AMC Entertainment Holdings Inc (AMC)

[fourdint]

I would first like to correct a bit. At 4.1m we owned the float and the shorts they were dumping. At 5.1 we still own the float and all the shorts they are dumping. APE are holding and buying all the shorts.

Under normal market conditions, if float is held, and someone wants to buy, the price moves up to where someone holding is willing to sell, the ask. It's simple supply and demand of a limited commodity, the stock. That is normal but AMC is not normal else you would see PPS in the $1000s already, because the limited shares are held and not selling.

What shorting does, particularly nakid shorting does, is make the stock not so limited. You can buy here only because a short is selling. This keeps and even drops the price because it is artificial supply for the demand. But the thing about shorting is, they have to eventually cover their shorts, that is buy back thoes shares. Going back to normal trading, buying of shares held by people at the price they're willing to sell. So it really is simple = HOLD.

Could shorts, naked shorts drive the price down to $5 ... probably with unlimited supply. BUT, the thing to remember is they do have to eventually have to buy back all thoes shorts. So it's just delayed buying price action.

It's a game of attrition of who caves first.
I'm not caving because I know they *have to* (not just want to) buy my shares. Frankly, I bought more at $60 and have finger on triger to buy more here too. You see current PPS (unless you're scalping), fundamentals (unless it is going BR which it isnt), even technicals don't really apply here. All that applies is shorts have to cover and it Doesnt get any simpler then that!