Welcome back to the channel everyone today, i want to talk about how the hedges are secretly accumulating amc and how this is going to lead to an amc, price spike, so stay tuned and let's make some money. And now i want to dive straight in with the key information. So first i'm going to explain what this chart actually shows and then explain what unbalanced volume actually is so right here. Obviously we have the price chart of amc.

Amc has fallen from around 72 77. All the way to around thirty dollars over the previous five or six months, but in that time, while the unbalanced volume was falling until sometime in october, it has now been on the rise ever since over the previous two months. So i guess i should probably explain what unbalanced volume actually is and how it ties into amc and how it's going to cause amc to spike from investopedia on balance volume is a technical trading momentum indicator that uses volume flow to predict changes in stock price granville. The developer of the unbalanced volume metric described the predictions generated by obv as a spring being wound tightly.

Now you may know from my videos on the amc spring theory. This very much coincides with that spring theory and explains that the price of amc, while it has been trading up and down in this range, is effectively a spring. That's being wound tighter and tighter and tighter, obviously, with that spring being wound as tight as it can go. When we have a catalyst, the spring will explode.

Obviously, the buying volume is going to stay there and increase so it'll, be the selling pressure that dissipates and the spring will cause the price of amc to shoot upwards. He believed that when volume increases sharply without a significant change in the stock's price, the price will eventually jump upwards or fall downwards. So on balance, volume is a technical indicator of momentum. Using volume changes to make price predictions obv shows crowd sentiment.

That can predict a bullish or bearish outcome, so this obv line doesn't just show volume increasing, like an average volume indicator, it actually splits it between buy volume and selling volume, as the line is moving upwards, that means buy, volume is increasing, but cell volume is decreasing And obviously the reverse is shown so when this line moves downwards, it means there's more selling pressure and when the line moves upwards, it means there's more buying pressure. It says, on balance, volume, provides a running total of an assets trading volume and indicates whether this volume is flowing in or out of a given security or currency pair now. This is where it gets really applicable to amc and really applicable to the title of this video. So what does on balance volume tell you.

The theory behind obv is based on the distinction between supposedly smart money, namely institutional investors and less sophisticated retail investors or us. The amc, apes as mutual funds and pension funds and institutions and hedge funds begin to buy into an issue that retail investors are selling volume may increase, even as the price remains relatively level and that's obviously exactly what we're seeing with amc. The volume has been increasing, but the price of amc has been staying relatively level and actually has been falling. Eventually, volume drives the price upwards.

At that point, larger investors begin to sell and smaller investors begin buying and effectively. That will be the amc moas. Eventually, the volume will drive the price upwards and the volume will overwhelm the short sellers. When that happens, amc will spike and cause the moass, and then, at that point, larger investors that have been accumulating amc in secret and us the retail investors, will obviously sell into the squeeze while those short hedge funds are covering their positions and colin also posted another Screenshot that says during a trading range, if the on balance volume is rising, accumulation may be taking place, a warning of an upward breakout and obviously what we can see is amc has been trading within this range between 30 and 50 for a very long time now, But the unbalanced volume has been increasing, showing that those hedge funds and institutions are accumulating ready for the upwards breakout, and we can actually see some of that accumulation by showing the flow from unusual whales.

Here we can see tons and tons of cool options on amc. Are being purchased with fairly high strikes and very large premiums? This is largely the 60 call option strikes and there's over 100k in premiums being traded on pretty much every single bullish trade here. Yes, there is a few options being traded here as well, but largely it is a resounding amount of call options and bullish option purchases now, interestingly, these are the options for february of 2022 and therefore clearly, some institutions see amc returning to 60 or above before february. If you didn't already know right now, you can currently get up to 250 dollars in free bitcoin, just for signing up to blockfy, using my link in the description below and making your first deposit with blockfi.

You cannot only just buy some bitcoin and hold it in a wallet. You can also earn interest on your deposits up to nine percent interest per year, also paid in cryptocurrency. On top of that, you can also get a rewards credit card with an introductory rate of 3.5 cashback on your purchases, also paid in more cryptocurrency and finally, when you've generated a massive profit on your investment. Instead of having to sell off your bitcoin or your shiba inu or your loop ring and potentially missing out on the next run up, you can take out a crypto backed loan with block five.

Therefore, you can get cash for your monthly expenditure without having to sell off your crypto now. I also wanted to show you this screenshot of this pause from a video created by stonks batman. What this pause here is showing is obviously the price of amc being here in the black line and the trading volume here in obviously these green lines. We obviously saw most of the volume in amc back in january and back in may june time, but we have seen the volume starting to increase, but what stunk's batman is showing is there's actually a correlation between shares available and that volume typically shares available runs up.

