this by trading synthetic shares at low bids.

Read: How do hedge funds manipulate the stock market.

AMC Gamma squeeze before short squeeze

AMC Entertainment continues to be one of the most shorted stocks in the market.

Because AMC is an extremely high shorted stock, analysts continue to demonstrate their conviction towards an AMC short squeeze.

The key here is for retail investors to hold their positions as they see some momentum beginning to build. #diamondhands

Key: If investors want to see AMC squeeze, they’ll have to refrain from selling at the sight of early profits.

Related: Will AMC Squeeze in 2022? [ Short interest data]

AMC stock predictions (analyst)

AMC prediction from Fidelity TRADER PRO

Trey’s Trades walks us through the positive moves AMC has been making from an analysts perspective.

Trey presents his audience with transparent information and has been a key player in the analytics world for ticker symbol AMC.

Although this video is an earlier video, Trey’s videos are packed with relevant information that still apply to where the stock is today.

r/wallstreet bets and Discord

Members over at r/wallstreetbets and Discord anticipate AMC stock price can skyrocket as high as $1,000 with enough momentum.

The number of phantom shares hedge funds have to cover is astronomical which is why the community is calling this the mother of all short squeezes (MOASS).

AMC stock price wallstreetbets

By holding shares in AMC, retail investors are setting up a supply and demand scenario where short-sellers will eventually need to buy from them.

This in turn can drive the stock up as high as the retail investor chooses, theoretically speaking.

Large institutions such as Vanguard, Wells Fargo, BMO Harris, BlackRock, Fidelity and many more are buying AMC stock while it’s still low (via. CNN Business).

Take that for what it is.

Whether that number comes to fruition or not, retail investors will have to continue to hold and to add to their positions in order to skyrocket AMC’s share price.

We’re seeing more and more retail investors join the fight against short-sellers.

Short-sellers are the investors betting on AMC Entertainment to lose.

Read: When do shorts have to cover their position? (AMC)

Can AMC reach $100K or $500K per share?

There’s been a lot of speculation that due to the possible number of outstanding synthetics could be in the billions, AMC may potentially squeeze past 6-figures.

Personally, I’m open to this concept. Shouldn’t we all be? I just recently found ReviewDork on YouTube. Gabe talks about this possibility and walks us through some math. Check him out.

Is it too late to get in on AMC stock?

If you’re looking to take on a position in AMC you might want to get on the train before it takes off for good.

If you’re looking to get in for the short squeeze play, AMC stock is currently on bargain. This stock is still heavily shorted!

Retail investors are teaming up together to see their visions come to fruition.

And they’re not waiting on anyone.

What we do know is that the current share price is still affordable for most people.

Why hasn’t AMC squeezed yet?

AMC stock consolidation

AMC hasn’t squeezed for two primary reasons.

  1. The volume isn’t all there yet. The volume needs to be quite high. Trey’s Trades referenced 500+ million being an outstanding number.
  2. Shorts are holding – they need to close their positions if retail investors are to squeeze them.

It’s not illegal for shorts to hold long on their positions; however, they lose money every day they hold.

Fortunately for retail investors it’s free to hold.

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Read: When do shorts have to cover their positions ? (AMC)

What will AMC’s stock price be when it squeezes?

AMC

AMC’s stock price can really be anywhere.

It really depends on when shorts close their positions.

Short could have covered when they drove the price back down to $8.

It would have been wise considering the stock continues to correct itself in an upward trend and has now set itself up for the perfect squeeze.

If shorts continue to play the long game, AMC’s stock price could potentially be higher when it squeezes.

In this case, shorts would have lost a lot more money due to accumulating and rising short borrow fees.

Can AMC squeeze after hours?

A question some people might have is whether or not AMC could potentially squeeze after hours.

AMC can certainly squeeze after hours when the market closes.

In fact, it wouldn’t be surprising if it did this.

AMC’s stock price would continue to surge as retail investors watch immobile.

For one, shorts could decide to cover before the market closes in attempts to throw one final blow to retail investors.

This would give the price action to potentially come back down after hours.

Should you worry?

I wouldn’t worry if this was the case.

Although squeezes can last anywhere between minutes to hours, they can certainly last days too.

Volkswagen’s squeeze back in 2008 lasted approximately four days. GameStop’s lasted even longer.

Here’s how you can prepare for a short squeeze

A squeeze can technically happen at any time.

The short interest doesn’t necessarily have to be high.

Shorts could choose to close their positions with little loss opposed to massive losses.

  1. If you’re in a position to keep an open tab on your browser that is updated AMC’s stock price in real-time then I would suggest doing so.
  2. Own an Apple watch? Keep the stock in your background. This is a very convenient way to keeping tabs on the stocks performance.
  3. Join discords where you can be notified when something massive is going on.

When a squeeze happens you’ll know. Just don’t get a short squeeze confused with gamma squeezes.

Gamma squeezes are usually small spikes resulting from extremely bullish actions coming together at once. Otherwise known as relatively healthy gains of built momentum.

A short squeeze will be something more sudden and disruptive. You’ll know when this goes to the moon. AMC’s stock price will break through the charts and leave earths atmosphere.

What should I do when AMC squeezes?

AMC stock price short squeeze

This is completely up to you! Congrats for holding and seeing this through.

You can choose to sell your entire position and collect your profits or you can continue to hold and find out whether the squeeze continues to go up.

Unfortunately, we can’t time the spike.

For all we know, the initial squeeze might not be the potential price action.

This makes it difficult to calculate the best time to sell.

You could sell a portion of position and wait to see how AMC’s stock price moves.

We created a thread for you to share how you will use the money when AMC squeezes as a means to spread positivity and share with the community.

You can check it out here.

What is a circuit breaker halt?

A circuit breaker is usually a rule in the market that essentially pauses or halts trading for 5-15 minutes.

A common circuit breaker type is the Volatility Pause.

This helps smooth volatility in the market and prevent flash crashes.

It forces traders to take a 5 minute timeout, research the stock, news, etc.

Often times if a stock is spiking up and is halted, it will reopen higher.

Inversely, a stock selling off will often open lower.

Why this is worth mentioning

This is worth mentioning because it’s important for our readers and the ape community to be aware of possible halts as AMC’s stock price becomes more volatile.

If you happen to experience a circuit breaker halt do not panic.

It’s a policy to make sure trading goes as smooth as possible.

Important Advisory

It is important to note that I am not a licensed financial advisor.

Like many traders and self taught investors, all speculation is based on educated estimations based on highly reliable analysis, patterns, and documented news charts.

Note: Before roaring kitty blew up as the analyst for GME, only a handful of people followed him through and reaped the rewards.

We’re seeing another analyst obtain a similar following with AMC.

Take that for what it is.

Where can I invest in AMC? What’s a good platform?

Vanguard

If you have not opened a brokerage account to begin investing, read this post on how to invest in the stock market (step by step) to get started.

In this post you will see a number of linked platforms that you can check out!

AMC stock price: quick overview

AMC sat around $5 for quite some time before moving back up to the $14 range.

We’re currently seeing AMC trade at $13.53.

Although AMC’s stock chart has been relatively healthy in the past, the price has been influenced by covid news.

Are you holding AMC stock?

Let me know what a short squeeze would mean for you in the comments section below.

Join the AMC with Franknez.com Discord here.

If you found this post to be helpful or of value share it with an ape. The community needs positivity and truthful DD.

If you have not subscribed to the blog be sure to do so as I update you on this historic event taking place.

Trending: Will AMC squeeze in 2022? [Short interest data]

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Read: Anchorage Capital closes after betting against AMC stock

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Former Branch Chief Disappointed by SEC Meme Stock Video

SEC Meme Stock Video
Market News: The SEC attacks retail investors with propaganda

The SEC meme stock video is circulating all over social media due to its surprisingly and unprofessional attack on retail investors.

The agency was created in the 30s after the Great Crash to prevent fraud and protect retail investors from predatorial practices conducted by Wall Street.

But something happened along the way – the branch has proved to take a stance with congress in tailoring policies for financial institutions.

Who is going to protect retail investors from the corrupt?

Former SEC Branch Chief expresses her thoughts on the propaganda published by the SEC.

Let’s discuss it.

