Okay folks, Violence. So Bed Bath and Beyond. Bed Bath and Exploded today. It went from a lovely 15 bucks in the pre-market to just under 29, which was a near double in a few short hours.

It also nearly 3xed from our original briefing price last week, but who's counting? In today's video, we need to violently discuss the play-by-play on what happened and what is going to happen moving forward based on the data that we have available to us. Is there more room for bouncy bouncy after that market closed dump? or is the play over? what does the setup suggest? Let's get right to work. So Bed Bath and Beyond was certainly on fire this morning. I thought about driving down to their store and getting one of those little misty fans that they sell to cool myself down because I just couldn't take all the heat.

But alas, I found it cheaper on Amazon. Maybe the shorts have a point, but anywho, yesterday we were talking about the crucial price points designated by the options chain In short, position profitability at 20 dollars all the way up to 25 and 27. and she just completely blew through every crucial price point in a single day. and really, just this morning.

Luckily though, don't worry, the halt system did kick in up here, so Triple B Y holders were protected from too much profit. You wouldn't want to be too profitable on a position, right? But think about the play-by-play here. She opens in an upper direction over our red directional Sma on the daily consistently builds momentum breaks the previous day highs at 1704, and then she really starts skyrocketing. She pumps to 20, takes a slight break to catch her breath, and then boom, she launches.

Just a totally violent and obnoxious assault, going all the way up to 23 and then to 28.. the brunt, intensity and velocity of this run designates what, well, a likely Gamma squeeze. We were talking just yesterday about how if the massive concentration of 20 strike calls looked to be expiring in the money, then market makers would be hedging rapidly to stay neutral, especially as you got into higher and higher strike price areas. And the speed at which it broke not just 20, but deep past 25 is something that the best gamma squeezes are made of.

Yesterday I told you the story about how my Grandma effectively grandma squeezed the company by collecting tons of their coupons and then deploying them in mass. But unlike a grandma squeeze, a gamma squeeze is actually quite good for the share price. But take a moment to appreciate what happens during these areas. Here For a moment, the market makers could not find enough shares to fulfill orders while market orders continue to flow in, desperate to buy at any price.

Thus, buy orders were chasing the few shares available to higher and higher and higher pricing levels. Oh, it's just beautiful, isn't it? Some people like the Mona Lisa, but for me, I like the squeezy Mcsqueeze charts. Then boom, the evil halt comes in and allows market makers to catch their breath and liquidity to be more adequately found, allowing the spiraling pricing situation to be put to rest. And usually people panic sell after halts, creating even extra liquidity that causes the price to really go down.

But think about what would have happened if hults weren't a thing here. the longer a liquidity spiral is left to spiral, the more exponentially fast it spirals out of control. Another few minutes of this being left unattended and you would have been at 35. Five more minutes, you'd have been at 50 and then perhaps even higher.

You look at how each leg of this run progressed. You start at mixed, then weak, then stronger, then very strong, but bumpy, and then perfectly straight up. Imagine based on this trend progression what the next leg would have been like. It would have been a gap up.

Once you're already going straight up. All of a sudden, the next step is just a massive gap up. Of course, markets don't want that to happen and you had the two circuit breaker halts this morning. the one at 11 27 A.m which tanked the moonshot run and then the one that stopped the massive drop in the aftermath at 11 37 a.m Now, of course we can complain about hults and say they're evil, but it's kind of like a referee in a game.

Sometimes the referees play fair, other times they don't but they still are always in the game. And with this this is a pretty standard halt that is given based on a certain level of volatility. But anywho, the past is the past, What about moving forward? Well, today, you flirted over that latter March peak and you're another solid day from hitting the early March peak. And once you've done that, you're just a boot kick to January 2021 highs at over 50 bucks.

And you look back at those borrow fees they were high yesterday. Well, today they are now higher than they were back in the year that set up the early 2021 squeeze rally. You go over to the Lovely Options chain. Yesterday we showed all of these concentrated contracts that were quickly getting into the money.

and today Triple B Y thrusted itself so deeply into the money that every contract from strike price 16 to now 25 26 is in the money, right? or rather, was in the money before the dump. Concentration of open interest at 20 and 25 has expanded rapidly. Rapido and importantly, you are also seeing a huge pickup in concentration at strike price 30. yesterday this was at 11 000.

now it's at almost fifteen thousand, so you are continuously seeing more bulls, get well, more bullish, and anticipate even more momentum to come. Here's the problem though. When you have a lot of low probability, out of the money, options become very, very high probability. Well guess what market makers then have to go and figure out how to hedge the chance that they're going to have to pay out.

which usually results in shares being bought and does what helps shoot up the share price in a gamma squeeze. But that dynamic works in both ways. The opposite is also true if all of a sudden a bunch of high probability likely to expire in the money and need payout options become much much much lower probability. Well, all of a sudden the hedging maneuvers that the market makers took can be reversed.

Which means all of those shares that they bought to hedge can now be dumped onto the market, accelerating downward the downtrend. Once you have already gamma squeezed. all of a sudden, the gamma squeeze that got you where you are is now a huge liability once the stock starts going back down. which is exactly what we saw towards close today.

