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FINALLY! 馃敟 MASSIVE AMC "FAIL TO DELIVER" DATA UPDATE 馃敟 - AMC Stock Short Squeeze Update - YouTube
Channel: Thomas James - Investing
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welcome back to the channel everyone today i've聽
got some absolutely ridiculously incredible news聽聽
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about the amc stock today i'm going to be talking聽
about the recent failure to deliver data that was聽聽
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just announced and how actually this data impacts聽
the current fails to deliver as of today sunday聽聽
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the 4th of july trust me guys you do not want聽
to miss this so stay tuned and let's make some聽聽
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money before i dive into the video i just want to聽
give a massive shout out to the 750 of you that聽聽
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currently ding that notification bell because聽
you guys are always the first to watch a new聽聽
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video as soon as it's released so guys be sure to聽
drop a like down below subscribe to the channel聽聽
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and ding that notification bell because that way聽
you won't miss another video just like this one聽聽
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so guys i want to dive straight in with the key聽
information as you can see this is the fail to聽聽
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deliver data for the first half of june we can see聽
a massive spike in the failure to deliver up to聽聽
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5.4 million failed to deliver when the amc prize聽
was spiking however for the rest of that first聽聽
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half of june we saw a much lower level of failure聽
delivers around 1.79 million shares 1.2 million聽聽
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1.4 million a rock bottom low of only 50k up聽
to 1.1 million and then flat around 300 000聽聽
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failures to deliver now you might remember that聽
amc stock was recently added to the nyse threshold聽聽
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securities list which is a list of companies that聽
have had a lot of failures to deliver in the past聽聽
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few days it was added on the 24th of june or聽
the 25th of june sorry because on the 24th of聽聽
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june that amc stock wasn't there therefore聽
it was added on the 25th of june there is聽聽
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and it's still on that list as of friday the聽
2nd of july that means it's been on that list聽聽
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for one two three four five six days so far if you聽
didn't already know a threshold securities list is聽聽
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a list of securities whose transactions failed聽
to clear during the previous five trading days聽聽
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these settlement failures may be indicative of聽
naked short selling although it's not a hundred聽聽
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percent indicative because they could be caused聽
by benign factors such as administrative errors聽聽
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a failure to deliver is simply the inability of a聽
party to deliver a tradable asset whether that's聽聽
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on the long side as in just selling the stock that聽
you've previously owned or on the short side going聽聽
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short on shares that you don't yet own in terms聽
of how you get on this threshold securities list聽聽
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there have to be aggregate fails to deliver聽
a registered clearing agency of 10 000 shares聽聽
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or more per security and the level of fails must聽
be equal to at least one half of one percent of聽聽
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the issuers total shares outstanding now in terms聽
of amc they have 513.33 million shares outstanding聽聽
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multiplying that by one half of one percent is聽
2.56 million shares as in there have to be at聽聽
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least 2.56 million fails to deliver on a daily聽
basis now to get on this threshold securities聽聽
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list on friday the 25th of june there must聽
have been sufficient failures to deliver for聽聽
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the previous five trading days and therefore聽
it all started around monday the 21st of june聽聽
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as we had one two three four five days of failures聽
to deliver six seven eight nine ten days so far聽聽
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but what happens when we get to 13 days聽
well from the sec website although as a聽聽
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result of compliance with rule 204 generally a聽
participant's failed to deliver position will not聽聽
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remain for 13 consecutive settlement days if for聽
whatever reason the position does remain for 13聽聽
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consecutive settlement days the requirement聽
to close out such position under rule 203聽聽
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b remains in effect rule 203b of regulation聽
sho requires that participants of a registered聽聽
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clearing agency must immediately purchase聽
shares to close out failed to deliver positions聽聽
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in securities with large and persistent failures聽
to deliver and therefore if the big hedges or the聽聽
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big institutions reach that 13 consecutive聽
day period then the clearing agency will聽聽
