Welcome back to the channel everyone today, i want to talk about how the shorts are trapped and how they can't escape so stay tuned, and let's make some money, and now i want to dive straight in with the key information. So i want to start by using this reddit post that lists a number of reasons why the shorts are trapped and how they can't escape, and then i also want to give my opinion on how i think they're trapped and how it's getting worse for them. Every single day and how they're getting closer to failure on a daily basis, so he starts by listing two very factual pieces of information. He says the daily average volume is around 57 million shares a day over the last 10 days.

The price is tanking, while the short interest is increasing. Now i know yesterday was a day that was very out of the ordinary volume wise yesterday we had 124 million shares traded. The last time we saw that was back here on december, the 17th and before that, the last time we had that many shares traded was back here on the 31st of august 2021 and therefore we know that high volume days over 100 million shares are fairly few And far between, but when it does happen, the shorts are very much on edge. I think it really goes to show just how in trouble the shorts really are.

Whenever amc now has a tiny scrap of good news, we'll see amc up 20 over 100 million shares, traded and the shorts will be scrambling. Obviously, yesterday adam aaron pre-announced the quarter four results for amc and said: amc's 2021 results improved significantly as the year progressed, and he said we finished the year with the strongest quarter in two years. The fourth quarter of 2021 marks a meaningful milestone with positive ebitda of more than 145 million and positive operating cash generated of more than 215 million. Therefore, the shorts are so heavily up against it, and so desperately on the wire that whenever amc has a tiny scrap of good news, it will run 20 or more and will see a hundred million shares, traded or more.

The post says. Obviously, the price is tanking, while the short interest is increasing. That means that the price is only falling because shorts are shorting more not because apes are selling, because obviously the apes aren't selling. Now i want to talk about why amc is falling, even though we've had so much good news and even though apes have been buying so many amc shares the post says the price is not caused or impacted by the amount of shares, purchased or sold.

It is kind of, but it's more due to the relationship between supply and demand, the post kind of specifies and says it's more caused by the price agreed between buyers and sellers. Typically with a stock, you have lots of different buyers and lots of different sellers. Some buyers want to buy at a low price to get the best price that they possibly can. Some buyers, on the other hand, want to buy a higher price to help push the stock price up, so it continues its run same with sellers.

You have some sellers trying to sell for the highest price they possibly can to get the most money, and also some sellers want to sell at the lowest price they possibly can to help push the stock down when they're shorting with amc. Obviously, we have a wide range of buyers because buyers are wanting to push the price up, but also still get a good deal. However, in terms of sellers, we only have those shorters trying to push the price of amc down. Obviously, no apes are selling their amc and trying to get the highest price they possibly can at these levels.

Apes aren't selling amc whatsoever at the moment sure they might be setting sell orders for a thousand dollars or five thousand dollars a share or whatever it might be, but no apes are selling down here at 15 to 20 dollars a share. So the reason why amc is falling is because we have this imbalance between buyers and sellers. We don't have any sellers wanting to sell the stock for a high price. We only have shorts wanting to drive the price down the post says if we look at the stock price right now around 15, a share that means that if only one stock is traded between one buyer and one seller and the buyer is willing to pay up To forty dollars a share, but the seller doesn't want to sell below thirty dollars and no other shares will be available during that moment of time, then the stock will be traded at a thirty dollar price, and so the stock will spike to thirty dollars a share, But it works the same.

The other way around as well say: there's a buyer that wants to buy amc and they're willing to pay up to fifteen dollars a share. But there's no sellers wanting to sell amc for fifteen dollars a share as well and hold the price flat, but there are shorts wanting to short more at fourteen dollars or thirteen dollars per share and therefore the trade is enacted at that shortest price down at fourteen Or thirteen dollars per share and therefore the price falls typically you'd also have sellers wanting to sell at 14, 15, 16 and 17 per share, but because apes aren't selling their shares, there isn't any of that larger volume or higher volume. Only the lower volume guys, if you're getting a little bit worried about holding your amc infidelity due to all the recent glitches and the fact that fidelity actually supports short sellers mumma are currently buying you and giving you a free stock of amc. On top of their usual five free shares, when you sign up using the link in the description below and make your first deposit when you sign up to moomoo and make your first deposit you'll, get two free shares, valued up to three thousand five hundred dollars each.

If you can deposit a hundred dollars, mummy will buy you a free share of amc and guys. If you can deposit the full two thousand dollars, then you get an extra three free shares, valued up to three thousand five hundred dollars. Each memo is also an excellent commission free broker that doesn't make its money from payment for order flow, mumu and futu make their money from margin interest and from payment fees, and therefore you don't have to worry about your trades, going through sketchy, dark pools or being Given to citadel moomoo also has brilliant technical indicators and advanced charting tools. Mumu also publishes daily short selling volume on top of a number of other key metrics and therefore guys be sure to sign up to moomoo, using the link in the description below and make your first deposit to get up to 17 500 in free stocks and a Free share of amc and obviously we know that the apes aren't selling their shares of amc from this post from the real dark pool that i went through the other week.

