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FORUM INDEX Join The Discussions AMC Now I’m Concerned About Lou… Reply To: Now I’m Concerned About Lou…

  • kwjohnstone

    Member
    June 4, 2021 at 10:39 pm

    He doesnt grasp how the squeeze will work.

    We will set prices.. They will start paying for naked shares, before they ever touch a real share.

    Then people’s shares will start to be sold off… Eventually, so many people have exited… that the remaining 501m x 80% +/- some odd percent, will all be true $amc shareholders and be holding.

    IF the HF are still indebted on the short side and still under margin call, they will have to continue covering their short position.

    Here is a math hypothesis.

    Lets say they are leveraged 4 to 1 on amc.

    That means they will have to cover 1.5 billion synthetics and 500m actual shares.

    Every single person will get paid that sells.

    They can make money on the way up by buying long positions and selling them off, as well as long call options and selling those too.

    But that would mean they would have to stop shorting and stop buying puts.

    Squeeze is happening. Dont worry. As long as 90% of people hold.

    IF in fact people sell, and there is all this crazy volatility allowing them to create wealth in between the squeeze. It will not happen.