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SEC publishes meme stock video

If you haven’t watched the SEC meme stock video, it’s embedded below.

SEC Meme Stock Video

The SEC published the video on their official YouTube channel where they restricted public commenting.

Former SEC Branch Chief Lisa Braganca said she was “very disappointed to see the SEC disparage investors in meme stocks as if they must have done it thoughtlessly – especially when the SEC permits most trading to take place in dark pools.”

She then tweeted, “how about a video on dark pools Gary Gensler?”

Lisa Braganca is an activist who fights for market transparency.

She’s talked on Matt Kohrs’ channel before and has done an AMA on Reddit’s r/Superstonk answering questions about self-regulatory regulations, SEC regulation, and SEC enforcement.

Gary Gensler admitted in a Bloomberg exclusive 90%-95% of retail orders don’t go through the lit exchange but failed to mention a solution to the problem.

In an interview with Jon Stewart, the SEC Chairman fails to deliver a quality and productive discussion on solving the problems in the market.

Jon Stewart described Gary Gensler as a sheriff in town that allows blatant corruption to occur.

For Gary, it’s clear it’s more about keeping the job rather than creating a legacy.

Activism matters

wallstreetbets

The SEC’s meme stock video might try to portray retail investors as young and clueless novice investors.

But that’s far from who the retail community is.

Retail investors outsmarted hedge funds, exposed the corruption in the SEC, mainstream media, and are now attacking with this propaganda.

It’s a sign of weakness.

The retail community is made up of a very diversified group of people all fighting for the same cause.

And this is a threat to corporate media and powerful institutions.

Republicans and democrats getting together to fight for market transparency, what!?

But this isn’t just about the left and right getting together to combat corruption, it’s a global movement – and opps (opposers) don’t like this.

Trey made a great point when he stated why doesn’t the SEC tackle the problems that created meme stocks in the first place:

  • PFOF
  • Off exchange trading
  • Prime brokers
  • Arbitrage
  • Naked shorting
  • Derivative leverage
  • Etc.

Activism matters.

Retail investors must continue to raise awareness of these issues despite the propaganda.

What are your thoughts?

The SEC has ignored retail’s cry for help, and now they’ve made fun of the community with this meme stock video.

Did this unprofessionalism in our government surprise you?

I’d love to learn what you think.

Leave your thoughts in the comment section of the blog below.

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Related: Ken Griffin Attacks: "Pension Plans Destroyed by Retail Investors"

Is AMC Stock A Buy Or Is It Too Late?

is AMC a good stock to buy? Is it too late to buy AMC Entertainment stock?
Is AMC a good stock to buy? Is it too late to buy AMC Entertainment stock?

If you’ve been following the stock market news you’ve probably heard of all the hype surrounding AMC stock and GME (GameStop).

It wasn’t long before traders flocked over to AMC after the massive gains GameStop yielded due to the high percentage of shorting within the stocks.

Shorting a stock is the process by which sellers essentially bet on the stock price to drop.

They borrow stocks at higher cost, sell it, and buy back the stock low, profiting the difference.

Well, investors over at r/wallstreetbets found that by purchasing stocks at low price in heavy volumes it would drive a short squeeze.

A short squeeze occurs when a stock jumps sharply higher, forcing short sellers to buy higher, causing them to lose money.

Lots of it.

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Welcome to Franknez.com – the blog where you can digest content on personal finance, stock, crypto, and other trending investing news.

Lets get started!

Will we see a squeeze with AMC?

AMC Entertainment short Squeeze

There are numerous news that lead traders and investors alike to predict an upcoming short squeeze like we saw with GME (Gamestop).

  • CEO of AMC announces AMC is no longer going bankrupt (via. Los Angeles Times)
  • Vanguard, Wells Fargo, BMO Harris, BlackRock, Fidelity and many more institutions are buying AMC stock while it’s low (via. CNN Business)
  • AMC is currently the most shorted stock (via. MarketWatch) Unfortunately MarketWatch has hidden AMC from their list. Retail investors suspect foul play.
  • AMC is also currently one of the most held stocks surpassing Apple (AAPL) and Tesla (TSLA) (via. Nasdaq)
  • More publicity and awareness has average people investing in AMC which is driving volume for a potential squeeze
Related: AMC Dominates with Powerful Q1 Results: Highlights

Big institutions keep buying AMC stock

We’re seeing huge institutions are investing in AMC stock while it’s affordable.

And because it’s affordable, we’re also seeing average people invest in this stock.

As long as the stock is being held, though lows and through highs, a squeeze like we saw with GME (GameStop) is certainly possible.

AMC stock closed at $11.71 on May 16th. The stock has been on discount.

However, the community sentiment remains bullish meaning retail investors keep buying and holding the stock to squeeze shorts from their positions.

Shorts continue to short ladder the stock causing the downtrend we’ve been seeing.

But AMC wants to keep climbing.

As long as AMC shareholders continue to hold and buy the dip, short investors are at a disadvantage.

Great news for AMC Entertainment (Archive Data)

Other news that can further drive the share price of AMC stock is the announcement that most AMC theaters have now begun to open up.

AMC’s short borrow fee as of 5/16 is 1.80%, via. Fintel.

The fee is going up after being down for many months.

What is a short borrow fee?

AMC short borrow fee
Franknez.com

The short borrow fee is the interest shorts pay for borrowing shares of AMC stock.

This means shorts are losing money every day by not closing their positions.

A surging short borrow fee rate could incentivize shorts to close their positions due to higher borrowing costs.

Why the short borrow fee rate matters

It costs shorts interest to hold while it costs the retail investor absolutely nothing to hold.

Shorts are losing money every day they hold because of this interest fee for borrowing the stock.

For some reason shorts still think AMC Entertainment can go bankrupt, although they have enough money to continue doing business.. I know, I don’t understand this either.

As hedge funds like Citadel lose money, the short borrow fee only increases those losses.

AMC’s share price might be on discount right now, but hedge funds are experiencing losses on top of losses.

They’ll eventually have to close their short positions, will you miss it?

Related: Will This Market Meltdown Trigger AMC to Squeeze?

How high can AMC stock go up to?

AMC to the moon

Because we’ve seen a lot of suppression in the market, many traders are anticipating AMC stock can get as high if not higher than GME (GameStop).

This of course is just speculation as both stocks are heavily shorted and more people and institutions alike are buying and holding the stocks.

There’s a notion that all these suppressed gains will result in a massive short squeeze in the coming months.

So, is it too late to purchase AMC stock?

The price after a short squeeze eventually fall back down and level out, but this will take time.

With AMC stock trading below $100, now could be the perfect time to buy.

Despite what corporate media is pushing, AMC’s growth tells us the stock is undervalued.

But most importantly, big shorts have not covered.

Just don’t wait too long because we hear it’s going to the moon.

Hedge funds continue to short AMC and the volume is increasing; it’s the perfect storm for a short squeeze.

Read: What The Fool isn’t telling you about AMC could hurt you

Things to expect in the market with AMC

  • Volatility followed with an upward trend in price action
  • Short-ladder attacks
  • Headlines advising you to trade in something else
  • Hedge funds to lose a lot of money
  • More retail investors buying this stock right now
  • A series of gamma squeezes
  • And, a highly potential short squeeze that can happen at any time
Related: Are Institutions Preparing to Close Short Positions in AMC?

How many AMC shares should I buy?

If you’re planning on taking a position in AMC Entertainment set a budget for investing.

Since the market is volatile at the moment, purchase shares incrementally.

The best time to buy a stock is when the share price has dipped.

This will allow your investment to see gains when the stock price rises again.

Ladies and gentlemen, the last thing you want to do is to invest more than you can handle to lose.

This advisory must be made.

If you’re holding AMC stock leave a comment below and let me know what a short squeeze would mean for you.

Retail investors can feel it, the tendies are coming.


Where can I invest in AMC? What’s a good platform?

If you have not opened a brokerage account to begin investing, read how to invest in the stock market (step by step).

In this post you will see a number of linked platforms that you can check out!

I personally use Vanguard.

Vanguard has proven to be useful, and it has never failed me before.

Brokerage account Vanguard
AMC

Important Advisory

It is important to note that I am not a licensed financial advisor.

