Welcome back to the channel everyone today, i want to explain why an amc share recall is happening right now, so stay tuned and let's make some money now don't get confused between a share, recall and a share recount a share recount is where adam aaron or an Independent third party counts. The legally issued shares in issue doesn't count. The synthetics just counts. The legally issued amc shares.

Obviously, a share recount is pointless because it doesn't prove anything just somebody goes and counts the legal shares and ignores all of the synthetics. But a share recall is where funds like blackrock and vanguard or any other hedge fund or any other trading platform, that's lent out. Amc shares, recalls them from the shorts, forcing the shorts to cover their positions. They may say tom, blackrock and vanguard have been lending out.

Their amc shares for ages. Why now would they all of a sudden recall them actually there's a very, very simple explanation. So that's what i want to talk to you about today and now i want to dive straight in with the key information. So there's an article here which says central banks are to embark on the largest quantitative tightening in history, said: morgan stanley, the world's top central banks, are about to embark on the largest quantitative tightening in history.

Analysts at morgan stanley said on friday, estimating that 2.2 trillion dollars worth of support and loans or shares lent out would disappear over the next 12 months. A surge in global inflation is forcing the u.s fed ecb bank of japan and bank of england to reel in the support measures used during the pandemic. Now that means that money is going to be less easily available to those big banks, which means they're going to potentially have to recall loans, they've issued out or shares they've lent out. Now it's also more beneficial for these banks as well, because there's been rumors of a rate hike as early as today, if obviously, the fed base rate is lifted today.

That means that these banks can re-issue loans in the future at a higher interest rate and therefore it would obviously be more beneficial for blackrock to recall their amc shares that they've currently lent out at 0.1 interest and reload them out at some point in the future. At 1, 2 or 5 interest, so not only these large banks and large funds gon na cease to have these benefits issued as a result of the pandemic and therefore they're going to be more tight on lending out shares and loans in the future. But they could also potentially recall loans and shares to issue them again, some point in the future, but at a higher rate, the fed is now expected to hike u.s interest rates five times this year. Again, some have even rumored six times this year and some have even rumored that these hikes could happen as soon as today that obviously the fastest interest rate hike since to 2005-2007.

This week has also seen the bank of england raise its rates for the second time. In three months, while the ecb has fanned bets that it will deliver its first hike in a decade now, nazeem says big. Banks are going to start recalling back their shares and loans, they lent ahead of rate hikes and quantitative tightening. He said the security lending market on all low and mid cap stocks has gone to an all-time high signaling, a sign for a massive squeeze incoming and biggham says when we moved to a small cap, etf, blackrock and vanguard bought up a ton of amc, shares, blackrock And vanguard then loaned out those shares, and now, with the rate hikes, they recalled some of those shares now blackrock and vanguard, recalling some of those shares caused utilization to jump to a hundred percent.

This was their lifeline and it looks like the well has just run dry. Obviously, these short hedge funds were banking on shares from blackrock and vanguard to be able to get shares on loan and continue shorting amc, but now blackrock and vanguard have either at least stopped lending out these shares, or have potentially even recalled some of these shares forcing Utilization up to a hundred percent and guys, if you're, getting a little bit worried, holding your amc infidelity due to the recent glitches and the fact that fidelity actually supports short sellers memory currently buying you a free share of amc on top of their usual five free Shares just for signing up using the link in the description below and making your first deposit when you sign up to moomoo and make your first deposit, you get two free shares, valued up to three thousand five hundred dollars each. If you can deposit a hundred dollars, you also get a free share of amc bought entirely for you and guys. If you can deposit the full two thousand dollars, then you get an extra three free shares valid up to three thousand five hundred dollars.

Each mumu is also a brilliant commission free trading platform that doesn't make its money from payment for order flow, mumu and futu make their money from margin interest and from payment fees, and therefore you don't have to worry about your shares, going through sketchy, dark pools or Being given to citadel mimo also has excellent technical indicators and advanced charting tools. Moomoo also publishes daily short selling volume on top of a number of other key pieces of data, so guys be sure to sign up to moomoo to get up to 17 dollars in free stocks and a free share of amc. Using the link in the description below now, you might have noticed it isn't just amc's utilization that went to a hundred percent. Gamestop also has a hundred percent utilization, so does prog mara, bkkt and mm-80 as well, so that is tons of current and previous meme stocks.

