Okay folks, so we've got a lot to talk about. Number One: We got to give you the latest on the market number Two AMC and that's going to be the main entree today. AMC Stock is trading at its lowest level since early January 2021 before the original massive meme craze had started. and this is despite many other companies having huge Euphoria rallies this year and a record year for the stock market.

It's also down some 24 on the day and the next few days are going to be huge for AMC stock. we're going to break down exactly what is going on, what is going to happen, and what you need to know. I'm also going to be concluding with my prize forecast for where I think AMC stock is going to be trading at this week and then into next. Let's get to work and I will put all the time stamps down below.

Okay, let us go ahead and start with the latest on the market. so markets try to rebuff the downtrend a bit today. But overall for the month of August U.S stocks are set to snap their longest span of monthly gains since 2021, a five-month winning streak, and this is the worst month since December 2020. D2 You look at Goldman's Prime book, you're seeing a lot of Short Selling not much in terms of short covering.

Meanwhile, the Lovely Vix has been trending down all year and has been on a very, very steady reversal to the upside signifying rapidly increasing uncertainty. When will this pick up an uncertainty end? Well, it's hard to say, especially now that 30-year yields are breaking through the supposed Goldilocks range of 3.6 to 4.1 percent. 30-year yields have been kept down for much of the last year because of an expected Fed pivot, but that's no longer expected. At the same time as we've been talking about, history does suggest that you do tend to see stocks sell off in any sort of year Where you have a 10 rally by June, They tend to sell off into August and September and October and then in November and December you tend to have a big rally rally tone.

So what are your thoughts on? The sell-off isn't going to continue. You can let us know in the comment section down below, we love hearing from you Relentless Perma Bear headline Grabber Michael Burry is back and reportedly using around 90 percent of his portfolio to bet on a market collapse before 20 2023 ends. Mr Burry bought 866 million dollars input options against a fund that tracks the S P 500 and 730 million dollars input options against a fund that tracks the NASDAQ 100. So Michael Burry is betin' pretty damn hard in putting his money where his mouth is that we're actually going down by the end of the year.

Will he be right this time? Well, you can let us know down below as well. Okay, EMC so I Want to start by saying that AMC stock even today is one of the most extreme short squeeze setups out there. Or Texas estimated short interest as a percentage of free float has been steadily climbing despite the stock going lower and lower. Which means if it goes back to levels it was at just a year ago, shorts are going to be completely punched in the gut with a level of strength we haven't seen in a long, long time.

Costa borrows at some of the highest levels it's ever been, which means it's more expensive and more risky than ever to be a short seller, at least from this standpoint. And we are also in a period where failures to deliver on shorted stocks are at some of the highest levels ever, which tends to be a huge, huge symptom of naked short selling, right? Remember, a failure to deliver its way and you've shorted a stock, but but you didn't actually have that chair to short in the first place. It's also on the threshold list for the settlement issues as well, and it's also traded at multi-year low. So from a rebound squeeze perspective, one could say that AMC is one of the most extreme and ripe setups right now.

The confounding issue here, though, unfortunately, is really the coming conversion and the upcoming dilution. And if I was to sum up exactly why this stock is selling off so aggressively before this conversion and dilution even takes place, well, it's pretty clear in my view it's because predatory hedge funds are dumping more shares onto the market at a much much more rapid clip. Knowing that after the conversion happens later this week, the next stretch is going to be the long-winded road to more and more dilution and their betting that the increase in shares is going to cause prices to fall even further. But wait.

Okay, back up a second. Maybe you haven't been following what's going on with AMC This is from the street quote AMC Now has the green light to proceed with the conversion of Ape shares to AMC shares and to execute its planned reversed log splint. Nearly 1 billion outstanding Ape shares will join the 519.19 million AMC common shares, pushing AMC's total share count to approximately 1.514 billion. In other words, current shares will be diluted by about 90 percent.

Let me read that last line again. In other words, current shares will be diluted by about 90. Okay, so this is the big problem, right? Number one: you have very, very heavily diluted Ape now rejoining AMC Which means that all that dilution is going to catch up to AMC. Of course, it's being factored in ahead of time, but that is essentially why it's being factored in ahead of time.

And then the second problem is okay. Well, once they've been combined all of a sudden, you're going to get into the situation where AMC is going to push for massive, massive dilution of AMC common stock. so you have the old dilution rejoining AMC and factoring in that old dilution. and then you have new future dilution that's going to dilute everybody.