Like many traders and self-taught investors, all speculation is based on educated estimations based on highly reliable analysis, patterns, and documented news charts.

On another note: It would be wise to not invest more than you can afford to lose. In other words, invest money you would be okay with losing for simpler terms.

Ignore the bogus headlines from The Motley Fool and other sources

AMC and r/wallstreetbets have been given lots of negative press from the likes of The Motley Fool and other sources; shaming the purchase of the stock.

The fool vs AMC

Fortunately, we’ve been backed up by Mark Cuban, Chance the Rapper, and other big names.

Influential outlets with powerful hedge fund partners (institutions who short the stock) have been attacking traders and investors by providing false information wherever they can.

What we’re seeing right now is that the big guys are losing money due to the price of shorted stocks going up.

They will say and do whatever they can to divert the public from trading this stock.

My personal suggestion to you is to not let these sources intimidate you.

Do your research to see how the stock price has been manipulated through bogus headlines and short-ladder attacks.

Not to mention, the complete halt of trading AMC stock by Robinhood.

Trending: How High Can AMC Stock Price Skyrocket Up To?

And lastly…

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What Are Dark Pools in Stock Trading? (AMC)

What are dark pools in the stock market?
AMC Dark Pool

Dark pools are somewhat of a mystery to new retail investors. We hear about them a lot within the AMC community, especially through Trey’s Trades. We know that they allow hedge funds to make undocumented trades behind doors.

So what exactly are dark pools? And, is something being done about them? I want to expose this subject today.

franknez.com dark pool amc

Welcome to Franknez.com – the blog that protects retail investors from FUD media. Today we’re discussing dark pools.

Lets get started!

What is a dark pool?

A dark pool is basically a financial forum or platform for trading stocks or other securities. Dark pools are privately organized and are known to be an alternative trading system.

These ATS’s are seldomly regulated.

The concerns regarding dark pools and AMC Entertainment has been that we simply don’t know what these communities are hiding from the SEC. This slimy strategy is what’s known as backdoor buying and selling.

Why are dark pools used?

Dark pools give hedge funds an advantage in the sense that they are able to conceal their moves. We can only speculate what type of information is being hid from the public here. Details within these dark pools are not accessible by the trading public.

This lack of transparency may allow dark pools to conceal information such as:

  • The illicit activity of naked shorting
  • Explanations behind millions of fails-to-delivers
  • Any discussion regarding malpractice in the market
  • Inaccurate filings and reports

Dark pools can very well be the place where short sellers get together to discuss strategies and the ruining of companies.

It could be the reason why we don’t know how many short sellers are shorting ‘meme stocks’ and other information that would otherwise prove a fair market for both institutions and retail investors.

Is the SEC looking into dark pools?

SEC dark pools gary gensler

In a recent article regarding the high possibilities of automated margin calls, I point out some research I found on Gary Gensler, Chairman of the SEC.

He publicly announces that the SEC has been observing hedge fund activities since January and are taking action to regulate these entities shorting AMC and other ‘meme stocks’.

One of Gary’s proposals states that hedge funds could face 13-F filings. These filings would provide the SEC with insight on equity as well as dark pool disclosure.

I trust we will begin to see this new chairman make the right calls. It’s time for change and our generation will be the ones to make it happen.

Dark pools could explain the low short borrow fee

Could dark pools be the explanation as to why the short borrow fee is so low for hedge funds shorting AMC and GameStop? Now, because so much information is in the shadows, this of course is only speculation.

According to Investopedia, dark pools can charge lower fees than exchanges because they are often housed within a large firm and not necessarily a bank.

dark pools Investopedia
via. Investopedia

Why do these large firms (hedge funds) have this much power in the first place? This advantage is completely deceitful and unruly. It really does make you look at the SEC and think why in the world has no one taken action sooner.

Are dark pools illegal?

Dark pools are not illegal but they are certainly unethical. Per the SEC, we can expect real regulation to surround these exchanges relatively soon.

Bloomberg Tradebook

bloomberg tradebook dark pool SEC

The Bloomberg Tradebook is a dark pool that is owned by Bloomberg LP. Bloomberg is a financial media company that has been trashing AMC Entertainment for quite some time now.

Bloomberg has published FUD (fear, uncertainty, and doubt) articles in efforts to scare people out of their money. This raises questions regarding the ethics of these manipulators who gather behind close doors in order to stray the public from squeezing shorts out of their positions.

Other dark pool exchanges

Institutions such as Morgan Stanley and Goldman Sachs also offer private trading to their clients through the use of dark pools.

The main concern here is that the information that is made public to the SEC can easily be manipulated. Mainly to conceal foul play and inaccurate information.

The information that is available on Stonk-O-Tracker regarding AMC and dark pools is the percentage of trading within these forums/exchanges; which is usually relatively high.

How does this affect AMC stock?

AMC stock

These private exchanges may be illegally trading naked shares behind close doors refraining AMC’s stock price from further climbing. Although AMC is up nearly 3000% year-to-date, hedge funds continue to attack it through sell walls and short ladder attacks.

And since these private forums could potentially have been getting away with inaccurate reports, the possibility of foul play in the market is certainly there.

AMC Dark Pool Trading

Andrew Hiesinger, CEO of Quant Data took to Twitter to expose AMC’s current dark pool trading volume.

Quant Data provides retail investors with real-time options order flow, alerts, dark pool prints & levels, and news. There has been approximately 34 million shares exchanged in dark pools just in today’s trading day (8/18).

This equates to $1,268,475,800.46 in notional value, says Andrew.

Andrew Hiesinger AMC Dark Pool Data

64.21% of trading in dark pools won’t allow AMC’s stock price to reflect the actual price action. This primarily because this amount of trading is done behind closed doors where buy orders aren’t being reported.

This form of manipulation is clouding AMC’s real share price. #DarkPoolAbuse has been trending on Twitter.

Bookmark this article for updated news on dark pool abuse in AMC.

How can retail investors fight these predatory trading practices?

Retail investors have several advantages over hedge funds shorting AMC and other ‘meme stocks’. The community must stay the course if they are to squeeze these short sellers out of their positions.

Not only are hedge funds losing billions, but the SEC has finally begun to implement new regulations that could automate margin calls in overleveraged accounts. I’m personally not worried. These house of cards are falling at the times they should.

Read: 6 things retail investors holding AMC stock should know

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Was AMC’s MOASS Just Threatened by New ‘Put Theory’?

AMC Put Options
AMC Put Options – AMC ‘Put Theory’

AMC’s MOASS was just threatened by a put theory that came about from YouTubers in the ‘ape’ community.

Many community members feel betrayed, others are choosing to follow the new narrative.

Despite which road you decide to take, we’re going to break it down together below.

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Puts on AMC stock

Most of you have heard about the put theory where YouTubers in the ‘ape’ community say buying puts on AMC is the way to make money and drive the price of the stock up.

And while buying puts or options trading is a way to make money in the market, what’s the exact logic behind it in this scenario?

But most importantly, will buying puts on AMC stock trigger MOASS?

There are two things to consider when putting out information like this out to a massive community.

  1. Trading options is risky, and profits are not guaranteed
  2. This is just theory

What is the put theory?

The theory says that as market makers are pushing the price of a stock down, you push the price of the stock down too with put contracts while you hold your AMC stock.

This essentially would enable the market maker to lean towards the upside since majority of orders are puts rather than calls.

At the same moment, options traders may potentially make money when they exit the put, a process known as ‘hedging’.

Although, it is important to note that a successful play is not guaranteed.

The theory then transitions to buying the stock or buying call options as the market maker moves the price of the stock up, further fueling buying pressure.

According to the put theory, because algos tend to favor low prices (which puts are at the moment), eventually those same algorithms will move towards buying the less expensive call options, driving the price of a stock up.

This is all theory of course.

Trading options

While I agree that as individuals, we can always learn something new, you cannot demand it from a community who may potentially lack the resources to do so (time, monetary means, etc.).

Trading options requires patience, time, money, and learning something completely new, which I’m 100% for.

But most people might not be open to the idea of taking up a new hobby or hustle.

And if you are, kudos to you.

But is buying puts on AMC going to help squeeze shorts from their positions or will it only provide market makers with more liquidity?

