Okay folks, you know what they say. you could take the squeeze out of the market, but you can't take the market out of the squeeze or something like that in the dark shadows of Darth Powell. We the peasant retail traders must brave the seas of death and destruction and conquer the squeezes that may come out of the wasteland. They go up massively until they don't anymore, and then they go down and they go down massively.

It's really a beautiful process, certainly not for everybody. but if you can trade the moves and not let the moves trade you, you can have a fun time. And in the last few days the people have asked for one specific ticker. The B of the big Bbig will explode.

Bbig is my play baby. Notorious Bbig is going to get spicy Bbig. Wondering if I should buy back in Bbig to 40? Bbig is going to be B-b-i-g Madame Bbig is a stock that is trading at about 259-ish right now that has a big catalyst coming up on Wednesday, but more important ones coming up on the end of the month. So what are my thoughts on this setup? I mean, it rallied up a couple weeks back to 418 on the sheer announcement of these catalysts, and now with the risk-off taken, it's erased nearly all of those gates.

And in fact, the same catalyst that is happening this month originally caused the stock to go all the way up to 12 49 early last fall when people were speculating that it could happen soon. Now, we're actually in an area where it's about to happen Obviously different time and completely different market. But if you're looking at the stock right now in the sub three dollar region, you'd be right to ask. Well, is there more to run in the setup? Is this going to be a big deal? A B Big deal.

We'll discuss my take. Okay, so Bb Ig. Now the way that I see this stock is it's sort of like you have this gas station that has been leaking gasoline all over the place. History suggests that this gas station is very, very prone to explosions.

but with just gasoline leaking everywhere, that's not enough to have an explosion. You need something that ignites the gasoline, someone to light a match that starts a fire that goes and explodes the whole damn place. And in this market where you have a tsunami of capital leaving the market and going and essentially washing away a lot of setups that have a lot of gasoline in them. Well, oftentimes the setup has to happen fast, or it never will.

So if you're unfamiliar with the B of the big, here's the deal. Bbig is Vinco Ventures. Vinco Ventures acquires brands and tries to transform and grow them. The Big in Bbig literally stands for buy, innovate, and grow and that's their goal.

They've getting a lot of attention since the fall because of their plans to spin off Kryptide and of course the strong short selling interest that has ignited a strong retail following. But you look at their past, you see what, while you see spiky, spiky pump and dumpy back and forth, Why does a stock have such strong back and forth spikability? Well, there's a few reasons because you have some sort of weird irregularity of supply and demand when buyers buy in. to play a catalyst, they chase a very limited and locked up number of shares aka available float that of course short sellers have already dumped onto heavily already. The other dynamic here is the flood is just not that big compared to how much demand comes into this all at once and the float just can't take that available demand.

So you get a spiky spiky and then as a little bit of time passes, that buying pressure is absorbed very, very quickly and it starts dumping again. But here is the data on short interest because that is an important part of the puzzle. Bbig short interest, according to Ortex is around 16.88 of free float, which again, doesn't sound like a lot, but you consider that utilization is at near 100 now and that they've had a hard time really finding new borrowers to short this with to the extent that with only 29 of the free float on loan, you have cost to borrow averaging at 257, it creates a completely different picture. We now have more shares on loan than ever before, but utilization is maxed out, suggesting that everything that shorts can figure out how to throw at this they are.

Which is something that we like to see because if you have short sellers attacking something heavily, what happens? Well, it means that every single buy order fights against short sellers that have already dumped a lot on this. which means you get a multiplying of buying pressure. the more and more you lock up a float. what are you doing? You're really locking up supply.

And so if you get a huge spike in demand, that demand goes a lot farther. Now, Historically, the argument in terms of a bullish scenario when it comes down to this kryptide spinoff was that all of the short sellers who were short this would have to pony up some dough, pay out the cash value of dividends on shares that they were short. The idea is that would hurt their risk profile by forcing them to pay something out and also reveal if there's naked short selling because if you're a short seller and somebody distributes something, you have to be able to pay out the cash value of that most of the time. And while that argument is true, I think that the argument for that causing a massive rally is a lot weaker right now.

and it will be unless you get some real buying pressure around these actual catalyst dates. The only way a spin-off is extremely risky for short sellers is if it comes with an overall increase in the share price. Traditionally, I understand that there's this idea in squeeze communities that things just squeeze on esoteric grounds. Something just happens.

and poof. You get a squeezy mcsqueezy sort of like the fate that's written in the skies. Like short sellers just didn't see that coming, that there was some big esoteric bean that was going to make everything squeeze, otherwise they wouldn't assured it in the first place. Right now, I'm not a believer in that.

I believe that you need to have something that actually squeezes the stock. If you don't get something that's actually squeezing it, then it's not going to squeeze number two. Again, my gas station analogy. You could have gas all over the gas station.

