Welcome back to the channel everyone today, i wanted to talk to you about whether the hedge funds can escape whether they can somehow cover all of their shares in the dark pool or on citadel connect, without impacting the lit exchange price and effectively get away and cover Their millions and millions and millions potentially even billions of shorts when you include the synthetic shorts without any repercussions whatsoever. Trust me guys. You do not want to miss this video, so stay tuned and let's make some money, but guys before i dive into the video. I just want to give a massive shout out to the 1700 of you that have currently dinged that notification bell, because you guys are always the first to watch a new video as soon as it's released so guys be sure to drop a like down below subscribe To the channel and ding that notification bell, so that you don't miss another video just like this one, and now i want to dive straight in with the key information.

So the final lesson can hedges cover in the dark pool. Who will pay for the squeeze? When do i sell, how can i make the mother of all short squeezes happen faster? Why is there so much fun so to start with pan the hedges cover in the dark pool? I see this question a lot and i believe part of it comes from a misunderstanding of what the dark pool is and how it functions. Dark pools are temporarily segregated venues where the buyers and sellers are concealed, meaning that the trading occurs off exchange, but still eventually hits the ticker that you and i see, and trade on all dark pool trades will reflect in the price. Former citadel trader turned ape david lauer made this clear in his recent ama for reddit superstar.

So, even if a large block purchase was made by shorts of sales within a dark pool, it will hit the ticker after the fact how long that's up for debate. Considering the discourse that has surrounded all the delays and the various mechanisms, hedge funds use to suppress or otherwise control the impact of price temporarily. Basically, what that means is obviously if some shares fail to deliver, then they technically aren't reported and obviously won't impact on the price, because there was a fail to deliver at that time. But when the failed delivery is resolved and the delivery is made successfully, then it'll impact on the ticker price.

Also, there's some speculation as to whether dark pool trades are actually made on a t plus 31 or a t plus 35 basis, as in the transaction that occurred in the dark pool, won't actually hit the exchange until 31 or 35 days. After the fact, we also know about citadel connect where technically they don't even have to report the trades to finra, but supposedly dave lauer made it clear that even those trades will impact the lit exchange price at some point now. That being said, what be required for citadel and company to cover within a dark pool? Well, one of two things: a a massive block of sales from institutions or b, a massive block of sales from retail. Now that's how they could cover in a dark pool.

Technically, retail traders can't trade directly in a dark pool, but with payment for order flow brokers like robin hood or weeble or charles schwab or td ameritrade, are obviously going to be selling their order flow to citadel. That will just pass those transactions through the dark pool. So, therefore, even though you and i aren't trading directly in a dark pool, if you are using a platform like robin hood, it could potentially end up making its way through into the dark pool as part of a block of trades. In both cases, the closing of these positions would ultimately reflect on the ticker after the fact at some point.

So let's talk about that, we can see what institutions are doing via their 13f filings. Yes, there is a delay on these, but today no major institution has dumped even 100 million shares that will be required to close the registered shaw interest. In fact, some major institutions are still regularly increasing their position like state street corp, which recently increased their amc position by 6.5 million shares. If you want to see the institutional ownership of amc for yourself just go to whalewisdom.com and search for amc, then filter for the date reported to see the most recent transactions and then you can see which institutions are adding to or subtracting from their position.

This is also why retail ownership is so fundamentally important in a play like this. We've got 4.1 million investors in amc, as per the last announcement from adam aaron, although it's probably more likely more than that by now at least 5 million plus, if just 50, 000 of those 4.1 million or 5 million holders own 10 000 shares they own. The entire float of 500 million shares if 100 000 amc holders out there out of the 4.1 or 5 million each own 5 000 shares. They would also own the entire float themselves.

If 200 000 amc holders out there out of the 4.1 million or 5 million holders, own 2 500 shares each, they would also own the entire float themselves. If 100 000 people out there own 5 000 shares each 500 000 people out there owned 1 000 shares each and a million people out there own 500 shares each. Then we own the amc float three times over, as in we own 1.5 billion out of a 500 million potential share count, even if the remaining 2.5 million shareholders just had one share each personally, i don't think it's too far-fetched to assume that a hundred thousand people Out there own at least 1 000 shares in amc. I've seen mega silverbacks owning at least 10 000 shares plus posting on this reddit form.

So therefore, don't ever question the retail ownership of the amc flow. We own the float, even disregarding the institutional ownership and overwhelmingly we're, also seeing those clear indications that retail simply is not selling, whether that be by fidelity, constantly reporting double the number of buy orders than sell orders or inflow being greater than outflow on any given day. Retail is not selling their shares and, as we've also seen in the past, with modric and dilutions retail readily buys up any shares dumped into the market. Basically, they theoretically could cover in the dark pool, but they haven't done that.

Yet if they did, we would eventually see that impact on the stock price in the exchanges. I also get a lot of questions as to whether hedges can cover their synthetic shorts with synthetic made-up shares. Yes - and they will be the chances that you that are reading this right now or listening to this right now own, a real live, authentic, backed amc share is little to none. You own synthetic shares.

I own synthetic shares. We all loan synthetic shares, synthetic shares act as real shares in the market. There's no way for anyone to know whether they have a synthetic share or one of them og authorized chairs, hence felt the delivers felt. The delivers can be thought as the best digital remnants of a share, sold or brought, which did not have a true point of origin or a true owner.