Remember, this is just a theory after all.

YouTubers say that with so many puts in play, market makers will eventually begin to move the price up, where retail investors can then begin to play call options.

While it’s a great strategy to make money in the market, is there a lack of integrity when asking a community to keep buying and holding a stock while others profit from the foundation of those who are not trading?

Options trading is risky but may provide great reward if a play is strategized properly.

But should it be done on AMC?

Would buying puts on AMC prolong a short squeeze?

It’s an interesting theory, isn’t it?

But if options traders begin to fuel AMC with puts during a bear market, doesn’t that just drop the price for retail?

Yes.

And while some retail investors might feel like this theory may be taking advantage of them, in the sense that options traders get to make money while retail momentum collapses, I don’t personally think there were any nefarious intentions behind this.

Some sentiment in the community is looming that:

  1. YouTubers either sold their positions and are now looking for ways to make money trading AMC.
  2. There’s a lack of integrity and transparency from creators.

And not every YouTuber in the community is on board with this idea either.

But I’d love to know what you think.

Is trading options bad?

Options Trading
Options Trading

Absolutely not.

Trading options is a skill you can develop to hedge in the market and make money on the downside and upside.

It allows traders to buy shares cheaper and earn a premium.

Technical analysis usually provides traders with hindsight and allows them to make educated predictions as to where the price of a stock is going.

A trading decision is then made based on this research and analysis.

The risks are you can lose money on every trade, which could develop into a form of gambling without proper due diligence and research in options trading.

What can we take from the information that YouTubers in the community are suggesting retail take?

There’s always something to learn.

While I don’t agree with buying puts on AMC specifically will accelerate a short squeeze event, trading options could prove to be a valuable skill you can put to use in other assets.

Is an AMC short squeeze still possible?

YouTubers are saying to make cash with both calls and puts in AMC Entertainment stock.

So where does that leave a short squeeze?

Is a short squeeze still possible?

AMC’s current short interest is at 20.94%.

This means there’s a high percentage of shorts that have not closed their positions yet.

AMC surged to $72 per share from a 20% short interest drop to 14%.

AMC has the proper setup for a short squeeze, you can read more about the data supporting this setup here.

Can the put theory really trigger MOASS?

Like shorting a stock, the put theory is essentially a ‘bearish’ strategy that stunts the growth of a stock in the short term.

There are no guarantees algorithms will favor calls over puts as puts pile up into the market.

One would also need to convince many call option traders to buy puts or get the ‘ape’ community learning the process to do so.

It’s an unlikely scenario that has the potential to create bigger losses for the inexperienced options trader.

I’d love to hear your take on it.

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How Soon Will Hedge Funds Get Margin Called? (AMC)

Citadel Margin Call, When will hedge funds get margin called
When will hedge funds get margin called? Citadel Margin Call

Retail investors all want to know. How soon will hedge funds get margin called?

I’m going to be updating this article with new information as it becomes available so be sure to bookmark it.

If you’re investing in AMC or GameStop, this article will prove to be of value to you.

You’ve done an outstanding job. You’ve bought the rips and dips but most importantly, you’ve held on.

Let’s go over the data that is currently available regarding margin calls and hedge funds.

There are some incredible things happening behind the scenes that you need to know.

franknez.com

Welcome to Franknez.com – the blog keeping retail investors informed in stocks, crypto, and market news.

Lets get started!

But first, I want to give a massive thank you to my readers.

A lot of you have just recently started following me and I’m very grateful for your support.

I love seeing the community sharing FrankNez content on social media. It brings me great pleasure to know I’m providing value in your daily lives.

What is a margin call?

I published a piece fully dedicated to what a margin call is in the stock market world some time ago.

In short, a margin call occurs when the value of an investor’s brokerage account falls below the broker’s required amount.

This is when a broker demands that an investor deposits additional money into their account so that it meets the minimum requirement.

A margin call is usually an indicator that a security (asset) held in the margin account has decreased in value.

When a margin call occurs, the investor must either add funds to their account or liquidate (sell) some of their assets in that account.

Why does a margin call occur?

  • It may occur when an account runs low on funds usually as a result of a losing trade
  • A margin call occurs when a demand for additional capital is required to meet the minimum margin requirement
  • Brokers may force traders to sell assets, no matter the current market price, in order to meet the margin requirement if the trader does not deposit the funds

If you’re a new retail investor and have recently joined the ape community then you’ve more than likely heard the term margin call before.

A margin call is basically a 50/50% chance a short squeeze may occur on the spot.

However, even if hedge funds are able to keep enough capital in their margin accounts to keep them afloat, at some point they’ll have to cave in.

Hedge funds have lost billions of dollars and this game is only costing them more money each day that passes.

Bloomberg News on Gary Gensler / Margin Calls

Margin call hedge funds

In this video, Bloomberg News discusses Gary Gensler, the new SEC chairman’s concerns of overleveraging and manipulation in the stock market.

This five minute video is important to log because it demonstrates and acknowledges the concerns in the market.

Perhaps the SEC was incompetent in the past to say the least. But it looks like we might be looking at some change here community.

And although this particular video was published on May 6th, below are some things Gary Gensler is already proposing in order to protect retail investors and the overall market in general.

SR-NCSS-2021-002

SR-NSCC-2021-002 AMC automatic margin calls

This proposal from the SEC is massive if it gets approved.

The SEC has heard you and they’ve been looking into hedge funds overleveraging their positions in AMC stock and other ‘meme stocks’.

This proposal would allow an automatic margin call system to margin call hedge funds with overleveraged accounts.

This margin call system will essentially target short sellers on a daily basis and identify whether they are required to raise margin minimums or liquidate their positions.

SR-NSCC-2021-002 APPROVED 6/21/2021

SR-NSCC-2021-002 APPROVED margin calls
SR-NSCC-2021-002 Approved

This proposal was delayed after its initial approval date.

However, as of today the proposal has gone through and should be in effect in the coming weeks.

However, as long as short sellers are able to keep up with their margin requirements then this regulation is rather neutral.

A lot of these rules being put into place play in our favor the more money short sellers lose.

Total Return Swap AMC

The SEC and FINRA have gotten together to review the activity of ongoing overleveraging in the stock market.

Hedge funds could soon face total return swaps per Gary Gensler, SEC chairman.

In a total return swap, the payer (hedge fund) must pay the interest on the underlying assets, plus any appreciation in the market value of the asset.

This sounds a lot like shorts paying all short borrow fee owed on top of the market value of naked shares they’ve traded.

13-F filings and short selling disclosures

Citadel Margin Call - SEC cracks down on hedge funds
Citadel margin call – SEC cracks down on hedge funds

There’s a strong possibility that hedge funds also face 13-F filings. This filing will provide the SEC with insight on equity and dark pool disclosure.

Everything now seems to be falling right into place despite the continuous short laddering.

The SEC voted 3-1 and approved the hedge fund disclosure proposal on January 26, 2022.

When will hedge funds get margin called?

Charles Schwab has recently raised margin requirements for both AMC and GME stock.

This means that if they are unable to keep the minimum cash required in their margin accounts, they’ll be required to liquidate some or all of their positions!

This would create massive price action to trend in an upwards position.

We know that short sellers are losing millions of dollars every day.

Ladies and gentlemen, this is simply a waiting game.

The point is going to come where they can no longer afford to be negative each day.

This movement is about to get on a whole other level of excitement.

The fundamentals to this AMC short squeeze have not changed.

All retail investors will have to do is hold until short sellers cave in and close their positions willingly, or brokers margin call them.

Charles Schwab raises margin requirements

Charles Schwab raises margin requirements
AMC Margin Call

The broker is adjusting 100% margin requirements for AMC on all long positions, and 200% on short term positions.

As for GameStop, the margin requirement is 100% on all long positions and a whopping 300% on short term positions.

All this essentially means is that short sellers will be required to have more cash at hand as collateral.

So, not only are hedge funds losing a lot of money every day but are now being required to put enough cash into their accounts to cover their entire positions if need be!

You know what happens if they can’t cover right?

That’s right, margin call.

Instant liquidation of their accounts resulting in the MOASS we’ve all been waiting for.

Margin calls will result in a short squeeze

At first we might experience what’s known as consecutive gamma squeezes.

