Welcome back to the channel everyone today, i want to talk about what just happened to amc: how did this price action occur and, what's going to happen over the next few weeks? I also want to talk about a naked shorting, fine that was just issued so stay tuned and let's make some money, and now i want to dive straight in with the key information. So jpmorgan said on cnbc a short squeeze rally into the year. End looks likely now. Is this the short squeeze? That's happening right now, no far from it.

Obviously amc had a very good day today up around 20, but the short squeeze hasn't even started. It likely won't even start until over, at least over 75 dollars, if not over a hundred dollars per share. So i want to talk about exactly how today's price action happened and, what's likely to happen over the next few weeks, they went on to save for a short selling campaign to succeed. There has to be positioning liquidity and often systematic amplifiers of the sell-off.

So basically, there has to be a true fundamental reason for the sell-off, which obviously hasn't happened, as theaters aren't dying, in fact, exactly the opposite, with this week's release of spider-man no way home now, while there has been some additional short positioning, some new shorts, adding to Their position over the last week, trying to short amc down from 30 to 25 to 20 and below. Clearly they didn't short hard enough, and that has not helped them. In fact, quite the opposite. Any shorts to open new short positions around the 20 region are already down 50 percent and counting.

Therefore, it must be heating up a little for them and jp morgan said we believe these conditions for a successful short selling campaign have not been met, and hence this market episode may end up in a short squeeze and cyclical rally into year. End and january. So does this mean a short squeeze is absolutely guaranteed well, absolutely not later on in the video. I do want to talk through some potential scenarios, but first i want to talk about how today's price action actually happened.

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Just check your message inbox to be in with a chance of winning that daily gift, and if you can deposit two thousand dollars, then you get the final three remaining free shares each valued up to 3 500 each. So today, december 17th was a triple witching day. Sometimes also called a quad witching day, every quarter, an event known as triple witching occurs: it's the simultaneous expiration of stock options, index options and index futures, and it's typically generated the year's, busiest and potentially most volatile trading days. But so how exactly does that impact amc? Well, for anyone confused about why amc and gamestop are rising, it's been speculated that citadel and other hedge funds have been using put options to hide short interest.

Obviously, in a number of my other videos, i've spoken about things called divorced puts divorced, puts are basically a way of kicking the can and resetting failed delivers, which, by and large, are shorts that could not be located they're done via the use of out the money. Put options and in the money call options those options expire over time and many of the failed delivers have been reset in the january 2022 options. But some were obviously reset in previous options like this friday's expiration and obviously, when the january 2022 batch expire, then we'll see a much more transparent and true short interest. If we take a look at the options chain, we can see there was a lot of calls and puts that expired today on december 17th, due to the triple witching day.

Therefore, there was a lot of puts and calls that had to be hedged for today, especially due to the massive rise, meaning that more and more calls had to be hedged for, meaning that more and more shares had to be purchased. Now you can see from the options that expire on the 21st of january 2022 that the option chain is even more stacked for then than it was for today, and therefore i do think we could see another run-up or a continued run-up into that mid-january period, because When these january 2022 puts expire, they either have to kick the can again, or they actually have to locate some shares or close out their short positions. Now somebody on reddit asks what's to stop them from reusing the same strategy and just kicking the can again is the premium too high, but couldn't a market make it like citadel, just write those puts for free and there's a reply that says they don't have the Same amount of cheap puts to buy the puts they have were written over a year ago and longer when the price was extremely low. There was tons written with very low strikes at say, 50 cents or a singular dollar since gamestop and amc's price has gone up.

So much new puts are being written at much higher strikes and therefore much higher costs, and they won't have the same mass of 50 cent and one dollar puts to buy moving forwards. Therefore, because there's so much interest around amc and gamestop and because the price is so much higher, it's so much more expensive for these hedges to reset their fail to delivers. They likely don't have the cash to cover all of the options to reset. So, what's likely to happen with amc over the next week or the next few weeks.

Well, today we just finished the weekly candle with a very bullish hammer. It says the hammer. Candlestick is a bullish trading pattern that may indicate that stock has reached its bottom and is positioned for a trend reversal. So, quite literally, the textbook definition of the dip before the rip now from the amc chart it's hard to say where exactly we are right now in comparison to january and june.

Maybe we're at this period and we've just had an excellent close to the week and maybe next week we'll gap up straight into the squeeze, or maybe we're quite literally where we were in december of 2020 and we've had a good week. But over the next say two or three weeks we'll trend downwards until that mid january period, then the squeeze will happen then. Obviously, at the end of the day, anything can happen in the stock market. So i don't want to set a specific date or a specific time for the squeeze to actually happen.

But one thing i did want to talk about is the current state of the us economy. Having a look at today's reverse repo figure, we saw 1.7 trillion dollars. A new all-time high, literally a week ago, we were at the 1.5 1.4 trillion mark and now we're halfway between that and the 2 trillion mark already in terms of the daily treasury balance, we saw a new all-time low in the daily treasury balance on wednesday, with Only 58 billion the outflow on wednesday was 21 billion, and the outflow the day before and tuesday was 54 billion. Now, interestingly, the us treasury haven't actually posted thursday's treasury balance or today friday's balance.

Now i also wanted to talk about web bush securities agreeing to pay over 1.2 million dollars to settle charges arising from unlawful, unregistered distribution of nearly 100 million shares, so as in the selling of unregistered shares, as in the selling of shares that don't exist. As in the selling of shares that had been naked shorted, clearly, around 100 million synthetic shares were created for a negative purpose and wed bush securities sold on these unregistered shares. Yes, these hundred million shares were spread between 50 different low-priced micro-cap companies, but it's still the same thought process that is important here now i for one, can tell the sec exactly where many more synthetic shares are hiding and where they're being sold as a hint. It's in amc and as another hint they come from citadel and then obviously wedbush failed to file a suspicious activity report pertaining to those transactions which obviously because it's self-reported was never gon na happen.

And finally, it looks like the loop ring and gamestop announcement could be closer than we even thought. Somebody tweeted at brian from loot, bring saying. Is there any plans for a new chat system on the loopering platform? There's many concerns with the current popular ones that are available and brian said not currently as right now, we're hyper focused on building the infrastructure necessary to make a more fair and more free financial system. He said once we deploy the zk evm it'll, be very easy for a new or existing chat to deploy atop the zk evm to make it immutable or unstoppable.

Again, there's only a few more weeks remaining of quarter. Four and there's still no word on them. Delaying until quarter one of 2022 and therefore it looks like the nfd platform will be coming out over the next week or two guys be sure to. Let me know down in the comments below what you think is currently going on with amc and whether you think the squeeze is going to play out next week or over the next few weeks or the next month or two and guys.

If you want to pick up some cool amc, related merch, like my space 8 hoodie here or the to the moon, t-shirt, be sure to check out my store down in the description below and as always guys. If you enjoyed this video be sure to check out some of my others, alternatively, subscribe to channel and ding that notification bell, because that way, you'll be alerted. When i upload a new video cheers.