Replies to post #22623 on AMC Entertainment Holdings Inc (AMC)

[Hikerbc]

The DOMINOE EFFECT -

Think that a hedge fund gets called on margin on one shorted stock; scenario suggests they come up with cash; if not sell stocks they are long at, if..not close out short position (perhaps broker does it)...this action causes price rise .....hence further margin calls, maybe other hedge fund over leveragedd gets margin called......

.might lead to short covering to close shorts in other stocks, hence further price rise of shorted stock(s); in turn could cause margin calls to other hedge funds who are not as over-leveraged as the first.

This could go on and on, like a chain reaction, ......until the total system is cleaned out.

I think this might be considered a great potential transfer of wealth....

HB

[Capsule]

This is misleading information. If this were true, this “formula” would of been abused over and over by HFs, causing their own “in house” squeeze.

Even if 35M shares were purchased, that changes what? slight price increase, yeah.

Volume helps the squeeze but NOTHING will happen until the HF start covering their positions.

Also, I don’t have a GME position but again, how is GME dead? You keep saying this as if you have the answers. GMEs float has been sold several times over without HF covering their shares.

Keep in mind.. if HFs have to cover 100M shares... for every $1 AMC descends, the HFs are saving $100 Million dollars.

If it cost them $20 Mil to ladder attack it down $1 dollar, they are still saving $80 Mil if they were to cover at said price, considering if they need 100M shares to cover.

This will happen over and over and over and over again. Until either their brokers or the SEC forces them to cover.

You’re keep saying you’re long on AMC but what you say everyday contradicts it.

Either sell and move on or wait. Crying about it changes nothing but the entire mood of the board reading it.