A fail to deliver cannot exist until the share has already been transacted meaning it's been released into the wild and has a new owner. We, as retail traders, cannot create or control synthetic shares. Thus, it's not our responsibility to know whether or not our shares are real. As far as we're all concerned, all of the shares we have are real.

Now this goes back to flow ownership, and it's more important once the mother of all short squeezes begins. We as the only true and authentic owners of these shares, must be the source for a short to purchase their position and close closing, because, obviously, we can't create or control synthetic shares. Therefore, our shares default as the real shares and those hedges have to buy our shares as we're all very confident. The float is over short, as in a short excess of 100.

That means purchases to cover will not re-enter the flow but rather be eliminated from existence and not return to the float to create liquidity, as in once, the hedgy purchases are share because it's in synthetic share it just gets cancelled and then, if they need to cover More shares they just have to buy more synthetic shares and cancel them rather than selling the synthetic shares back into the market, and that also means that if any paper hands do actually sell their shares, their impact will be minimal. Sales will not even start to tamper. The buys until whatever excess has been eliminated, because even if the paper hands do sell their shares, they're selling synthetic shares which just get cancelled. This is why the potential for losses for shorts in this play is infinite, whereas ours are simply a finite loss.

We can only lose the money we put in, they can lose everything and more if amc squeezes to xxx price who pays for it. Is there enough money? I constantly see posts about the dtcc and it's so called insurance. However, i believe there's a slight misunderstanding as to what it is and how it works: there's no 50 trillion dollar or 60 trillion dollar or 30 trillion dollar insurance per se. What there is, however, is an obligation for the defaults to be covered.

Let's go to the dtcc themselves and take a look if, after forcibly closing out and liquidating a default member's position, the nscc was to suffer a loss. Such loss would first be satisfied by the amount on deposit the clearing fund and eligible clearing fund securities pledged by the defaulting member. If a loss remains after applying the corporate contribution, the nscc will allocate the remaining loss among members that were members on the first day of the applicable event period. Basically, if a hedge fund defaults and cannot actually afford to buy the shares back, basically the nscc splits that loss between every single bank and hedge fund across the entire country.

In this way it sort of acts like insurance, you'll pay into protection for your car. But if someone else has an accident, some of the money you pay into your policy will likely be going to help them and vice versa. If you were ever in an accident, the dtcc provides a tremendous amount of services for market makers and major institutions, and members in turn, have some obligations to the dtcc. This is one of them that 50 or 60 or 30 trillion figure that people throw around is technically just the total assets managed by the clearing corporation, as in the total value of all assets of all members of the dtcc.

Ultimately, who pays is not your responsibility, nor is it something you should really be worried about. So how can i help make the mother of all short squeezes come faster? It's very much a waiting game and i know it can be frustrating, but we cannot cause trigger or predict or otherwise anticipate when the mother of all short squeezes will occur. There is actually a few things you can do as an individual investor to strengthen the mother of all short squeezes thesis, such as switching from brokers that sell their order flow as in robin hood, weeble, charles schwab, e-trade td, ameritrade ally, first trade and tradestation not participating In any non-motherable short squeeze events like the festival that shall not be named, do your due diligence, have confidence and secure argument for amc's squeeze thesis and spread kindness and knowledge be the best example of an amc holder, encourage your favorite youtube personalities to not promote payment For order flow brokers like weeble, which is why i remove the weeble link from the end of my videos. Support amc go to a movie if you can and contribute to amc's record-breaking post-pandemic attendance numbers buy shares, not options and finally, directly route.

Your buy orders to the new york stock exchange if you have fidelity in terms of how do we know when to sell and how we know when the squeeze is over. I don't really want to read too in depth into that, but effectively it's your choice to sell whenever you feel comfortable. You'll know when the short squeeze is over when all the shorts have covered their shares. What do we do once the squeeze is done, so many people are talking about an economic collapse.

How do we protect our money? I'm not a financial advisor, so i can't tell you what to do, but i will share with you some options. I'm currently exploring for myself. These include reinvesting of assets into securities that have been known, hedges against market deteriorations, reinvesting assets into precious, stable metals such as gold and silver reinvesting assets into stable currencies such as the swiss franc, reinvesting assets into tax counters such as artwork or consider purchasing property. Rather than renting or releasing it, but there seems to be a lot of fun going around lately.

Do i have to be worried not at all remember that fudge means fear, uncertainty and doubt it's information, discourse or attacks intended to make. You feel one of those emotions with respect to your position in amc. I have noticed an uptick in extreme insider fighting, antagonism, drama and overall bad vibes. So if you're feeling the same way, you're not alone, so in turn, spread positivity be a force for good amc holders, have nothing but love for each other and every other rape out there spread your due diligence, lend out your confidence, don't hate, educate and if someone's Still hell-bent on trying to make you feel bad about your individual investment decision or your future with amc, laugh it off shake their hand and move on with your day and, finally, some advice to you don't be afraid and trust the process, as always guys, if you Haven't yet i'd really consider checking out the patreon and the private discord linked in the description below where we talk about amc and other stocks, sharing news due diligence and more and as always guys, if you enjoyed this video, be sure to check out some of my Others, alternatively, subscribe to the channel and ding that notification bell, because that way, you'll be alerted.

When i upload a new video cheers.