These are usually triggered by high volume in the market due to expiring call options in the money or very high purchasing days.

As more short sellers and hedge funds with larger short positions in AMC stock begin to cover, we will begin to experience the beginning of a short squeeze.

A short squeeze could last several days to several weeks.

During this timeframe, the stocks price will continue to skyrocket as more short positions are closed.

It really does feel like we’re coming to an end here.

This new beginning is going to change millions of people’s lives.

NSCC-2021-010

Proposition NSCC-2021-010 allows the NSCC to act as a third party lender to oversee every transaction between lenders.

It prevents short sellers from using naked shorting strategies and from creating FTDs.

This is one of the biggest AMC news yet regarding the stock.

It’s been delayed but should go into effect this new year.

The NSCC is also requiring that short sellers have more cash at hand to limit overleveraging their positions.

When should I exit my position in AMC?

I wrote an AMC exit strategy guide to help the community make a strategized decision on how to sell when AMC squeezes.

I do want to relay that this is only my take on it.

Many of you already have your own exit strategies, I understand this.

Regardless, it’s there if you need it and would like insight from a different perspective.

And lastly . . .

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Thank you to everyone publishing this information on Facebook, Twitter, Reddit, and on Discord groups.

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Read: Here’s why people are buying AMC stock: Investors guide

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Why is AMC Entertainment Stock Going Up Again?

why is amc stock going up
Why is AMC stock going up?

AMC stock is going up and continues to leave hedge funds and publishers such as Yahoo Finance, The Fool, and other sources baffled.

Although hedge fund partners are sticking together to mislead the publics opinion when investing in AMC (and other “meme stocks”), we’re going to let you know why this particular stock is going up.

Please keep in mind that I am not a licensed financial advisor. All the information you are about to read is based on expert sources and will be presented in a manor that informs you why AMC stock is going up.

franknez.com AMC

Welcome to Franknez.com – the blog protecting retail investors against FUD from mainstream media. Today we’re discussing why AMC Entertainment continues to go up.

Lets get started.

Volatility is normal in the stock market

We’ve seen a lot of volatility in the market recently. If you’re a new investor chances are you might have been scared off to sell and then noticed the stock slightly go up again in the green tier.

Don’t feel bad, volatility in the stock market is normal. This doesn’t just apply to AMC stock. But if you haven’t sold, kudos to you. #diamondhands.

So, what’s causing the stock to go back up?

Well, there are numerous reasons why AMC is back in the green tier. Keep reading to find out whether this stock might be a good pick for you.

Reasons why AMC stock is going up

reasons why amc stock is going up
  1. Large institutions such as Wells Fargo, Vanguard, BMO Harris, Charles Schwab, Fidelity, & BlackRock have bought the stock all year(via. CNN Business)
  2. AMC CEO Adam Aron, announced bankruptcy is officially “off the table” and have raised $2.2 billion in cash this new year.
  3. Because AMC is currently the most shorted stock (via. MarketWatch), the stock price has gone up and will continue to go up as long as retail investors keep buying the stock. *Unfortunately MarketWatch has removed AMC from their list. Retail investors suspect foul play from this hedge fund partner.
  4. AMC is currently the most held stock surpassing Apple (AAPL) and Tesla (TSLA) – via Nasdaq.
  5. Movie titles are beating records (more on that below).
  6. The AMC community continues to grow.

AMC Entertainment is no longer on the brink of bankruptcy

There’s actually a lot of positive things going on for AMC Entertainment despite what The Fool, InvestorPlace and other shill mainstream media might try to convince you of.

The sentiment behind AMC stock keeps getting bigger and bigger and bigger by the day.

This is primarily because hedge funds have greatly underestimated the community.

Ultimately, the data speaks for itself.

Now, Adam Aron who is the President and CEO of AMC Entertainment has done an outstanding job with the media.

In this video we can hear his optimism for the movie theater chain before AMC theaters began to reopen.

Adam Aron clip as theaters were beginning to reopen

As of April 2021 all AMC movie theaters are now open with many even selling out.

This clip is from a while ago but it’s worth documenting!

AMC Q1 2021 Earnings

AMC just announced their Q1 earnings for 2021. Things are looking particularly bullish and optimistic to say the very least.

For the retail investor this means the upper hand is yours. AMC Entertainment has raised over $2 billion dollars to hold them off until the year 2022. And we still have to go through Q2 (below), Q3 (coming up), and Q4!

If you missed the conference you can check it out from Matt Kohrs imbedded here for your viewing pleasure.

AMC Q1 Earnings Call

AMC Q2 Earnings Call (2021)

I published an entire article on Q2 earnings call so be sure to read it here! AMC doubled their earnings and have a ton of exciting new things coming to movie theaters.

Key highlights include:

  • AMC accepting Bitcoin by the end of the year
  • Open to partnering up with GameStop!
  • Looking into licensing rights to show concerts and sports events on the big screen
  • And more

AMC Entertainment has a great vision when it comes to innovation. I’m excited to see our movie theaters evolve to provide an even greater theatrical experience.

AMC Q3 Earnings Call (2021)

AMC’s Q3 earnings call will take place today.

You can register here to listen to the webcast at 5pm EST, or bookmark this article for upcoming updates.

What can we expect from the Q3 earnings call?

I’m guessing AMC Entertainment beat revenue goals since new titles have continued to break records.

The company has also done an outstanding job at marketing themselves, something they had not done before.

I will be covering AMC Q3 earnings call today so be sure to check back.

Fundamentals are also causing AMC stock to go up

AMC Entertainment as a company has a lot of partners and friends they’ve gained throughout the 100 years they’ve been in business.

They’ve been able to raise money to pay off debt and focus on ways to welcome people back to the movie theaters safely.

Revenue is a very positive factor playing into the fundamentals of AMC’s stock price action. AMC Entertainment is set to release a ton of awesome titles this year which has people excited for that movie theater experience.

AMC’s CEO is one great leader

With this being said, Adam Aron, CEO and President of AMC Entertainment is not backing down.

Adam has talked about his experience saving Norwegian Cruise Line and how he intends to to keep AMC alive for as long as he lives to run the company.

Why are large institutions buying AMC stock?

Vanguard AMC

Speculation would point out AMC is possibly a good investment, contrary to what Yahoo Finance, The Fool, and other resources are leading the public to believe, right?

It is important to note that these institutions are purchasing millions in AMC stock.

Just a side note here: if AMC isn’t a good investment like some sources are pumping out, then why have large institutions been buying AMC stock all year…

My educated guess? Large institutions aren’t going to be wanting to miss out on upcoming gains from a short squeeze.

Aside from a short squeeze however, AMC Entertainment seems to be a good buy even as a long-term stock.

Adam Aron, CEO and President of AMC has shared his optimistic views towards the direction of his company.

AMC is a good buy with or without a short squeeze.

What is a short squeeze?

AMC short squeeze

A short squeeze occurs when a stock jumps sharply higher, forcing short sellers to buy higher, causing them to lose money.

This in turn makes the retail investor (you and I) a LOT of money.

This notion of an upcoming short squeeze is drawing in a lot of attention.

This is why we’re seeing AMC stock go up as well. Its purchase share volume is going up.

And where there’s attention, there’s money to be made.

Volume is important for an AMC short squeeze

As more and more retail investors get in on AMC and continue to buy and hold, we’re going to keep experiencing the stock price rise.

Because volume is such an important factor, retail investors and institutions will need to not only buy the dips but the gains as well.

By buying the gains in increments, the market processes this as a demand in the stock; further driving up the share price.

This massive volume we’ve been seeing all year has allowed AMC to skyrocket past $70 per share back in June.

And it’s prepped for another massive runup.

The main reason why AMC stock will keep going up

AMC will go up

AMC is currently one of the most heavily shorted stocks in the market.

Short-sellers such as Melvin Capital who’ve bet against the century old movie theatre chain has lost millions in the process.

The same can be said about Citadel Securities who’s now under a massive investigation for it’s predatory practices.

These are the folk that don’t care about workers losing their jobs, or about the companies success.

This hits home to most retail investors which is why the conviction is so strong within the community.

The way these short-sellers make money is quite simple.