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forcibly close their short position by buying back聽
their amc shares but here's the really interesting聽聽
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part to get on that threshold securities list聽
there have to be at least 2.56 million fails聽聽
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to deliver on a daily consecutive basis if we go聽
back to that failure to deliver data that was just聽聽
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released for the first half of june there was only聽
one singular day throughout the entire first half聽聽
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of the month where the fails to deliver exceeded聽
2.5 million shares we can see that for the rest聽聽
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of the month the fail to deliver position was only聽
around 1.79 1.2 1.4 million shares and therefore聽聽
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with only one day of fails deliver or one day聽
of high failure to deliver the amc price spiked聽聽
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massively therefore when the second half of this聽
month's data gets released we're going to see a聽聽
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massive spike upwards in failures deliver to聽
at least 2.5 million shares per day failure聽聽
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to deliver maybe even higher maybe even 5 million聽
shares maybe even higher and it'll be for at least聽聽
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so far 10 consecutive days as well and therefore聽
we can see the hedges and the big institutions聽聽
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are trying to throw absolutely everything they聽
can at the amc stock to try and crush it they've聽聽
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obviously been having these failures to deliver聽
of over 2.5 million shares for days on end and聽聽
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they really can't seem to budge the amc price as聽
we've been holding in this range between 50 and 60聽聽
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for a few weeks now when that 13 consecutive聽
day period is over and the hedges are forced聽聽
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to buy back those failures to deliver the聽
amc price is going to absolutely skyrocket聽聽
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13 consecutive days will be the 8th of july which聽
will be around here very close to the end of this聽聽
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bullish pendant therefore when the hedges and the聽
institutions are forced to cover their positions聽聽
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i expect this pendant to break upwards and the聽
mc stock to push on to new highs over 72 over 77聽聽
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maybe even over a hundred dollars and even higher聽
we can see here from the dark pool data on stock聽聽
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grid the net short position has been decreasing聽
on a daily basis and therefore the hedges are聽聽
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absolutely running out of fuel to add to their聽
short fire at one point the net short position聽聽
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was around 30 billion dollars but as i said it's聽
been decreasing on a daily basis with some days聽聽
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they weren't even net short they were net long聽
this next short position has decreased massively聽聽
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from around 30 billion dollars to only around聽
18 billion dollars part of that is because the聽聽
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hedges haven't been adding more fuel to the fire聽
and they've actually been closing some of their聽聽
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short positions here but it's also because聽
the amc stock price has fallen slightly the聽聽
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price here for the amc stuck was around 58 dollars聽
whereas here we obviously closed at only around 52聽聽
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however the all text data for amc is still showing聽
an absolutely massive estimated current short聽聽
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interest position of around 93 94 million shares聽
that has been increasing albeit by small amounts聽聽
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guys if only one day of over 2.5 million fails聽
to deliver can do this to the amc stock price聽聽
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imagine what 10 consecutive days of over 2.5聽
million failed to deliver will due to the amc聽聽
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stock price when the hedges and the institutions聽
aren't trying to hold the amc stock down when聽聽
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the hedges are forced to cover their failure聽
to deliver position after 13 consecutive days聽聽
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and when the hedges have fully run聽
out of fuel to add to their short fire聽聽
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the amc stock price is going to absolutely聽
explode guys if you want to pick up some聽聽
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shares in amc but you haven't even yet signed聽
up to a trading platform be sure to check out聽聽
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the links down in the description below to聽
get some free shares whether you're in the uk聽聽
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or in the us or even in europe you can currently聽
get two free shares with up to one thousand eight聽聽
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hundred and fifty dollars with weeble at the聽
moment if you're in the us and a free share聽聽
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with free trade worth up to 200 pounds if you're聽
in the uk or in europe and as always guys if you聽聽
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enjoyed this video be sure to check out some of聽
my others alternatively subscribe to the channel聽聽
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