Today I Want to talk about why reverse split isn't just a good thing I Want to talk about what is crucial the AMC squeeze I Want to dispel some of the fud around why reverse split might be a bad thing and I want to talk about what a reverse split actually does. That makes it so good. So stay tuned and let's make some money. And now I'm going to dive straight in with the information.

So Stocks: Batman tweet is saying stop saying that you're losing 90 of value voting Yes, he said you lose zero AMC value. He said the overall value stays the same as the price goes up. He said the share count is the only thing lost, but the value per share would go up. He said the value per share goes down only if they short more, there's even more AMC dilution.

And as Ryan said, if a 10 to 1 reverse split is approved, the all-time high of 72 dollars will now show an all-time high of 720 per share. He said, please don't be misled thinking the all-time high is just 72 dollars because as a result of the reverse split, your time high will now be 720. The all-time high or overall value of the company is calculated based on the company market cap divided by the number of shares, not specifically just the share price. Many people are saying that AMC is losing 90 of its value, which isn't true at all.

They're saying the squeeze will now be 90 smaller, which again, isn't true at all. If anything, our targets and our price brackets just got 10 times larger. The overall market cap will stay the same during the squeeze and pre-squeeze and post squeeze. The only thing that changes is the individual share price.

The amount of money you receive during the squeeze stays exactly the same. The only difference is the market cap is also the same for the share price. Per share is larger. Many people are saying it will be easy for the shorts.

The Short: AMC down from fifty dollars down to five dollars after the split, but I don't really think this logic makes any sense. If it was easy to short AMC From fifty dollars down to five dollars with the reverse split, then it also makes it equally as easy to short AMC down from five dollars to 50 cents without the reverse split it the hedges the exact same amount of money to short AMC From fifty dollars to five dollars off from five dollars to fifty dollars. and they also make the exact same amount of profit. if they short one share.

At fifty dollars down to five dollars, they make a forty five dollar profit. And if they short 10 shares at five dollars, costing them, fifty dollars down to fifty cents per share AKA five dollars total, they still make a forty five dollar profit. If anything, it's actually easier for these shorts to continue shorting. AMC down from five dollars to fifty cents without the reverse split because there's no q-sip changes As there's no changes to the Q-sip number, it means they don't have to locate any new AMC shares, The existing Ape shares, and Ape shorts also don't get recalled right now without the reverse split.

There's no share recall and Ape doesn't get de-listed as Ape isn't converted into AMC. On top of that, right now, there's currently no Ape share locate requirement. You may remember this tweet becomes posted the other day from Fidelity That said, thanks for reaching out. If a person will show one share of AMC on the ex-dividend date of August 22nd, they would also be sure one share of AMC and one share of Ape on August the 23rd They said the shareholder Equity Remains the Same since there is no share locate requirement related to a special dividend.

Therefore, these shorts can easily continue manipulating Ape because there's no Ape share locate requirement. But when Ape converts into AMC there then becomes an AMC share locate requirement, especially during a reverse split. When the Q sips change, all shares must be located again. And obviously, without the reverse split, there's more shares.

In total, there's 1.5 billion shares, not just 150 million shares. Therefore, the shares are more diluted, therefore making a squeeze less volatile. therefore potentially meaning no squeeze as there's tons of over dilution with all of these additional shares. Therefore, a conversion-backed Saudi to AMC causing a share locate requirement and a reverse split causing additional share locate requirements.

Android Apps action in the dilution is surely better for the squeeze. If you believe it's going to be easy for the shorts, the short AMC ramp from fifty dollars to five dollars with the reverse split, then you should also believe it's going to be even easier for the shorts to short AMC down from 50 to 50 cents without the reverse split. And if you believe the price is relevant, you're probably in the wrong play because obviously we know by now that the price is irrelevant. Whether the price is five dollars, fifty cents, or fifty dollars, we know the price right now is irrelevant.

It's just relevant and important how stuck the shorts are and how close they are to be being forced to close via a liquidation. So actually I think the reverse split is very, very crucial. Not only is there an ape locate requirement and an ape share recall during the listing, there also becomes an AMC share locate requirement as well. During the Q-sip changes, it costs the shorts the exact same amount I've made to short AMC after the reverse split.

as it does as if there was no reverse split, they even generate the same amount profit. It just makes it easier for the shorts to short AMC and ape without a reverse split as there's no locate requirement. We know that whether AMC shows 50 or 5 or 50 cents. either way, the price is irrelevant.