But if something doesn't ignite, if something doesn't create a flame to ignite that gasoline, well, it's not going to explode with this stock. It's no different if you're looking at a squeeze setup. If you're looking at really any setup, you have to judge its ability to attract buyers. So here are the potential catalysts that are upcoming for Bbig on May 18th, Each Vinco Venture stockholder of record as of close on that business day will receive one share of Kryptide Common Stock for every 10 shares of Vinco Ventures Common Stockhill.

On May 27th, you have the actual distribution date, which is when the share dividend is expected to be distributed and tide will be traded on the market. There is some chance that it ends up getting distributed after the following three-day weekend on the 31st. but so far the expected date according to the company and everything that you have seen in terms of press releases is the 27th. But they did say expected, so have in your mind that it could be delayed.

I would not be surprised, especially considering their past. Now they did disclose that the price of Bbig is expected to fall following the distribution. Why? Well, mechanically, it makes sense if you have a Bbig today that has Kryptide and a Bbig tomorrow that doesn't have kryptide. Well, all of a sudden the Bbig of tomorrow isn't worth as much.

Kryptide is taking a business sector of Bbig and it's also taking some cash with it. So all else being considered equal, you would expect Bbig to sell off post spin-off Now obviously, if you're somebody who's holding Bbig and you get distributed out the dividend via a cash payment or via the actual dividend itself depending on when you bought the stock. Well, you don't care too much about that because at least you're getting the equal value distributed out to you. Something to keep in mind.

Then May 28th and 30th, you have a Memorial Day three-day weekend which allows three days for the financial media and social media to spread articles and awareness of this distribution. This should be something that is very, very positive specifically for Tide. Something that could cause the early days of Tides trading to see a lot of inflows and a lot of short-term trading opportunities before you get an inevitable dump. Okay Charlie, but what are your thoughts on the actual chances of a new rally and what are the crucial points? Well, let's go over to the options chain or as they say, in France, the chain of options we We options chains are incredibly useful because they can help us play four-dimensional chess Chesito and see where markets are expecting prices to move.

You go over to the May 27th contracts which expire right on record date. implied volatility is plus or minus. one dollar and four cents. You go over to the June Third Contracts Implied volatility is plus or minus 1.21 cents on the wider range Into June 3rd markets are reasonably expecting Bvig to be trading at anywhere between a range of 1.46 to 3.98 cents.

You plot that on a chart. This is what you get. You get a very, very low support and then you get a resistance level that is a lick below the previous hype rally where Bbig first announced these catalysts. So if you want to get into that area where you're primed for a market upset, a market upset that causes a spiky, spiky Bbig needs to start anticipating a break of that upper band and then ideally actually break it.

And at that point, the market's expectations have not only been shattered, but shorts are getting their rears handed to them and you have this legitimate spin-off adding euphoria to retail and fear to short sellers. I see the real game with Bbig as being before the 27th. I think before that you have some big tailwinds pushing in your favor, But after that and after the spin-off you start getting into this area where all of a sudden Bbig no longer has kryptide as a part of it. That Catalyst is behind us.

The stock on its own would drop anyways. and in this overall market, people know that runs, they don't sustain themselves, so you start getting profit taking a lot earlier than otherwise would have. So my view, if you want a really strong, pre-anticipatory run, it needs to happen before the 27th and it needs to hit these crucial levels. At those May 27th expiration options, you have a ton of concentration at the three dollar strike price, the 350, the four, and then it drops.

but then it goes back up at five and Six dollars. What does that mean? Well, it means that if you actually get an extended breakout past those levels that we just mentioned and those strike prices at least making it look like you're going to get to those strike prices. Which means that market makers have to increase their hedging for those levels. Well, all those options getting close to expiring and actually expiring in the money could cause some of the most aggressive gamma squeezing pressure that we've seen, But you need a lot of buying pressure around this real catalyst.

And then you have to start hitting those levels where some of these lower probability, higher strike price call options start expiring or looking like they're going to expire in the money. Meanwhile, all at the same time, you've dramatically passed the upper threshold for implied volatility in contracts that don't even expire for a week out. Now, just to close out the video, going back to The Catalyst, I think that record date could easily pass without much hubba Bubba. At this point, I think that Bvig is kind of cooling down right now.

people are kind of pushing it to the sidelines. but what you want to pay attention to is whenever the cycle of attention starts to pick up again, people are almost certainly going to be focusing on that distribution date, which is on May 27th after that Memorial Day Week, and you start seeing huge opportunities and tide before it massively dumps. And perhaps after Bbig has adjusted downward for the spin-off, you start seeing a few more hypey-hypey rallies for the Stalk. But I would argue that the best trades with this and the most risk adjusted are probably going to end up being before May 27th.

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