That now, all of a sudden all have a hundred percent short utilization or 100 shares on loan utilization. Now that means that all shares that are currently available in the market that aren't held by insiders or aren't held by retail investors that have share lending turned off are already fully loaned out, as i covered in previous videos. The last time this happened was back in may just before the june run up, but i did also say the thing we need to pay attention to over the next few days and the next few weeks is the number of days that amc holds this 100 utilization. Obviously, amc was 100 utilized in april for one singular day before it fell pretty much instantly back down to around 80 percent, but back in may amc held this 100 utilization for around a week or two.

It did not falter and therefore the shorts scrambled, because they couldn't borrow any more shares to shore when those shorts scrambled they lost, control and amc had its june run. Up now you may say: okay, tom amc was 100 utilized back on tuesday, that's one day or texas. Just tweeted saying amc utilization remains a hundred percent for now a third day in a row, and on top of that yesterday, amc squeeze was trending and an ortex short squeeze signal was triggered thereafter or textures printed, a type 2 and a type 3 short squeeze signal. Now, obviously, i guess all texas self-reported data and therefore these short squeeze signals - don't really mean too much, but i do think it's now all of a sudden falling into plan we've seen short interest at a new all-time high.

We've also seen utilization finally re-hit 100, which it hasn't done since may, and it's also supported by these type 2 and type 3 squeeze signals, and this guy on reddit says the hedges are currently all in all of a sudden. Every meme stock has a 100 utilization. Every single meme stock did the exact same thing. The reverse.

Repo has hovered at around 1.6 trillion dollars every single day for the last three months. It even hit highs of around 1.9 trillion dollars back in december and early january. He said first, it was in the billions and now it's reached almost two trillion dollars. It's at 1.6 trillion for three months now, and all that tells him is that everything is dialed in and every parameter is setting up for the amc squeeze.

He says my guess is that they spent the last few months of the year colluding with the fed to potentially create a perpetual cycle of money to prop up the economy, while also shorting the meme stocks, in order to buy themselves more time. They've also been trying to buy themselves more time, so the sec can set new rulings on the securities financing transactions. This means these short hedge funds can give their long positions to the fed or other large hedge funds or market makers in return for cash to pay. For the amc squeeze, obviously this way the entire wider market won't crash.

At the same time that amc and gamestop and other meme stocks will squeeze, and he says it seems to me. The only reason they need to buy more time is because there might be a very defined or carved out path or managed plan for the amt squeeze. I think the fact that blackrock and vanguard have recalled their shares has caused this utilization to jump up to a hundred percent, and now that blackrock and vanguard have recalled their shares, or at least stopped loaning them out. That means that these hedge funds are going to be forced to cover at least some of their shares to return the recalled ones.

And now these short hedge funds have had to cover some of their shorts and the fact they can't short more a because the utilization's at 100, and also because these large banks and large funds like blackrock and vanguard, have tightened their lending policies. It means the hedis are basically backed into a corner. Considering these hedges can't short more amc, it means they can't any longer push the price of amc down. This means that obviously, as amc starts to rise over the next few weeks, these hedges are going to be edging ever more closer to being liquidated and forced to cover their shorts, and this is why i think, the longer that amc utilization remains 100, the more chance We see of amc running up again and potentially causing the short squeeze and just to push us even closer edward tweeted, saying melvin capital is potentially going to have a massive margin.

Call melvin holds 3.2 million shares of a firm. If you didn't know, yesterday a firm actually tweeted out their quarter, four results a little bit early. The affirmative stock did actually spike to 83.57 per share, but then crashed all the way to below 60 dollars. A share a 357 to 58.99 is around a 29 drop in a matter of minutes again.

Melvin capital have just been having a terrible time. Recently, with more and more and more bad news pretty much every single day, i think melvin capital are going to be edging ever closer to that faithful margin call and i don't think citadel are going to be coming to their rescue this time round. Obviously, melvin are currently being investigated by the department of justice and therefore citadel really need to keep their hands clean now and can't afford to lend melvin any more money. And i think when melvin do end up getting margin called and forced to cover their amc.

In gamestop shorts, that's when the squeeze will really happen, guys be sure to. Let me know down in the comments below what you think about the current amc share, recall and as always guys, if you enjoyed this video, be sure to check out some of my others. Alternatively, subscribe to the channel and do my notification bell, because that way you'll be alerted when i upload a new video cheers:.