What is relevant though, is how difficult and how stuck the shorts actually are. And as Crystal Both we could be said when the shorts borrow shares, they could sell short or locate suitable shares that could be borrowed before settlement. It's a disclosed Shore. But some disclosed shorts are really naked shorts because of the force locate requirements or the fraudulent borrowing that they were doing using those AMC FTX tokens.

But now that FTX has collapsed, these tokens don't exist. However, the problem is they've already located those AMC shares for their current AMC short positions using those tokens. If only there was some kind of reverse split that would reset these Q-sip numbers and again force them to relocate and cause an additional share locate requirement. It says here: disclosed short is when a share has been borrowed or a suitable share has been located that can be borrowed.

It is therefore a disclose sure shorts are either naked or disclosed, but in reality some disclosed shorts are really naked shorts as a result of fraudulent stock borrowing and fraudulent stock locates. Therefore, as I said, if only we could reset these disclosed shorts to force them to locate again to remove these fraudulent stock locates. And as John Jack tweeted, he said prior to Apes X dividend date, there were billions of shorts outstanding in AMC. He said nothing was lost in Ape.

Ape inherited billions of shorts from AMC plus all of the shorts dumped on Ape. Bring its market price below one dollar per share. Therefore, all of these existing Ape shorts still have to close in. All of these new Ape shorts still have to close as well, and he said, should the process of relocating and closing be fair, eight will go to the Moon He said if the Dtcc in Finra won't provide any waiver or off-ramping to the short Sellers and market makers who'd collectively been holding billions of shorts in AMC prior to Apes distribution.

and they'll have to cover billions of shorts and Ape before conversion into AMC. As I said, due to the new Ape Shadow kit requirement and the Apeshare recall for the listing, it effectively forces these shorts to reset their current locates and provide new actual locates. Because this time, when the next margin breach happens similar to what happened in January of 2021, this margin breach will be 10 times larger and won't be waived by the Dtcc and by Finra. The Peruvian bull tweeted this extract from last year's treasury report.

It says the maximum back testing deficiency or margin breach at Dtcc's Ficc clearing Services fell for the 12 months ended March 31, 2021 as Market volatility observed in the first quarter of 2020 rolled off. In contrast, the Nscc reported a back testing deficiency of 1.1 billion dollars on January 22nd, 2021, the largest since public disclosure began in the third quarter of 2015.. the NS C attributed the back testing deficiency mainly to a single security exhibiting idiosyncratic risk. During the week of January 25th, 2021 aka the first run-up The Nscc observed unusually high volumes and volatility in GameStop and other Securities that had been popularized on internet message boards.

On January 27, 2021, the Nfcc made intraday margin calls to 36 clearing members totaling 6.9 billion dollars, bringing the total required margin across members to 26 billion, but this time due to the shortest doubling down, tripling down and quadrupling down. The next time a significant margin failure like this happens, it won't just be for 6.9 billion dollars or 7 billion or 10 billion, it will be for 50 billion or 100 billion. This is due to the short doubling, tripling and quadrupling down, and due to the wider Market crashing considering. Back in 2021, the market was at all-time highs and this time around, the Nscc and the Dtcc simply won't be able to waive those margin requirements and waive those margin failures as Joan Jack said, if the Dtcc infinix don't provide those waivers or off-rampings it means the Shorts will be forced to cover billions of shares or billions of shorts in ape before conversion.

This tweet from Jim Cramer really brought home to me just how much these hedge funds have lost in their available margin. Pretty much all of the Shorts, and all of these hedge funds have some of their largest stock positions in some of the seven largest stocks you've got. Apple Amazon Facebook Google and video Microsoft and many others. And as Jim Cramer tweeted, he said the five trillion dollar wipeout in seven stocks this year was amazing.

That's Five trillion dollars in available margin. These hedge funds and these shorts have so far lost this year just on their long positions. But guys, forget 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!.