Welcome back to the channel everyone today, i want to talk about something that has a very high possibility to cause the moas. I also want to talk about whether one million dollars per amc share is truly a realistic target, so stay tuned and let's make some money, and now i want to dive straight in with the key information. So yesterday you heard me talk a lot about these in and out of the money put options and what's going to happen to hedges if they don't roll over those options. Today, i want to talk about how these options interact, with the calls that we have for january 2022.

So right now, we know that we have 257 000 out of the money, put options which is likely the hedges rolling these married puts. This is basically a way of hiding that short interest and hiding those synthetic shares. So there's two main downfalls of this. For those hedgies downfall, a is they've spent, tons and tons of money on 257 000 options that are going to expire out of the money and therefore worthless, meaning the hedges actually have to recognize some losses.

The second downfall is, they have to stump up even more money to roll these options down until january 2023 or somewhere else in the year, which means they're gon na have to spend tons more money if they can even afford it. We know those hedges have pretty much maxed out their margin and are getting very, very close to failing those margin calls and therefore, if they don't have the cash to roll all of these options. Well, they are going to have to cover their shares or their shorts and if the hedges do have to cover some of their shorts, not necessarily all of their shorts, but some of their shorts. What's gon na happen to the price of amc? Well, obviously, the price of amc will go up if those hedges have to cover their shorts and buy amc shares.

So how exactly does that interact with all of these cool options that are in the money and also out of the money? What's going to happen? Come january 2022 guys, if you haven't already be sure to sign up to moomoo to get up to 17 500 in free shares. All you have to do is sign up to moomoo, using the link in the description below and make your first deposit. You can currently get five free shares, valued up to three thousand five hundred dollars each. You can get the first free share just for signing up with moomoo and opening your account.

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Well, as rizzo stonk says. Obviously, at the moment, there's 74 000 in the money call options. If these call options are exercised and the shares redeemed, this could absolutely cause a mini gamma squeeze, there's five thousand options at seven dollars: a share, eight thousand, nearly nine thousand options at eight dollars. A share five thousand options at nine dollars, a share and so on and so forth.

Totaling 74 000 options, which is the equivalent to 7.4 million shares if the hedges have to cover some of their shorts because they can't afford to roll all of these out of the money, put options and the 74 000 in the money call options are exercised. That is going to push up the price of amc, because that is tons and tons of amc shares that will have to be purchased. But that's also going to cause a lot of these out of the money options. These 262 000 out of the money options to become in the money options as well as obviously the price of amc will be increasing, and therefore these out of the money options will become in the money and as these 262 000 out of the money options or 26 million shares worth of options become in the money.

All of these options will have to be hedged for and, ultimately, the shares will have to be purchased if they're also exercised. Now, if there's tens of millions of shares being purchased because of these cool options being exercised and tens, if not hundreds of millions of shares being purchased, because these shorts being covered because they can't roll the puts and also combined with tens, if not hundreds of millions Of shares being purchased by fomo retail investors and also hedge funds, fomoing in as well, it could push the price of amc up through fifty dollars up through seventy dollars and up through a hundred dollars as well, causing that gamma squeeze and obviously, if the price of Amc pushes through that 70 100 region, it is very, very possible that it could also enact the short sweets as well, because tons and tons of hedges will be liquidated at that price point being forced to cover their shorts. Now. I also wanted to tie this in with something rico said, and what price of amc we could see at each point? How high will amc go when the calls are exercised? How high will amc go when the shorts are covered or the puts are rolled and how high will amc go when there's that gamma squeeze and the fomo squeeze going on as well soriko said for people wondering what is going on on twitter in regards to my Tweet saying let them bag hold.

I said this in relation to people who push the one million dollars a share, narrative and tell the others if they sell before then they are not part of the community. He said those type of people should be ignored and they should be the ones left, holding the bag for being toxic and spreading completely irresponsible and not logical information. Rico believes you guys need to pick a number and stay true to it and click sell. Once now.

I don't necessarily agree with this and i don't necessarily 100 agree with this as well. But let me read the rest and explain my thoughts. He said: do not listen to these people making you feel bad for not being part of the community. It's your money and your decision.

He said my realistic run-up target is 260 dollars. His possible realistic short squeeze target is 600 to 800. If we blow past that, then he thinks we could see one thousand to three thousand dollars a share. And if we blow past that, then possibly five thousand dollars a share and he says that people waiting for amc to hit one million dollars a share and never selling any shares before then are likely to be the bag holders.