Just before the volume starts increasing, we can see here back in january the shares available to short started running up at the early to mid january and obviously the price ran up in late january. Again, we saw back in early to mid may the number of shares available to short started running up and again, the price then followed towards the end of may and the start of june, and right now, in the late november early december, we're seeing the shares available To short, increasing significantly and we're now just starting to see the volume increasing as well, i expect, through into january and february, this trading volume will continue increasing up into the hundreds and hundreds of millions of shares, potentially even into the billions of shares being traded on A daily basis, this would obviously be very, very good for amc and very squeeze-esque if we're seeing multiple billions of shares being traded each and every day. Now. I also wanted to talk about this very interesting article posted on routers, talking about how some investors in gamestop have been pulling their shares from trading platforms, obviously by the use of direct, registering their shares and how that direct, registering of shares could cause volatile price swings In gamestop and theoretically, amc so routers have done some analysis saying hands off why some u.s investors are pulling meme stocks from brokerages.

Now it talks about a specific retail investor called castillo and how he pulled his shares from fidelity and transferred them in his name to computer share. It says brokerages have been trying to reassure investors that they only lend shares of customers who are trading on borrowed funds and if they use their own cash with no leverage. The shares are not loaned now. We know that that is the rule, and that is what brokerages are saying, but we also know that brokerages are most likely lending our shares, even if we disabled share lending and even if we're using our own funds with no leverage in a cash account.

And that's why, especially in gamestop many investors have been direct, registering their shares instead of leaving them on trading platforms like weeble, robin hood or fidelity and many others. It says the more shares are transferred out of brokerages into direct registration providers such as computer share means the fewer of them are available to trade. Now it's interesting. They make this difference, because if people are buying those shares and holding them and not selling them well, they're still not available to trade unless of course, they're being lent without the investor's permission.

A securities law professor said removing shares from the market makes them more susceptible to wild price, swings or short squeezes and mother of all short squeezes. Now it's interesting that removing those shares from the market somehow makes those stocks susceptible to wild price swings, but the buying and holding of those shares and therefore making them not available to trade, somehow doesn't make them susceptible to wild price swings and therefore it's obvious. These brokers are lending out our shares without our permission and that's why so many brokers are trying to dissuade us from direct, registering our shares, because they won't be able to lend them out and make more money for themselves evidently just buying and holding means that these Brokers are still able to lend out our shares without our permission and therefore that's why we probably should be taking them out of the market to make the stock more susceptible to wild price. Swings.

That professor said, because, with fewer shares available, the trading is simply going to become more volatile, which is exactly what we want. More volatility returning to amc and gamestop, but interestingly e hall from s3 partners did say the shares used to stock loan from margined retail accounts are minimal compared to the stock loan inventory from prime brokers and long lenders, such as mutual funds and pension funds. Now, obviously, this is something that we do know. Most of the share lending is coming from blackrock and vanguard, but i do think a lot of shares are also being lent from brokers like fidelity and weeble and robin hood, because obviously we own 80 of the float and likely a lot more than 80 of the Flow, obviously, it's likely that we own the float many many times over.

Yes, institutions do still hold hundreds of millions of shares, but it's likely that we hold billions of shares and therefore trading platforms can make way more money lending all of our shares, because there's so many more of them now. I also want to talk about some absolute proof on how the hedges are using etfs containing gamestop and amc to effectively, indirectly short amc and gamestop. So the newly created round hill meme etf was recently added to the new york stock exchange threshold securities list. Just nine days after it launched, therefore, in only nine days, the filter delivers have been over.

The minimum for at least five of those nine days. So below is the daily listing of short and long volume for the etf, and you can see, especially over the first few days. The amount of short volume was absolutely ridiculous. If i zoom in a little bit here, we can see on the 8th of december.

There was total volume of 77 million shares or 77 000 shares, and of that 71 000 or 71 million shares were shorted and therefore the percent short traded volume was 91.67 of all. Shares were short shares. Now, every single day in that first week saw percentages of 91, 63, 44 being the lowest and it jumped straight back up to 66 and 79 on average 66 of trading volume, in that first nine days was shares being shorted and even the first few days off. Those nine days, we've still had 73 of shares being shorted and 43 of shares being shorted.

It launched on december, the 8th and, on its first day, had a whopping 91 short volume. 71 000 shares were sold short that day, with a mere 6 000 shares sold. As long transactions two days later, because the t plus two timeline, the etf, had its first round of failed delivers and these were in excess of a thousand, which is the limit for the etf, which only had a mere 200 000 shares at launch. And on top of that, even after it was added to the threshold securities list, there's still a net increase in shares being shorted, so it doesn't appear they're clearing those failed delivers yet clearly, at the moment, they're just stacking up more and more failed delivers because they're Doing anything they can to short etfs containing amc and gamestop.

It says the next piece of the puzzle to complete our view and understanding of the relationship between short volume filter delivers and the accumulation of naked shorts will be the release of the official fail to deliver list which is published only twice a month. And finally, i also want to talk about shiba inu, bouncing off that previous supply zone or previous demand zone. We can see just here that it came down and touched that demand zone and since then has been rappelling back upwards. This could potentially be a brilliant trend.

Reversal for shiba inu and i would love to see shiba inu, progressing back upwards towards 0.0005 and 0.0006 and upwards guys be sure to. Let me know down in the comments below what you think about the hedgies and the institutions secretly accumulating more amc 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.