Welcome back to the channel everyone today, i want to talk about why amc is going to squeeze. I also want to talk about whether amc could be delisted during the squeeze, which would ruin everything so stay tuned and let's make some money, and now i want to dive straight in with the key information. So the real dark pool just tweeted saying this is where i begin to spot true desperation, shorting on thin ice in a bear market as a pro for the shorters. It's easily manageable and predictable downwards price action, but as a con for the shorters, their long positions are dropping in value, meaning that margin calls are ready to go out if and when needed every single day.

At the moment, the shorts continue to push the price of amc further later on. Today, i'm going to talk about how the shorts are actually still able to push the price of amc down, but the important thing to know is that these shorts are fully maxed out and on very thin ice during a bear market. They're 100 utilized every single day. There's zero shares available and therefore they're already maxed out their shorting capabilities and can't short anymore.

If amc starts to run and darpal says at this point, we're waiting for one of three things, which i think could be one of four potential things number one we're waiting for a gamma squeeze if people start playing short dated at the money or slightly in the Money call options: we can steadily ramp the gamma up and push the price of amc upwards number two waiting for the shorts to hit true 100 utilization, which is roughly 145 million shares of total short interest. At that point, they will be fully capped out of their shorting potential. At the moment the short utilization is simply rounded up, maybe we're at 98 or 99 or 99.5 percent, and it's just been rounded to 100 utilized, but we're not at that true 100 utilization point, because at that point they'll have run out of shares to short and Won't be able to shore anymore again, i'm going to talk about this later on in my video today, because i believe the shorts are using our shares in our brokerage accounts, which we have marked as not available for lending, but they're still borrowing those shares and using Them to shore darkpool believes that we're also waiting for all shorts to be in profit aka, those that entered in single digits, because at that point, they'll know that bankruptcy for amc is well off the table and some shorts will reach that exit door and cover their Short positions that will then cause a massive massive landslide of other shorts being forced to cover, as the price of amc rises up. A lot of people have been saying recently.

What happens if the price of amc returns back to those single digits? Can the shorts cover their short positions? I've personally taken a very heavy stance on this and said: no all of the shorts cannot cover all of their short positions, because that pushed the price of amc much much higher. It pushed the price of amc back to 73 dollars and above and would cause a short squeeze. However, saying that some short hedge funds may reach for that exit door and cover their short positions. That would cause the price of amc to go upwards and could cause other shorters to be forced to cover their positions.

As i've said many times on the channel before, when the squeeze happens, it will be a race for those short hedge funds to the exit door. The first to cover their short positions, will escape the lightest and will likely not be liquidated, but the last to reach for that exit door will most definitely be liquidated. Maybe the price of amc will return to seven or eight dollars, and one hedge fund, maybe it'll, be citadel. We'll reach for that door.

Cover their shorts get out lightly and not be liquidated, but citadel, covering their short positions would cause amc to run back to say, 73 dollars per share and at that point would cause other hedge funds, like melvin capital, to be liquidated and forced to cover their shorts, Causing the short squeeze, and now i personally think that number four on this list is waiting for that market crash. When those long positions that are held by those hedge funds fall even further, it means those margin calls will be ready to go out, as they won't have the available margin to meet those margin, requirements and darkpool says. I know this because shorts are diamond handing their short positions because they're still underwater on their original underlying shorts from a technical standpoint, this is the bottom, but we've been channeling in a supply zone for months. Something has got to give, therefore, there's actually a number of things that could cause the short squeeze right at this very moment.

But let's talk a little bit more about the coming market crash michael, bury yesterday reactivated his twitter and tweeted. This photo sing. 1977 says hello. This is obviously a photo of michael brewery from 1977, but people were quick to relate this to the 1977 market crash and market recession.

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I don't believe this will be a smooth bear market like 1977.. We are in for the mother of all market collapses and he says when you pair that, with high frequency trading, some banks being leveraged at over a hundred to one the everything bubble, a crippled economy, a pandemic and a war and 2022 will be one for the Books back in 1977, we saw a very long bear market played out over the course of over a singular year right now. At the moment, the market is already starting to look like this, but on a much more condensed time scale. We've seen this basic pattern repeating over the last two months from january, through february, back in 1974 to 1977, we did see elevated cpi or inflation levels very similar to what we saw in 2008, but both of those inflation levels have already been eclipsed in 2021 and 2022, the crash in 2008 was much more rapid and much more severe than the crash of 74 to 77, because, even though inflation levels were fairly similar, the crash of the recession of 2008 was compounded by the amount of credit default swaps and derivatives compared to 74-77.

Right now, in 2022, those level of derivatives that level of leverage the amount of high frequency trading and everything else that's going on at the moment, is likely to cause a much more rapid and much more disastrous recession than we even saw back in 2008. Dark portal situated a number of other charts like real disposable personal income, which is at an all-time low over the last 10 years, and also a chart of the market. Value of gross federal debt, which again over the last 30 years, is at massive all-time highs and nazim. Also tweeted saying, according to goldman sachs, hedge funds are rushing for the exit as the volatility of everything surges amid geopolitical uncertainty and economic turbulence, causing volatility across several asset classes to spike significantly, the bloomberg article says as searing cross-asset turbulence threatens to end an epic bull Run in equities fast money, asset managers are reducing risk and getting out the risking is the buzzword on wall street, where hedge funds and their ilk are cutting positions, selling stocks and covering shorts, so-called de-grossing activity in u.s single stocks has climbed to the highest.