Obviously, the price of amc has been falling significantly, but the actual shareholder base here in yellow has, if anything, been increasing over the last few months, and we can also see here from the position cost distribution on weeble. Many apes are holding their shares at the 50 to 60 region and the 30 to 50 region as well. This obviously shows that the majority of apes holding their amc shares at these higher prices just aren't selling their shares, and he said a friend of mine who has a masters in business, explained to me that, besides algorithmic high frequency trading, the price tanks, because short sellers With their retail or hedge funds are trading between each other, he says this means a short seller is covering his position, while another short seller opens their position and sells a share while the apes are still holding. So basically, you've got these hedge funds passing the same.

Share to each other, which causes the price of amc to fall, but largely doesn't cause a massive spike in short interest. Now i think, obviously there's a high transaction cost in here. Maybe the apes get in there as well, sometimes and by those shares they're trying to pass between each other and therefore they're having to short, more shares each time and that's why we've seen a steady rise in that short interest. And he says if and when this demand increases short sellers can't trade between each other, because the ones at the bottom are trapped and want to get out but can't get out, and he says they might try and cover with a small loss.

But new short positions are opened less frequently, as amc has huge retail support with many apes that aren't selling, and he says when this finally pops there will be a moment where algorithmic, high frequency trading can't suppress the price anymore. Since short, sellers want to cover with the smallest possible loss and then obviously, when the short sellers rush against each other to cover they'll, basically end up buying up the entire order book and the price will spike massively and very very quickly. But i also wanted to focus on the failed delivers in amc and gamestop compared to some other stocks in the market and how it's blatantly obvious that massive amounts of market manipulation are occurring and again. I think this blatant market manipulation again only goes to show just how close the shorts really are to being liquidated and how close they are to losing jackson hunter says i did some nightly routine research and he came across some interesting numbers in 2021 for the full Year apple had 37 million failures to deliver now.

Apple's float is 16.3 billion shares and therefore the full year fell to delivers for apple was 0.23 of its entire flow. Now, looking at tesla to compare in 2021, tesla had 13 million failures to deliver so even less ftds than apple, but tesla's float is only 809 million shares and therefore the full year felt delivers for tesla was 1.7 of its entire flow. Over to microsoft, microsoft had a very minuscule, 3.4 million fails to deliver and microsoft's flow is 7.49 billion dollars and therefore the 2021 full year fails to deliver was only 0.045 of microsoft's flow. But when we look at amc and gamestop gamestop had 24 million filter delivers and gamestop's float is only 62.5 million shares, meaning a full year fails to deliver figure of 39 of its entire flow.

Now that's massive compared to the 0.23 in apple 1.7, in tesla and 0.04 in microsoft, but with amc, it's even worse, there's a whopping 209 million fails to deliver in amc for 2021.. Amc's float is 513 million shares and therefore the full year failed to deliver was around 40 of amc's flow. This goes to show just how massively manipulated amc and gamestop really are in the sense that over 40 percent of its float could be failed to deliver in a single year. Now, obviously, don't forget.

These ftds have been reset many times throughout the year and that's why they constantly keep cropping up. But again, this just constantly shows the massive amounts of market manipulation. The fact that 40 of its float needs to be failed to deliver and reset over and over again throughout the full year shows the shorts absolutely have something to hide, and this is the shorts are losing the shorts are trapped and we have won now. If you imagine a garage four court, this is like that garage selling, their entire four court worth of cars, but only delivering half of the cars on the lot.

Now. Yes, it's important to remember that some of those card deliveries failed and they reset the car delivery and failed it again. It still doesn't excuse that over half of the cars on that lot were never delivered. On top of this melvin capital's gabe plotkin has just failed to raise more money for a melvin capital, long only hedge fund.

Again, this just goes to show that melvin capital are absolutely desperate. Trying to get money in from any source whatsoever. Melvin capital are literally having to open a new hedge fund and raise new money in order to try and pay off their bad short debts. Now i think it's important to note that this isn't bad for the squeeze.

If anything, this is good for the squeaks, because it means that melvin capital is finally getting in the money to buy back their amc in gamestop shores. All this is basically saying is that melvin capital is opening a new hedge fund to guarantee payment to the apes, and i think one of the most standout reasons as to why the hedges are trapped and can't escape is the sheer amount of shill and fudge comments. Even to this day, i see so many comments on my video saying, bro. You guys have to sell amc, they're saying guys, there's so many other stocks, but you have to believe me.

The squeeze already happened and if it squeezes again it could wreck the economy and therefore you apes have to sell amc. While you still have the chance again, you've probably already noticed that people don't usually give you money advice unless it's impacting their money, and this is why hedges are having to pay literally thousands of dollars in order to infiltrate reddit or weeble groups. There's a document here that shows the cost of two thousand three hundred and eighty dollars in order to infiltrate both reddit and weeble, or paying three thousand five hundred dollars a day for a one-time gorilla campaign against a certain stock. You can even pay for an article in tier 1, mainstream media, either on the front page or even specifically, paying for a negative effect pr article, if you haven't already i'll, leave the link to this post down in the description below.

So you can see just how much shield, companies and bot companies charge for posts on reddit, weeble and in mainstream media guys be sure to. Let me know down in the comments below why you think the hedgies are trapped and can't escape, 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.