Now, if you've watched my previous AMC videos over the last couple of weeks, you know that I'm very, very critical of this move because AMC does not. They do not need to raise Capital They company raised hundreds of millions of dollars with Ape, and now that they are profitable and have over 600 million bucks in reported liquidity, they are signaling they want to raise even more Capital which to me just doesn't make much sense. especially considering that again, we're at multi-year lows I Don't know why it is, but for some reason, every single time AMC has any sort of rally. the management wants to make sure that you know they need to dilute as soon as possible.

And unfortunately, they've been like the biggest insurance policy for short sellers that have gotten themselves in Corners again and again. Every single time it gets really, really, really hairy. All of a sudden, AMC's management bails them out. A recent example happened just a few weeks ago when a judge temporarily blocked the key conversions settlement the stock Rose Dramatically.

But then the board got right back on it and resubmitted that proposal and it got approved within weeks. And now the price has gone down another 65 percent since those highs. After that Court ruling, and in fact, over a year ago, I made many, very, very, clear videos warning that it's not just the short sellers who are enemies of a squeeze here. but unfortunately it is the management themselves and I thought I made it very, very convincing case back then.

But now it's a lot more convincing because again, AMC does not need to dilute anymore. Yet, they're doing everything in their power to make sure they have the ability to dilute massively now. I'm not saying that management is working with short sellers. No, definitely not.

That doesn't make any sense, but what I am saying is they're making so many dumb decisions and they're playing such aggressive defense and or they're just so incompetent that essentially they're just given handouts to short sellers. My argument against dilution in AMC stock at this point is very, very straightforward. Retail has bailed out AMC the last few years AMC is now profitable. It's now time for AMC to bail out their retail investors.

AMC Got to benefit massively from the meme rally. the CEO got to dump a massive amount of his shares at really, really high meme prices. Short sellers that shorted very very high up had massive, massive profitability on the way down. Seems that everybody won with this play except for the retail shareholders.

AMC Shareholders have been treated like dogs by management, by short sellers by the entire system. So yes, love it or hate it. My view here is that dilution is completely unnecessary. Given again, they have huge liquidity, no need to pay back debt for years, and are profitable and more so I Think it's quite frankly Reckless and embarrassing given they'd be raising Capital at multi-year lows while the company itself is doing business at multi-year highs and in some cases, all-time highs.

especially considering that this is from the same CEO that decided to put tens of millions in a random gold mine last year before the company even returned to profitability. I Mean they were in a far, far worse liquidity situation then. Now they've already raised another 600 million dollars in liquidity, largely because of AMC's retail shareholders. Yet they're stressing now that they need to raise a lot more.

Capital They're stressing now that it's a very, very dire situation. Come on, give me a break. It's just quite frankly, never enough. But that is my viewpoint on management.

I Think that you have a great squeeze set up with AMC but I think that management has been very, very, very trigger happy on diluting as much as possible whenever possible and always pushing for it no matter what the situation. Okay, moving on. let's talk about what's coming next on: August 24th Thursday Class a common stock for AMC ticker symbol AMC will have its reverse split one for 10 if it is trading at three dollars at the reverse split, that means it'll be trading at thirty dollars. so you just multiply by 10 and then you have the last day of trading for AMC's ape units.

Then on August 24th April no longer trade on the NYSE and the conversion of Apes into regular AMC shares will start. So what is my prediction on what's going to happen here price wise with AMC stock? Well, I Think that after these events are completed and you head into next week, maybe Monday or Tuesday What's going to happen is you're going to see a rally from the new reverse split price. Why is that going to happen? Well, because you're going to have a whole new round of attention on AMC and everyone is going to see the higher price per share and all of this conversion stuff being behind us. And based on how everything is trading right now, it seems like the combined price is going to end up being a good deal lower than expected.

which means a lot of people are going don't want to buy the dip and so that attention, the dip, and the overall situation being behind us is going to cost them. Euphoria rallies for AMC stock. But then over the coming weeks the story is going to change a lot. You're going to quickly get back into the situation where new rounds of dilution start being feared and Adam Aaron will signal his latest plans for that.

and then you're going to see another sell-off. I Think it's not a question of if there's going to be more dilution, but how much is the dilution going to be? And the more that you dilute, the less that you can make any sort of reasonable case for any sort of squeeze happening anytime soon. It is my viewpoint that if AMC's Adam Aaron gets what he wants, there's going to be so many shares everywhere that you won't even be mentioning the word squeeze with AMC ever ever again. Hope I'm wrong.

But if I'm not, well, that means that the last remaining Arbitrage and trading opportunity for AMC stock and a potential squeeze is going to be over those next coming weeks. Anyways, folks, let us know what you think down below about AMC Are you buying? Are you holding? Are you trading? Let us know what your thought process is on the stock. Have a good one folks, and we'll see in the next one. Make sure to sign up for our completely free email list and sign up for free text alerts down below as well.

.