In a year, according to prime broker data from goldman sachs, a research firm said, the volatility of everything is spiking. This is an incredible bout of cross-asset concern that we've rarely seen in the last 30 years. I think many of these hedge funds and large institutions are getting very, very, very close to margin calls and therefore they're, trying to bail out of some of their more risky positions before those margin calls end up being hit if some of their more risky positions end Up losing any more margin, those margin calls are a certainty, but one position they've entered recently and haven't bailed out of yet, but they really should have, is the russian bonds ratings have just said that russian debt default looks imminent yesterday, fitch again downgraded russia's long-term foreign Currency debt to a c rating and said that increased sanctions could lead to non-payment if this russian debt hits d for default. All of a sudden, all of that margin - that's been created by the banks buying this russian debt for pennies on a dollar will evaporate and become worthless.

A few days ago, i spoke about a number of different banks and hedge funds buying russian debt for pennies. On the dollar to create additional margin to meet those margin requirements, but i also said that i think it's pointless for these banks and hedge funds to be doing this, because in a few days this russian debt is likely going to be downgraded to d for default. These banks and hedge funds were buying this russian debt for pennies on a dollar and using the full face value for margin requirement purposes. But in a few days, when it's downgraded to d for default, they're going to suffer a 100 haircut and the face value of that debt will turn to nil.

And therefore i think it's most likely. The coming market crash will end up causing the amc squeeze. But when amc squeezes, will it be delisted and will these hedge funds get favorable action? Marty tweeted saying i'm hearing from a birdie in the gold world that what happened to nickel on the lme is currently taking place with gold and silver on comex. A large national actor is unable to cover a massive short gold and silver position and is paying up to 10 above spot for metal that can be delivered into comics falls, keeping an eye on this throughout the rest of the week, and somebody replied saying large national Actors often get favorable treatment in order to unwind bad trades.

Look for trade, halts and philip replied, saying big players don't often suffer that much they're positively encouraged to escape a bad trade. Recently, the nasdaq ceo suggested hulks to trading to allow big investors to recalibrate their gamestop positions to combat reddit users. So therefore, it seems that even the nasdaq ceo is taking the side of the hedge funds and would love to halt trading on gamestop and amc when it squeezes. Obviously, this screenshot is back from january and the nasdaq ceo said to halt the trading back in january.

That's not something that just happened recently, but we know that the nasdaq ceo is on the side of the hedge funds, but importantly, can the nasdaq or the sec actually just blatantly outright d-list amc from the nasdaq? I know this is something that lou has covered in a number of his recent videos, but do the sec and the nasdaq actually have the power to just randomly de-list stocks. Whenever they see fear, the listing is defined by investopedia as the removal of a listed security from a stock exchange, the de-listing of a security can be voluntary or involuntary and usually results. When a company ceases operations declares bankruptcy merges, does not meet listing requirements or seeks to become private, so we know that amc aren't going to cease operations. We know that amc aren't going to declare bankruptcy.

We know that amc aren't going to merge and we know that amc aren't going to seek to become private. So what are these listing requirements that investopedia speaks of? It says the reasons for the listing include violating regulations and failing to meet minimum financial standards. Financial standards include the ability to maintain a minimum share price financial ratios and sales levels when a company does not meet listing requirements. The listing exchange issues, a warning of non-compliance and obviously, if that non-compliance continues, the exchange d lists the company stock.

So the nasdaq actually has a handy dandy guide of all of these minimum stock prices. Total shareholders required market value of securities and much much more. We can obviously see that amc isn't going to fail any of these because they have a share price, that's substantially higher than one dollar and significantly more than 400 individual shareholders. On top of this, we also know that amc meets all of the corporate governance requirements.

It distributes annual audited reports, it appoints independent directors. It has an audit committee and much much more again. We know that amc doesn't commit fraud internally, thereby breaching its internal code of conduct and therefore doesn't fall foul to any of these involuntary listing requirements. So therefore, while the nasdaq can de-list stocks from the exchange, they can't de-list stocks just for the sole reason of market manipulation.

There has to be some form of internal fraud or a number of different listing requirements that aren't met in order to be forcefully de-listed. However, while the sec and the nasdaq can't just randomly de-list stocks, we know that the sec can suspend trading in a stock and especially, if there's questions around trading in a stock such as trading by insiders, potential market manipulation and the ability to clear and settle transactions. In a stock during a short squeeze, obviously the hedge funds are going to argue potential market manipulation and those market makers are also going to struggle to clear and settle trades or transactions in the stock. We know the fcc can suspend the trading in a stock for 10 days if it's in the public interest.

Obviously, those hedge funds shorting the stock, are going to complain to the sec that it's in their interest that the sec halt trading, but also, i think it's important to remember that, while us, the retail investors, are largely the shareholders, there's also a number of institutional shareholders That will be damaged by a trading hall. Investopedia also says another problem for delisted or halted stocks is that many institutional investors are restricted from researching and buying or selling the shares investors who already own a stock prior to the d-listing, may be forced by their investment mandates to liquidate their positions further depressing. The company's share price by increasing the selling supply if a stock is halted or delisting. These institutions, actually holding amc like blackrock and vanguard, may be forced to sell off their positions because they won't be allowed to hold stocks that are delisted from the stock exchange.

Obviously, blackrock and vanguard won't be very happy about that and will kick up a giant fuss. The word of blackrock and vanguard holds a lot more power than the word of citadel. In this case, blackrock and vanguard are some of the largest shareholders for the majority of stocks in the entire market. Blackrock and vanguard also manage the majority of money for a very, very large population of the us, and i think this is why gamestop and amc weren't de-listed and the sec didn't suspend trading back in january of 2021 and june of 2021 as well.

I don't think the gamestopper amc will be randomly de-listed by the sec or by the nasdaq, because this would significantly damage the investments of not just us, but more importantly, blackrock and vanguard guys be sure to. Let me know down in the comments below whether you think gamestop and amc will be delisted or trading suspended during the squeeze 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 the notification bell, because that way, you'll be alerted when i upload a new video cheers.