Welcome back to the channel everyone today, i want to talk about how employees are currently snitching on hedge fund managers like bill huang of our chaos, capital management right now, and i also want to talk about another stable coin that has just d pegged and has been Crashing over the last 24 hours so stay tuned and let's make some money and now i'm gon na dive straight in with the key information. So the men that just flipped on bill huang were trusted. Hedge fund lieutenants, william tamita, recently pledged guilty in the archagos trading. Damacle and formally turned on his longtime boss bill huang scott becker had also arrived to plead guilty and officially flip on bill huang, the enigmatic investor accused of masterminding a vast criminal scheme to mislead banks and manipulate markets.

It says tamita and becca were virtually unknown in financial circles, but now they'll play a key role in the prosecutor's case against huang and patrick halligan. Tamita and becker have recently cut deals on saturday in the hopes of avoiding prison, or at least shortening their terms. Huang and haligan have still pleaded not guilty to a range of charges, including racketeering, crazy enough. It says back in 2013 bill huang pled guilty to wire fraud relating to illegal trading in chinese stocks and shut down, while tamita wasn't back then named by u.s authorities.

The hong kong regulators did actually charge him with helping huang commit insider trading, but he was cleared in 2013.. Despite that, close call that year tomita stayed with his boss as he helped open his family office archagos capital management over in the us and right now, in 2022, tamitra has actually pled guilty to five counts, including conspiracy, fraud and market manipulation. Each crime carries a maximum of 20 years in federal prison. I think this is a great move in the right direction.

Even though bill huang is still pleading not guilty. His top two lieutenants have flipped on him and have started to snitch. I don't think it will be long until these top lieutenants end up flipping on other hedge fund managers in the industry or until bill. Huang himself starts talking about how other hedge fund managers are committing the same crimes.

Obviously, if demeter and becker can reduce their sentences by snitching on other top hedge fund managers, they most probably will, as it will give them the opportunity to see their family again in the future. And it also wouldn't surprise me if bill huang even follows the same. Rope when these court proceedings get underway and his outlook starts looking more and more negative, i think, as these court proceedings continue on and it's looking more and more likely that he will end up in jail. It wouldn't surprise me if bill huang starts snitching as well.

I imagine bill. Huang will start talking about other large hedge fund managers that have either helped teach him about his crimes that he's been committing or are also committing the exact same crimes. I think these arrests will only continue amplifying into the future, as the market continues. Its crash and more and more money is wiped out from the stock market, speaking of which goldman's lloyd, blankfin says.

The us currently has a very, very high risk of recession. He said this risk of recession is not baked into the current s. P 500 pricing and the policy makers have a very narrow path. He said if i were running a big company, i'd be very prepared for it, and also, if i was a large consumer, i'd also be prepared for it as well.

His comments were broadcast on the same day as the firm's economists cut their u.s growth forecasts for this year and next year to reflect the recent shakeout in financial markets. Looking at the s p 500, i did expect another day of the market continuing to move upwards, but it looks like the market crash has already resumed and could be setting new lows over the next week or two. I think this is only going to be aided by yet another stable coin de-pegging and starting to crash. I did say that tether would be the next stable coin to crash over the next week or two, but it looks like dei is being the first already crashing here on monday morning, guys be sure to sign up to moomoo's in the link in the description below To get up to seventeen thousand five hundred dollars in free stocks, moomoo and future also officially do not accept payment for order flow, which is brilliant for buying those amc.

Shares. Moomoos also recently voted the best trading platform, because it's incredibly easy to use and very customizable dei lost its peg on sunday afternoon and through monday, has continued to crash at some point hitting lows of nearly 50 cents per coin. Importantly dei currently has a market cap of around 5.2 billion dollars before the dpeg. The market cap was around 8 billion.

Now importantly, that is around half the size of the ust market cap before the implosion of around 15 billion dollars. So it's around half the size of ust, but again this could be very quickly another five billion dollars. That's just wiped off the face of the crypto market in only a few days again, if these stable coins continue to depeg and to crash it wouldn't surprise me if tether ends up crashing before the end of the week, and importantly, the cabessie letter has also compared The nasdaq market crash in 2022 to 2020 2008 and the year 2000., he said so far we're only 119 days into the sell-off and the nasdaq is down 29 from its peak 119 trading days into the 2008 and 2000 sell-offs. The index was only down 17 and 19 respectively.

Importantly, we can see from this child that, even though, in the year 2000 the nasdaq did fall nearly 80, it fell nearly 80 in 648 days again in 2008, the nasdaq fell by nearly 60 percent. But again it fell nearly 60 percent in over around 350 days so far into 2022. The nasdaq has already fallen 13 in only 119 days and looks to fall much further over the next 119 days or more. It wouldn't surprise me if we end up falling down 60 or even 70 over the next three months and even tweeted saying how is the fed still calling for a soft landing, even though the nasdaq is already down so much more than it has been previously.

As i noted a few videos ago, we can also see in the year 2000 and in 2008 the crash did start, but we did have some minor pullbacks during the overall crash. Obviously, in 2008 the nasdaq fell over 20 percent, but then recovered to only being down by 10 before falling down 40 and even more. The same can be seen in the year 2000. The nasdaq nearly fell 40 before recovering to only being down around 15 before falling to being down 70 and then nearly down 80 percent and therefore, while we may see a small recovery in the nasdaq and the s p 500 over maybe the next month.