They short the stock.

Shorting a stock is the process by which sellers essentially bet on the stock price to drop. They borrow stocks at a higher cost, sell it, and buy the stock low, profiting the difference and driving the share price to the ground.

Since AMC’s share price has been soaring all year, hedge funds continue to amass losses.

Fortunately, retail investors like the stock and are against shorting it.

This is why AMC continues to go up.

Retail investors have all the time in the world to see this short squeeze through.

Shorts however, are paying the price every day.

And if you’re wondering, yes this is exactly what occurred with GameStop earlier this year.

Melvin Capital suffered 49% loss 1st quarter

Melvin Capital
AMC goes up and hedge funds lose money

Melvin Capital is a hedge fund that shorted both AMC and GameStop stock earlier this year.

Melvin Capital suffered a 49% loss it’s first quarter of 2021, via. Markets Insider.

Another honorable mention is that of Archegos and Mudrick who also got burned.

There are still hard-head hedge funds such as Citadel Securities who continue to short the stock.

The question is how long will they last before they too go belly up?

Reddit likes AMC stock

r/wallstreet bets like AMC stock

The people, along with Reddit retail investors do not want the movie theaters closed.

They are purchasing AMC’s dips and holding the stock. This is where the terms diamond hands comes from; refraining from selling.

According to Robinhood, AMC is the most held stock beating both Apple (AAPL) and Tesla (TSLA), via Nasdaq.

This means AMC shareholders will eventually have leverage over the stock from short-sellers as the price goes up.

As long as retail investors continue to hold, we’ll begin to see a supply and demand situation.

Short-sellers will eventually have to buy from retail investors to cover their positions, inevitably driving AMC’s share price higher.

Positive AMC Theater News!

AMC movie theaters across the entire country are selling out! New releases are serving the movie theater industry very well.

Godzilla vs. Kong secures $9.6 million in ticket sales

AMC theater - Godzilla vs Kong

Warner Bros. said Thursday that “Godzilla vs. Kong” secured $9.6 million in ticket sales on its opening night. This has been a record debut for the pandemic. As of April 26th it has done over $400 million global!

Leave me a comment below if you watched the film. I personally loved it.

Mortal Kombat & Demon Slayer outperform earnings

Mortal Kombat brought in 23.3 million its opening weekend. Critics expected Mortal Kombat to reach no more than 15 million. A huge victory for the cinema industry! Not only that but Demon Slayer drew in another whopping 19.5 million its opening weekend.

AMC theater Mortal Kombat

Mortal Kombat reps the biggest R-rated opening to-date during the pandemic. The beautiful thing is that we have other amazing titles coming to the movies that can continue to scale beyond these numbers.

The top 10 locations for Mortal Kombat were:

1. AMC Burbank Los Angeles, 2. Santikos Palladium San Antonio, 3. Cinemark Tinseltown El Paso, 4. Santikos Casa Blanca San Antonio, 5. AMC Orange Los Angeles, 6. Cinemark Pharr Town Center (Texas), 7. AMC Empire New York, 8. Cinemark Century 16 Corpus Christi, 9. AMC Gulf Pointe Houston, and 10. AMC Southlake Pavilion Atlanta.

Source, via. Deadline.

I have not watched Demon Slayer yet but Mortal Kombat was a fun film to watch.

I grew up on the video games (shoutout to GameStop) and the older films so seeing this today made my year.

If you have not gone out to your local AMC theater I recommend you do.

A Quiet Place Part II: $57 Million Pandemic Record

A Quiet Place Part 2 earnings
Movie theater earnings: A Quiet Place Part 2

A Quiet Place Part 2 debuted in theaters on Friday May 28 and broke pandemic records in the cinema industry.

Paramount’s A Quiet Place Part 2 topped Godzilla vs. Kong and Mortal Kombat combined on their opening night reaching $57 million over the Memorial Day Weekend. A huge congrats to the industry and AMC Entertainment.

As more Americans continue to get vaccinated, health concerns ease. AMC Entertainment is seeing a critical mass effect as the public feels safer. I’m personally happy for the century old company and its shareholders invested in the stock.

The Conjuring Earns $11.5 Million Opening Weekend in the U.S.

The Conjuring: The Devil Made Me Do It earned $11.5 million its opening weekend and grossing 57.1 million worldwide.

Congrats to James Wan and the movie theater industry. The Conjuring films are currently the top grossing horror franchise of all time with $1.9 billion at the global box office.

Wall Street analyst upgrades AMC Theatres

Wall street analyst says, ‘Godzilla vs. Kong’ “Destroys lingering concerns around theatrical window importance and demonstrates a solid path to resurgence”, via. Hollywood Reporter.

Eric Wold goes on to say, “Consumers want to leave the house and return to the theater.”

There seems to be a massiveness of positivity going around for the theater industry, especially AMC being the leader. As AMC continues to increase their sales revenue with hit titles, you can expect AMC’s stock price to continue surging. Massive victory for the AMC theaters!

Upcoming movie news and revenue will be updated here so be sure to follow me on Twitter to know when the post has been updated.

Is It Too Late To Get In On AMC Stock?

In short, no. With the price of AMC stock being affordable to majority of the public, it’s a steal right now.

Especially considering it has set a new floor in the mide $30 range and has touched $50 per share twice now; once in June and again in September.

The ape community plans on taking this stock above $100 fundamentally through buying pressure before squeezing shorts from their positions.

I strongly believe AMC will do great post pandemic, and apparently so do other institutions (with or without a short squeeze).

Are you holding AMC Stock? Let me know in the comments section below!

Where can I learn more about AMC’s short squeeze?

Trey’s Trades is an analyst who trades in the market and provides outstanding material on his YouTube channel. If you haven’t checked out Trey’s Trades make sure to do so, you’ll be happy you found this channel.

Trey’s Trades – Huge Institutional AMC buyers!

Another great analyst on YouTube is Roensch Capital. They provide more detailed analysis on the stock if you’re into deep chart digging. While Trey is more energetic and entertaining to watch, Roensch Capital is a little more serious and dives in straight to the research.

These are two channels I particularly enjoy which is why I’m sharing them with you today.

My mission is to provide you with valuable information.

While there’s a lot more people covering AMC on YouTube, these two channels are by far the best analysts on the platform in my opinion.

If you’ve never heard of them before, make sure you leave them a comment and let them know you found them through FrankNez.

And lastly…

A lot of you have been sharing my posts on Facebook Groups, Reddit, Discord chats, and Twitter. Words can’t explain how grateful I am for you sharing positive and valuable information for new retail investors to look at. Thank you.

Subscribe to our newsletter to stay informed about the latest momentum stocks, long term stocks, and crypto and stock news.

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Join the AMC with FrankNez Discord here.

#AMCtothemoon #Diamondhands

Related: How soon will we see an AMC short squeeze?

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Here’s Why People Are Buying AMC Stock: Investors Guide

Here's why people are buying AMC stock
Why are people buying AMC stock?

By now you’ve probably heard all the hype surrounding AMC Entertainment. If you’ve been following me for a while then you know I’ve been covering AMC since the beginning of February.

It is absolutely amazing to see more and more people begin to invest in the stock market. You can bookmark this step by step guide on how to invest in the stock market in case you haven’t opened your brokerage account yet.

My goal is to help guide you in your journey to becoming financially free.

franknez.com why are people buying amc

Welcome to Franknez.com – the blog where you can digest content on personal finance, side hustle ideas, entrepreneurship, and trending investing topics.

Lets get started!

Why are people investing in AMC stock?

Why are people buy AMC

People have the chance of a lifetime.

AMC was forced to close its doors to the world when the pandemic hit. AMC Entertainment suffered huge losses and hedge funds began doubling up on their short positions in attempts to bankrupt the company. Their goal was to get rid of the most respected movie theater franchise of all time, profit, and wash their hands clean.

Retail investors gathered on subreddit communities and decided to buy the stock and drive the price up; like they did with GameStop. This teamwork caused a gamma squeeze driving the price action from $2 up to $20. This allowed AMC Entertainment to raise enough capital for bankruptcy to no longer be on the table.

Since then, AMC Entertainment has been able to raise more than $2 billion dollars from life long partners. These partners have supported AMC since the inception of the company 100 years ago.

