Today I Want to talk about how another short hedge fund has just collapsed I Want to explain how we know Jim Chos was shorting AMC but also explain what might happen to a short position now that he's gone. So stay tuned and let's make some money and now arrive straight in with the key information. So Windsmart tweeted saying breaking news Tesla Short Seller: Jim Chos is shutting down his hedge fund after years of losses. But it wasn't just Tesla he was shorting, he was shorting many other stocks like AMC.

For certain, Jim's hedge funders fell from its peak of $6 billion down to just a measly 200 million, losing over 90% of his fund. He tried to take on stocks like Tesla AMC and others, but clearly he's failed. and as I said, we know, Jim Channels has been shorting AMC not just for a little while, but actually for years. This article says here's how legendary short seller Jim Chanos is taking advantage of the Arbitrage opportunity between AMC and Ape in August of 2022.

he decided to short AMC and long Ape AKA buy shares of Ape and short AMC On the flip side, but actually we know Jim Chos has been shorting AMC for actually a lot longer actually since 2021, maybe even beforehand. So back in 2021 Jim Chanos tweeted this photo apparently a photo from his son about an hour ago of an empty the AMC theater. It was later debunk. This photo was taken around 7:00 a.m.

before AMC had even opened to the public and I think it was also debunked. This wasn't even an AMC theater due to the chair size shape and color. So we know Jim Chanos has been shorting AMC at least since 2021, if not a while longer and we're shorting through 2021 and through 2022 as well. Now you may say, hang on.

Tom How is Jim Channel shutting his hedge fund? If he's been shorting AMC for years, he should be sitting on like a 99% gain, right? Unless, of course, he could never close out of that short position and suffered billions of dollars in borrowing fees. As Travis tweeted he said I thought Jim Chos made a killing shorting AMC last year from $72 down to just a few dollar per share. So why is he closing his hedge fund? Unless of course, these shorts could never actually close out of their short position without causing a squeeze and have suffered billions of dollars in borrowing fees wiping out any profits they made. especially as Tesla is also down like 40% from its highs.

Surely, Jim Channel should be sitting on tons of unrealized profits and shouldn't have lost like 90 plus% of his fund. Clearly, Jim Chos has had a major issue with shorting some stocks like AMC and Tesla Jim Chos also famously previously explained how AMC could never become profitable about 2 years ago, which obviously in its hilarity AMC is now actually profitable and Jim Chos is now the one that's bankrupt. And it's time for my favorite part of when a hedge fund goes down and that's Biotech Moose. Adding to his wall of Moose Heads, you can see all of these hedge funds are now hedge funds that have famously gone bankrupt as a result of shorting meme stocks like AMC and GameStop And the funniest part is that so many hedge funds have gone bankrupt at Biotech, Moose is running out of space on the wall for more Moose Heads.

Biotech Moose has actually had to shrink the size of the moose heads in preparation for more hedge fund bankruptcies? I Wonder how many more hedge funds are going to have to go bankrupt until Biotech Moose runs out of space on the wall and has to introduce a second wall? I Also wanted to recap this morning's trade from the Millionaire Mindset Trading Group which was another fast moving play on Cdio. It ran up in the pre-market to $1.36 per share. It broke that high in the pre-market for pretty much an instantaneous 10% gain, but also continued higher as the market opened up 25% so far. I Wanted to give a shout out to Icon who locked in an 18% gain using his stoploss which is also something I teach in the Millionaire Mindset Trading Group So if you haven't already, be sure to join nearly a hundred of us using the link in the description below Elon Musk has also tweet twed in response to Jim Chanos shutting his hedge fund saying I did warn the shorts that this would happen Elon spoke on short Sellers and short selling multiple times over the last couple of years voicing his disagreement and it seems even in this instance, as usual, Elon Musk has prevailed and another short seller has gone bankrupt from shorting Tesla and AMC and Brandon has tweeted saying the Chos liquidation just shows how overleveraged short hedge funds are in in all actuality, saying time is on our side and liquidity is being drained every minute.

Whether the stock market is open or not, these hedge funds are massively overleveraged, paying borrowing fees, and desperately trying to locate any shares they possibly can to close out of some of those Ftds, and desperately trying to get their hands on real shares every single day from paper hands trying to close out of some of their short position. But because of how overleveraged they are when they failed to meet margin requirements, they will end up being liquidated just like Jim Chos. Now to be specific: Jim Chos hasn't fully closed down his hedge fund entirely. he's converting into a family office.

This will remain to manage the remainder of his remaining wealth and his family wealth. So I'm not sure if this short Position will remain in the new family office entity, or if Jim Chos will try and transfer their short position elsewhere maybe to Citadel or or another hedge fund or another Market maker if he's forced to close out of the short position Depending on the size of his short position, I Think we'd expect some kind of impact in the AMC stock. Obviously, we don't know how many real shares or how many synthetic shares Jim Chos is actually shorting. Does he hold a multi-billion dollar short position? or is the short position just a few million or a few hundred th000 if it's a tiny short position I Imagine he'll just close it and I imagine it won't have an impact on the AMC price.

but obviously if he's holding billions of synthetics, either the position will be closed causing the squeeze or transferred elsewhere. It's difficult to tell because we can't tell from his portfolio how many shortage shares he had, how many married and divorced puts he had, or how many synthetics he was holding. And finally, a voder is tweeted about Nick Offerman telling Jimmy Kimmel about Ken Griffin's reaction to the Dumb Money movie. He was saying that Ken Griffin made a stink about the movie and everything that was said even though most of what they did was just reciting what Ken Griffin said in core they were saying on the Jimmy Kimmel Live show that Ken Griffin is mad for saying what he said in public I Think the reason why Ken Griffin is mad is because more attention is being drawn to AMC and GameStop likely bringing in new investors against him.

But guys, be sure to let me know what you think down in the comments below. And as always guys, be sure to ding that notification Bell because that way you'll be alerted when I upload a new video. Cheers!.