It wouldn't surprise me if, in the next three to six months, the nasdaq has fallen much more severely. Crystal ball has also tweeted saying the motley fool: just sold 128 million dollars worth of pooled investments filed march 29th, and he said the motley fool are currently selling a lot of stocks and he wonders if this is a liquidation or a margin, call for their short Positions, while i'm not really sure if they're motley fool, are shorting amc directly or are holding tons of amc synthetic shares, they are absolutely selling off their long positions, clearly preparing for a market crash. Obviously, this filing was on march 29th and therefore this is their activity for quarter one of 2022 through quarter, one so january february and march, the motley falls sold off 128 million dollars worth of investments so clearly back in quarter, one the mott e4 were absolutely preparing For this current market crash and the market is absolutely still crashing, i think, if we're even seeing the mainstream media selling off their stocks, i think a market crash is absolutely happening right now and is expected to continue just around the corner as well, and i also Want to talk about the importance of amc, call options during the squeeze and how citadel are likely not taking our call option money each and every week, because they have better things to do where they can make more money. Now, i'm not saying to yolo into massively out of the money call options on the friday morning that expire on the exact same day.

I do think it's important to wait for amc to start making a move upwards and then compound that move upwards with call option purchases. I don't think it's a good idea to try and catch a falling knife as it were. While amc is falling down, we should not be purchasing the 50 60 and 70 strikes. We should be waiting for amc to start making a move upwards and then be purchasing in the money or at the money, call options to compound that gamma squeeze upwards.

Mickey tweet is saying they don't want your premium money. If citadel needed quick liquidity, they can just pump a random crypto coin or even destroy a massive crypto coin, like luna wiping out 40 billion dollars worth of market cap in only a few days. Obviously, it's rumored that citadel made upwards of over a billion dollars. Just on their bitcoin short position, let alone on their ust and lunar short positions as well.

If you think about it, when amc has a week of large call option purchases, the options chain holds around a hundred thousand options. Let's say that each of those options averages around a hundred to two hundred dollars each that's only around 10 to 20 million dollars generated per week if the entire options chain expired out of the money. Now. Obviously, it's never happened that the entire options chain has expired out of the money, because amc has never closed under a dollar over the last few years and therefore said they'll, probably only make say five to ten million dollars from the amc options chain.

If they've sold every single call option, on the other hand, citadel can make well over a billion dollars in the exact same time, if not even faster, by destroying a random crypto coin. Like luna, i think it's important to remember that short sellers are the ones actively avoiding gamma and the options chain, each and every week by downloading the data on a daily basis. This is directly from a short report that says, remarkably, things got even worse. In the first quarter, the aggressive buying of short-dated options produced the gamma squeeze.

The idea was that short-dated options could force market makers to buy huge quantities of stock if the stock were to rise says. The most important variable for many stocks became open interest in weekly options. They said the most notable gamma squeezes were in gamestop and amc, and these gamma squeezes were caused by short dated options and therefore it's these hedges that are still petrified of short-dated options. It's not the other way around where hedges are making money from us every single day, because they've got better things to be doing.

I've also shown you this chart before of amc running up back in january as a result of the massive purchasing of cool options. Amc also run up in may and june again, due to the massive purchasing call options between february and may. All we did was buy and hold, and between july and now all we've still done is buy and hold and amc hasn't yet run up again, although saying that, back in march, when amc did run up to 34 per share, we again were purchasing those cool options. Just didn't purchase them in large enough quantities to cause another gamma squeeze tormund trades, also tweeted a thread on why options and gamma ramping are important for squeezes, and he said when a large number of traders buy short dated at the money or slightly out of the Money call options on a stock that forces market makers to delta hedge delta.

Hedging combines the purchase or sale of an option, as well as the underlying asset itself. They typically delve to hedge in order to reduce the risk of getting blown out in the event of the underlying asset skyrocketing or plummeting. But i think it's also important to remember that market makers don't necessarily hedge. When we buy the options they can potentially end up.

Dropping the ball or fumbling the bag and be forced to catch up at a later day. For example, if amc started to move up today, we'd start buying our options today on the monday. But it's important to remember that these market makers may not hedge and buy the underlying assets today on the monday as well. If amc continued, its run up, we'd also continue purchasing these options on tuesday, wednesday and thursday, but importantly, market makers may not actually perform this hedge and may not buy the underlying stock on the same day on tuesday, wednesday and thursday.

Obviously, if amc is still moving upwards on a friday again, we continue to purchase more amc options and the market makers would be in a terribly sticky situation as they haven't hedged for any shares or any options so far that week and they'd have to hedge. For all of the options, all at the same time on the friday morning, now that obviously caused the price of amc to rock it up in a very short space of time. If these market makers had to buy hundreds of millions of shares worth of amc - and he said the more widespread, the buying of these short dated call options, the more the market makers have to delta hedge and buy more amc shares. This can even be seen directly in amc.

The widespread buying of call options happened right before the june run up, and that in itself is evidence that call options do not hurt us. We can see here right at the end of may. There was a massive increase in the purchasing of call options which obviously caused the june run up. I do think it's important to not be swayed and convinced that call options are bad, the amc squeeze because they are good for the squeeze and typically what causes amc to run up so fast.

Unless these retail investors, like you and i, have enough cash left over to purchase hundreds of millions of amc shares, which i for one don't because i've already spent my money buying, more amc shares than amc will not run up that quickly. The only way that we can ensure that hundreds of millions of amc shares are purchased all at the same time is to buy call options when the price of amc is moving up, amplifying that move upwards guys be sure to leave a comment down below and ding That notification bell, because that way, you'll be alerted when i upload a new video cheers.