Retail investors saved AMC and are now looking to squeeze short sellers out of their positions.

AMC is currently the heaviest shorted stock in the market

Analysts discovered that AMC has a massive short squeeze potential. A short squeeze is a massive move up in price action. Short squeezes are violent and may produce 100%, 1,000%, and 10,000%+ gains.

What we discovered is that hedge funds shorting AMC Entertainment were overleveraging their positions. Meaning they were borrowing shares from brokers at an interest to drive the price down.

Short selling is the process of borrowing a share, selling it much lower, and profiting the difference when they pay back their lender. Short sellers usually bet on the price of a stock to tumble.

Here’s an example of short selling

AMC’s stock price was around $30 back in the booming party economy of 2016. Say short sellers borrowed 10 shares of AMC for $300 betting it would drop. Shorts would then sell the stock at the market value of $300 (you and I purchase it at $30) and wait for it to drop in due time. If the stock price fell to $25 per share then the short seller could buy back those 10 shares, profit the difference ($50) and give back the 10 shares they borrowed back to the lender.

AMC stock is going up, what happens then?

AMC stock is going up

Here is what’s attracted millions of retail investors and huge institutions such as Wells Fargo, Vanguard, Morgan Stanley and many more to AMC Entertainment.

AMC stock is no longer on the brink of bankruptcy and it is having an extremely healthy bullish run. The reason we’ve seen consolidation and red days is due to the massive amount of short ladder attacks conducted from short sellers and hedge funds.

A short ladder attack is a method used by short sellers where they transact synthetic shares amongst one another to drive the price of a stock down. This is only one of many ways we’ve seen foul play in the stock market.

Hedge funds shorting AMC are losing millions of dollars every day they don’t close their positions

Now here’s where it gets interesting. What happens to short sellers when a stock they’re shorting is going up instead of down?

The fee to borrow the share from their lender goes up and they’re pressured with two options.

  1. Pay the short borrow fee and continue to hold your short position in hopes the stock price will go back down, or
  2. Close your position, take your profit or loss, and possibly go long instead

Now, hedge funds such as Citadel and Melvin Capital have been quite stubborn. They’ve continued to overleverage their short position in AMC Entertainment to drive the price action down.

However, the AMC community isn’t leaving. It’s personal now and they’re willing to buy and hold the stock until shorts are squeezed out of their positions. Analysts have figured out that retail investors can continue to drive the price action up with enough volume in the stock.

Recently, there’s been a surge of new retail investors buying AMC stock. Short sellers keep tackling the upticks every time AMC soars. However, retail investors continue to buy the dips causing consolidation. AMC stock is currently trading around $40.78. The stock has been on discount recently but it continues to go up.

The data shows a MOASS

AMC Moass

MOASS, mother of all short squeezes.

Brokers have never seen this much shorting occur in a single stock in the existence of the stock market. The data predicts a short squeeze unprecedented like anything we’ve ever seen historically.

This is primarily due to the amount of synthetic shares and overleveraged positions that must be covered during a margin call. A margin call could force shorts out of their position resulting in a short squeeze.

How high can AMC’s stock price go up to? There’s no ceiling. However, more data will be released as the stock begins to squeeze.

Related: How high can AMC stock price skyrocket up to?

Markets are being liquidated

Massive institutions have begun to liquidate assets in both the stock market and crypto market. Retail investors cannot cause the extreme price drop we’re seeing in both markets.

I speculate institutions are building capital to prepare for margin calls or raised margin requirements.

Proposal ICC-007 APPROVED

This proposal provides brokers with the flexibility to raise margin requirements on investors holding risky investments, such as a short position in AMC.

Brokers need collateral. If short sellers cannot meet the margin requirement then they will be forced to liquidate their entire positions, resulting in several gamma squeezes and inevitably a short squeeze.

If margin requirements are raised then shorts will have to either deleverage their positions (gamma squeezes), or fund their accounts with capital. Is this massive selloff in both the stock market and crypto market related to potential AMC margin calls and regulations? I think so.

Read: How soon will hedge funds get margin called? (AMC)

An abundant opportunity

amc money

The reason why retail investors are buying AMC stock is for the opportunity of a lifetime. Not only is the public starting to invest but big institutions on retail investors’ side known as ‘whales’ are bulking up on the stock.

“Beware of the stock” (paid) articles

Platforms such as the Fool, MarketWatch and InvestorPlace are hedge fund affiliates. Retail investors encourage newcomers to do their own due diligence oppose to reading FUD articles (fear, uncertainty, and doubt).

Is it too late to buy AMC stock?

That depends. Look at AMC’s current share price. If it squeezes to $100, $1,000, or even $10,000+ would the trade have been worth it if you bought today at it’s current share price? You decide.

More info on AMC stock

Here’s where you can find more helpful information regarding AMC stocks’ data & predictions, technical analysis.

franknez.com amc

On the very top right part of my blog you can see my top 6 articles at the moment are on various AMC posts. These posts go further into detail with DD (due diligence) surrounding AMC stock and the short squeeze data.

Related: Charles Schwab raises margin requirements for AMC and GME stock

Best YouTubers covering AMC Entertainment stock

Trey’s Trades

Credit will be given where it’s due. Trey’s Trades is the man, the leader of this AMC movement. Nothing but tremendous respect for this brother. Take the time to watch his videos, I promise you you will not regret it.

Roensch Capital

For less entertaining but otherwise very valuable information on AMC stock, watch Roensch Capital. RC provides commentary on chart analysis.

ReviewDork

I was quick to connect with Gabe from ReviewDork. His videos are honest, genuine, and entertaining to watch. This channel is currently one of my favorites covering AMC and I know you’ll enjoy Gabe’s videos as well.


Questions regarding AMC stock?

Join my Discord group. Members here share new videos, posts, and conversations relating to AMC. Members here get the links to new articles first 😉 If you join the newsletter you will receive weekly emails from me when I post a new article. You can always connect with me on social platforms to see them as well.

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Why Hasn’t AMC Squeezed Yet? (The Truth)

Why hasn't AMC squeezed yet?
Keep hodling apes, your time is coming

Retail investors have been diamond-handing AMC stock for quite some time now. Massive props to those of you who have been holding since AMC’s gamma squeeze as of late January. You guys have seen it all by now. The gains, the short ladder attacks, the manipulation in the media and so on. So, why hasn’t AMC squeezed yet?

After all, we deserve an explanation. With so much DD out on YouTube and Reddit, some answers just aren’t being answered. Luckily, extensive research is done here to provide you with value you won’t find anywhere else.

Here’s what we know.

franknez.com why hasn't AMC squeezed yet?

Welcome to Franknez.com – the blog where you can digest content on personal finance, side hustle ideas, entrepreneurship, and trending investing topics.

Lets get started!

why hasn't AMC squeezed yet?

AMC Entertainment is after all one of the most heavily shorted companies in the market. So why hasn’t this stock shot up to the moon yet!?!

Shorts and hedge funds alike continue to lose money every day they hold. Shouldn’t they be covering by now?

More and more institutional buyers are bulking up on the stock, retail investors continue to hold and buy the dip, so what are we missing?

For one, let’s start with volume

Stock Volume needs to be high for a short squeeze

AMC’s market volume hasn’t been as high as we need it to be if we’re to see a short squeeze. Although, we’re finally beginning to see volume surpass 300 million. We’ve also seen it go as high as 700 million.

The market is going to need big volume to come in so we can see this price action really move. Well, how much volume do we need for AMC to squeeze?

The highest volume we’ve seen so (post gamma squeeze) was back in February where the volume reached over 400 million, until recently. In June we saw a surge of new retail investors buy AMC stock and volume reached around 700 million. The volume will need to be well over this amount.

Trey’s Trades has mentioned the perfect squeeze setup will require the volume to sit around 600 million plus. Some DD on Reddit has shown a squeeze will most likely occur in the billion volume mark.

Low volume = consolidation

low volume = consolidation

We’ve been seeing this with AMC until now. The stock has held up really well consolidating in the $40-$50. This level of support is indicating investors are mainly holding their positions. Retail investors will need to continue to add to their positions and project bullish sentiment if they want to see the price action continue to move up.

