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Re: eastunder post# 105812

Friday, 08/05/2022 2:06:57 PM

Friday, August 05, 2022 2:06:57 PM

Post# of 143101
While that is possible it’s not the definition of a gamma squeeze.

Here’s a definition that actually includes using AMC as an example:
When stock prices experience rapid shifts, the conditions may be ripe for a squeeze. In this scenario, investors may find themselves buying or selling shares of stock outside their normal trading pattern in order to minimize losses. A gamma squeeze is an extreme example of this, in which investor buying activity forces a stock’s price up – often quite sharply. That’s what happened in early June 2021 as shares of AMC experienced dramatic, sudden gains. Gamma squeezes are often associated with options trading and they can be problematic for investors who don’t fully understand how they work. A financial advisor can provide advice on various investing strategies and your portfolio.



https://smartasset.com/investing/gamma-squeeze

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