Now i do partially agree with his first target of 260 dollars per share. I believe that in cycle 3, amc could see somewhere between 150 and 300 per share. If that does not enact the short squeeze and if effectively that's a fake run-up that the hedges then try and push down now, if somewhere, between 150 and 300 per share does enact the short squeeze and those hedges are forced to cover their shorts. I believe the price of amc that we could see depends heavily on the number of synthetics that are out there right now.

Now, as a good example, volkswagen had very few or very little synthetic shares, if not, none at all and volkswagen still hit a thousand dollars per share during the volkswagen short squeeze and therefore, if somehow all of us are wrong and there's actually no synthetic amc shares In existence whatsoever, then i do think a possible likely short squeeze target for amc is somewhere between five hundred dollars, a share and three thousand dollars a share with no synthetics. Now, if there's somewhere between five hundred million synthetic shares and say two billion synthetic shares, i do believe that amc could see towards five thousand dollars a share, if not potentially higher and if all of us have massively underestimated the number of synthetics and there's actually 20 Billion synthetics, maybe 30 billion synthetics, maybe even 40 billion synthetics. Then i do really think that we could see six, if not seven digits, for each amc share. So a million dollars per amc share, but there would have to be tons and tons and tons of synthetics upwards of 20 billion synthetic shares.

Now, i think the irresponsible thing here is only clicking sell once say: if you've set your amc price target at a million dollars per share. If amc only reaches 950 000 a share, you won't have sold any of your amc and you will miss the short squeeze entirely and at the same point, if you've set your amc price target at five thousand dollars a share and you're not going to sell a Single share before five thousand dollars a share. What happens if amc only hits 4 900 a share and then the squeeze is over and we underestimated the number of synthetics that actually existed. Well, you won't have sold any of your shares and you've missed the amc squeeze and therefore, i think the responsible thing to do is clicking sell more than once set yourself multiple targets.

Maybe your first target is around 260 dollars a share and you set off say 10 of your empty shares just to lock up some initial investment, then your next target may be at six hundred to eight hundred dollars a share, so you set off another ten percent. There just to lock in some more gains your next target, maybe five thousand dollars a share where you sell off an extra twenty or thirty percent of your shares and let the rest ride as high as it will possibly go. And therefore, if amc doesn't hit your very tippy top target of four hundred thousand dollars a share and only hits three hundred and fifty thousand dollars a share. At least you've sold off some of your shares along the way, and you can potentially sell the rest on the way down, locking in as much gains as possible and reliably locking in as much gains as possible.

I don't necessarily think pushing a one million dollar per amc share. Narrative is irresponsible because it's very very possible that it could happen if there are that many synthetics, an issue i think what's irresponsible, is telling people only to sell once because what happens if they set their target too high and miss out. The responsible thing to do is to set multiple targets on the way up and take profit at multiple different intervals. Therefore, you can be sure to reliably lock in some profit at the lower levels and also lock locking profit at the higher levels as well and not miss out entirely on the omzi squeeze, and now i also want to talk about why the volume on amc is So high and why amc has traded over 57 times its flow this year and as amc biggham says it's from hedge funds and banks, painting the tape back and forth.

But so what is painting the tape from investopedia painting? The tape is a form of market manipulation whereby market players attempt to influence the price of a security by buying and selling it among themselves to create the appearance of substantial trading activity. The goal of painting the tape is to create the illusion of an increased interest in a stock to trick investors into buying shares, which would drive the price higher or to trick investors into selling shares which would drive the price lower. We know that hedges have been selling shares back and forth between themselves to drop the price of amc, to try and scare retail investors into selling their shares, so their hedges can cover, and that is effectively painting the tape painting. The tape increases volume and attracts investors, who may then push the price higher or push the price lower by selling their shares.

The market manipulators will then sell their holdings or cover their shorts onto investors, unaware of the manipulation painting. The tape is an illegal activity prohibited by the sec, because it creates an artificial price but obviously is very, very difficult to detect and therefore the sec, just don't ever investigate it. Yes, the volume on amc has been high over the last year due to a massive increase in interest from retail investors, but the most likely reason for volume being so high and being sustained so high is because of this painting the tape and the illegal market manipulation. That's going on guys be sure to.

Let me know down in the comments below whether you think the exercising of those january 2022 calls and the covering of those shorts or the rolling of those put positions in january could cause the amc squeeze and guys. If you want to stay up to date with all of my latest stock and crypto picks or if you just want some help with amc and gamestop, be sure to check out the patreon and the private discord linked in the description below and as always guys. If you enjoyed this video be sure to check out some 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.