We saw AMC reach $70 when the volume surged back in June. It has since come down due to heavy short ladder attacks. Short sellers have been borrowing millions of shares to short AMC stock.

And while new retail investors are buying the stock during the dips, these ladder attacks on upticks have kept us consolidating.

Is consolidation in a stock bad?

Not at all. Consolidation is just a sign a particular stock has found a level of support and has developed strength.

Driving the price action up could force short-sellers to close their positions; however, a new pattern has risen.

According to Benzinga, “Volume in AMC’s stock has been declining, especially in terms of bearish volume, which indicates the stock is running out of sellers. This pattern is often seen before eventual large upward swings in a stock.”

Shorts still need to cover their positions

AMC money investing

Shorts haven’t covered their positions which means they’re holding just like retail investors are. The only difference is they’re paying an interest fee until they close their positions.

It costs nothing to hold AMC for the retail investor but it’s costing shorts and hedge funds money every single day.

Moral of the story? Hold until shorts can no longer afford to pay the interest. Yup, that’s really all there is to it. Keep living you day to day life. When AMC squeezes, you will hear about it.

The short borrow fee has been relatively low

Low borrow fee rate means no squeeze

Now, unfortunately the short borrow fee for shorts has been relatively low the past several weeks. At least according to Fintel.

This just means the fees aren’t hurting shorts too bad from the interest right now, although they continue to lose millions with every passing day.

AMC short borrow fee

Shorts continue to bet against AMC in efforts to bankrupt the company but the company is actually doing great right now.

Yup, although bankruptcy is officially no longer on the table.. And all movie theaters are now open.. and AMC Entertainment is bringing in huge revenue from new movie titles..

Yeah, I don’t understand their logic either.

This interest fee really doesn’t affect retail investors. Whether it’s low or high it’s costing hedge funds money. And at some point compound interest will really be hitting them hard.

It would be in shorts best interest to close their positions now while their fee is still low, and the stock price is around the mid $40 range. Because as soon as the stock price goes back up and so does the borrow fee rate, they’ll wish they had closed sooner.

Read: When do shorts have to cover their positions (AMC)

Wanda caused more shares to float into the market (ARCHIVE)

This information was what older apes experienced months back and will be included in this article for record purposes only.

One of the reasons why AMC didn’t squeeze months back was due to Wanda’s continues selloffs every time the stock would come near $14. This slowed the growth process significantly. Here’s how it happened.

With Wanda converting class B shares to class A shares, it essentially put more shares out into the market. This happened quite some time ago (early this year) but it’s worth mentioning because it goes back to volume. This is previous news though and Wanda no longer has a position in AMC due to foreign policies.

Key: Retail investors will need volume in order to squeeze shorts out of their positions.

Wanda Group had fueled red days (ARCHIVE)

Wanda is a group based in China who has been AMC Entertainment’s biggest shareholder for quite some time.

Unfortunately, Wanda had taken profits every time AMC’s stock rose to $14. This was usually seen as a major selloff in the market. CEO and President of AMC, Adam Aron explained in a recent interview with Trey’s Trades the cause for this. China’s government has a policy that requires international investors in China to focus their investments domestically to fuel their economy.

According to Adam Aron, Wanda is still a great partner and doesn’t believe the sell has anything to do with Wanda’s sentiment or believe in the company.

As of today, retail investors now hold majority of the float and Wanda no longer the large shareholder it was in AMC. This gives retail investors more control.

Stock market manipulation

Something incredible is unraveling here. Something very bad.

And although it’s bad, this means it’s also time for change. This entire journey with AMC and GameStop has allowed very intelligent people to uncover data that was never meant to be uncovered.

It’s only a matter of time before this data and DD get into the hands of writers looking to document this historic event occurring before our eyes.

One of AMC’s biggest reasons why it hasn’t squeezed is due to the heavy manipulation that’s been occurring for many months now. Nonetheless, AMC has moved up from $5 to the mid $40. Despite hedge funds cheating, retail investors keep winning.

It’s going to take continuous patience from retail investors in order to squeeze shorts out of their positions.

Read: How do hedge funds manipulate the stock market?

Hedge funds pay the price

stock market manipulation
Melvin Capital suffers 49% loss their first quarter of 2021

Melvin Capital, a hedge fund who shorts both AMC and GameStop stock has reportedly suffered a 49% loss its first quarter.

The reason being is they have not closed their short positions although in a recent statement they advised they had. This hedge fund along with short-sellers are losing money every day due to the short borrow fee continuously increasing.

Short sellers are sitting on billions of dollar loses, via REUTERS. If short positions were covered, both AMC and GME would have come into an immense amount of gains just from this one hedge fund buying back several millions of shares.

Related: AMC margin call: the squeeze is inevitable

Mudrick Capital

Mudrick Capital is another sleezy hedge fund that has been very well documented on FrankNez for its dishonest play. Laura Stine and I collaborated on publishing this piece from when Mudrick Capital met AMC and departed with AMC.

Laura captured the entire timeline perfectly and provides the community with insight as to how we are where we are today.

Read: Hedging against America: The Mudrick short report

Short-ladder attacks

Retail investors started digging into the manipulation as AMC’s share price continuously got ladder-attacked. Shorts use this strategy as a means to drive the price down as the stock moves up.

Redditors have discovered which platforms are owned or partners of Melvin Capital and Citadel. We’ve seen manipulation through bogus headlines trying to divert the public from buying a heavily shorted stock. MarketWatch, who is owned by Melvin Capital and Citadel, took to eliminating AMC from their #1 place on the most shorted stock list in the market back in February.

Citadel also owns The Fool which has been publishing lies for many months now.

This only urged more people do further dig in. We’ve found the unethical use of naked shares, which are essentially ‘fairy stocks’. They don’t exist but are traded and shorted otherwise. These are also known as ‘I owe you’s’.

In a world post squeeze, these financial platforms will no longer be trusted by the general public.

A house of cards, r/superstonks (Reddit post)

A Redditor just posted an insane amount of DD on Reddit. This long form post discuses the transition from paper filled orders to the use of computers going all the way back to the mid to late 80s.

The post reveals the beginning of issuing naked shares. We’re also learning that a lot of transaction are being held by the actual institutions that are shorting these stocks.

Robinhood routes more than half of it’s customers to Citadel. This information has now been disclosed via the Washington Post.

You can read the full Reddit post here.

Trey’s Trades does a quick breakdown on this DD as well. The video is embedded for your viewing pleasure.

With all this in mind, manipulation in the stock market has been able to keep AMC’s share price consolidating in the $40-$50 range thus far.

You can read more on how hedge funds manipulate the stock market to better understand why we haven’t seen an AMC short squeeze yet. Because this DD is so relevant, it will also be included in that post for new readers to see.

Final verdict

Regardless of the manipulation going on surrounding AMC’s squeeze, I strongly believe retail investors should stay the course if they are to see life changing results in the market. The price has moved up significantly! Once AMC’s stock price hits $80 we’ll begin to see $100 easily and beyond.

When a community rises and people stick together, real change is inevitable. With so much information coming to light, it’s only a matter of time that the tables are turned and justice is served.

Additionally, retail investors are winning right now. Shorts and hedge funds are losing money every day. More malpractice is being discovered and publicly shared. A lot of the analysis circulating AMC is pointing to a nasty nasty squeeze. Continue to stay positive and share positive and enlightening news.

AMC news and squeeze facts

  • AMC was on FOX Business ‘high squeeze potential list’
  • Movie theaters are now open everywhere
  • Godzilla vs. Kong secured $9.6 million in tickets on its opening night. New titles are breaking records
  • AMC Entertainment has raised over 2.2 billion dollars in cash as of early this year and continue to earn revenue
AMC Ticket Short Squeeze

Bankruptcy is officially off the table according to Adam Aron, and new titles are making their way to AMC movie theaters. I’m personally bullish on the stock and see lots of organic growth potential.

Growth is what’s going to inevitably squeeze shorts out of their position.


Join the Discord

Thousands of new retail investors have joined my Discord group in order to stay updated on this movement. I created this safe community for your voice to be heard and for your rights to be protected. Retail investors are learning something new here every day.

Here’s a personal invitation to the club.

franknez.com discord AMC

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