You saw the overall market tank and spur and exodus of spec capital. Then you saw people taking profits, and then you saw a reverse gamma squeeze if you will. To the downside, that said, if markets try to play that same gamma squeeze playbook that they did this morning, well you still have a lot of concentration at strike price 30. even more than before actually strike price 40.

And of course, the most concentrated of any price right now is contract at strike price 45. And of course, now that the stock is dipped back down, you also have those speed pads at strike price 20 and 25 ready to be rolled over again. Did you folks ever play Mario Kart in the game? You are racing and if you drive over those little nitro speed pads, they dramatically accelerate your speed and help you win the race. Well, that's kind of exactly how Gamma squeezes work.

If you can drive over those ramps very, very quickly, all of a sudden you get nitro boosted. Of course you need some demand to actually drive the vehicle forward to go over the ramp, but if you do that, there's a lot of little nitro boost ramps, so net and in effect, you do have that laid out there in front of us if the momentum continues. And just to show you how unprepared the options chain is for this move that we just had this morning, you go all the way out to September. You don't even have contracts that go past the 26 strike price That was not even theoretically thought possible a few short weeks ago, or really, even last week literally at peak this morning, everything everything was in the money going out to September, with the exception of the weeklies this week.

So almost certainly this has been a huge, huge shock to the market-making system. And if Bbby continues to go on to another momentum rally and God forbid makes another peek, I think this is going to be a disaster for market makers. I think this is going to be a disaster for short sellers. I think this is going to be bloody.

My thought process, though. this has been one of the biggest, most consecutive and strong without a breath runs that we've had all year in any major meme name, and there's several big things that can derail this on a dime. Number one, the biggest threat is of course, a share offering. This is an excellent time for the company to raise some extra capital to boost up their balance sheets, which really need some boosting.

In the past, the company has been very, very reluctant to offer new shares, but this is about as good as the time that they may ever get. The other threat is probably a new meme trend, taking away attention and capital from this one. That's usually what happens. You get one that's massive and then all of a sudden people get diverted and they go to other ones and those end up running, which if that happens, we'll start covering those two if I start seeing them.

There is also the very real threat of the macro environment rapidly shifting again, which could derail this as well. So if you are going to attempt to play some more rebound rallies, my take is that you want to make sure that you don't end up bed, bath and bag holding. Make sure that you have a clear and concise trading plan before entry, and make sure that you have a minimum proof of concept before entering and then also when you start seeing that proof of concept go out the window, make sure that you're cutting losses quickly. These are just my thoughts and my opinions, but I think that people that go and they decide, oh, I have to hold this to the moon.

and if it's not the moon, I'm willing to lose everything. I think that's not a good strategy with this. Who cares if somebody on Reddit or Twitter makes fun of you? because oh no, you didn't hold to the moon. And before I cap off this video with a few things to think about and why the Bart Simpson pattern that is forming is so crucial to watch.

I do want to give a quick plug. If you want to learn how to find, plays yourself, how to actually analyze setups, control your entries and exits with clear plans, risk manage, and of course get access to our daily morning briefings and full price target list. I will put a link to Zip Trader you below coupon code. Recession 50 will get you 50 off.

The briefings are one of the most popular features and you'd be surprised at how powerful it is to wake up with the battlefield already laid out for you. Now of course we can't find every battle, nor do we tell you what to trade, but it's very, very important to be able to narrow down all of the noise and focus on the most actionable setups. Triple B Y, for example, is up almost 3x today from where we had briefed on it last week. Obviously, again, we're not perfect and we have certain criteria that things need to meet and we don't always find runners, nor do all of our catalysts do what we want them to.

but the mission of our briefings and really, the overall program is to give you a clear structure and help you drown out the noise so that you can focus on what matters. Most people have a very random approach to the stock market. our goal is to stop that. But anyways, plug aside for this setup.

give it some time to cool down and breathe and let's see what happens. We are currently in what we call a Bart Simpson formation, which is Warren Buffett's favorite pattern. He uses this pattern to find some of his biggest value plays. But I think if you go back to our criteria for the Meme Revenge Trade that we posted last week, well, as long as these five criteria are being met, you should continue to see some new opportunities here.

But I think that a lot of people don't fully appreciate the impact that the overall market has on Meme Revenge stocks. or really, any stock. You look at what the S P 500 did a couple hours before close that little dump on the broader market literally 180 Triple B wise daily chart. Same with Gme.

same with oogabooga Amc. At the end of the day, stocks run their own individual races, but the overall market and capital conditions in each individual niche dictate a lot of how much energy is in that race, right? Obviously, Triple B Y has been outperforming Gme and Amc this week, but all of a sudden, when there's a derailing force in the broader market that derails all of them, and it usually derails the ones with the biggest runs the hardest. So anyways, whenever you play a stock, make sure that you pay attention to the broader market, the broader trend of the niche they're in, and of course, the broader context of the stock and the history of it in other market environments, so that you can kind of get a good feel for how it might perform in the future. Anyways, that caps off the video, make sure to hit that ravishing like button and also subscribe.

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Make sure to take some time to look over the website and ensure that we are a good fit for your trading journey. I think we can help you meet your goals, but I want to make sure that everybody is very dedicated to the program before you join. Anyways, have a good rest of your day and I'll see you in the next video.