Okay folks, so it is time for violence. Number one, I want to give an update on the market and plays like Amc and Sprt. Number Two, I want to give a crypto update and then number three. I want to talk about one specific retail heavy stock that had something big changed today and I want to talk about whether or not I think it's a buy and the only thing that I ask in return for all this is that you hit that ravishing like button and also don't forget to subscribe either.

Okay, so pretty flat red day for the market as a whole. the Round Earthers were nowhere to be found. Tomorrow the powwow of Jerome will be having a big speech where investors will be speculating and hanging on every single word trying to decipher what the Fed's gonna do next. Is he gonna Taper? Is he more or less worried about the economic situation? Has he shifted a little bit on his outlook? The speech tomorrow should drop some hints and clues in terms of what's going to happen with the Taper decision next month.

I also want to take a moment to pay respects to our service members in Afghanistan today who lost their lives. Sometimes Youtube will recommend me one of these heartwarming videos. I don't know if you've seen one, but there are soldiers coming home from a long tour and surprising their kids at school. And when you see headlines like you saw today, these are moments that will never get a chance to happen in families whose lives will be changed forever.

And it's a damn shame. So anyways, just wanted to pay a moment of respect and say thanks for their service and courage. Okay, so let's go ahead and start the Sprt play. Continued running today.

Here's my timeline thought process. On the 16th, I briefed retail heavy short squeeze momentum stock seen inflows this morning. Despite somewhat weak earnings at the time, we were looking at the height and short interest heightened retail buyer interest and the overall setup as an indicator that this was a likely squeeze and we were wrong at least for the next four days or so. Right set up, wrong timing, but then it started really seeing inflows and volume increased and yesterday morning I said up as retail heavily watched stocks sees speculators buying it, especially looking if it can maintain upward direction and break out past yesterday's high at 14.72 That did happen, cementing its momentum with a higher high from the previous day and this morning it hadn't really been moving much.

It looked pretty much like a dud if you hadn't been following the earlier situations and I said not showing much strength yet, but high chance of another wave of retail buyers attacking it today or tomorrow now. Obviously, like we said in the previous steps, the setup suggested very strongly that this momentum was about to go crazy. It was turned into a bit of a ticking time clock. Now, why did I like this play? Well, like I said before, it had everything we like as a short squeeze play.

Proof of concept with previous retail induced runs. Proof of retail sentiment. Because this is one of the top tickers discussed right now in the retail trading community. It also had some looming catalysts on the horizon with a potential merger and talks.

But really, the bigger picture was that it was working. We had momentum picking up at a time where relentless shorts were failing to hold down the price which set it up to backfire even more. which is why these runs become so exponential. You have one day where it's up a little bit, then it's up a medium bit, then it just goes crazy.

But probabilities are of course probabilities. and just because you find a stock with a good setup doesn't mean that you're going to fall into the probability where it went so you can't just yolo into place. But in total, very, very fun play and I'd be lying if I said I wasn't smiling about this one. Honestly, I don't think that this is a very fun time to be a hedge fund.

Tastes extra tangy today. Okay, next Amc. So after holding off for the most part sell attacks yesterday, Amc started caving today. At least that's what the public share price sets more.

Breaking into a clear downward direction at least based on our red directional Sma line volume has started slowing down. We're starting to see what seems to be a test of support closer to 40. it's incredibly important for short sellers to suppress this as much as possible because that 30 blip on Tuesday. Guess what? that did? It created a slew of interest in both institutional money that's competing against the short sellers and in retail traders who are momentum playing this and are seeing more conviction because it's going up and if they can't suppress the stock price, it's going to bring in more and more interest, which could force more and more momentum.

To the upside, so it's of the utmost importance to completely get rid of as much of this momentum as possible, if not completely destroy it. If it doesn't get suppressed, you get a situation like we had in June where things get out of hand very quickly. Momentum attracts more momentum, so you have to make sure that you suppress the momentum as best you can so that you can prevent more losses. The main goal of any massive short seller who short Amc right now is to ensure that this sticks within a small and short range, whether that be the 30 to 40 range or the 35 to 45 range.

The goal I would say is to barcode the price until buying interest wanes down and you get lower and lower barcodes. If you go from 35 to 45 and then 35 to 25, it goes back and forth and then 15 to 25. If you just keep barcoding it, buying interest wanes down. In theory, you're controlling your risk of a massive margin call, and you're able to achieve your objective of a lowering share price because it would be a stair step downward.

Letting it barcode simply allows Amc to get out. It's buying euphoria in a controlled environment within the range, which when on the upper end of the range, can be met with cell attacks that keep the stock trading palatably. if it is true that institutions are starting to play a bigger role from the long side, I wouldn't be surprised to see these mechanisms not work as well in terms of trying to barcode this, but we'll see what happens. Crypto cryptos have taken a nice cool down the last few days.

shiver, shiver. I saw some articles telling people to panic sell because if you don't sell now, you're going to be bag holding forever. This is the last hurrah for the cryptocurrency market, but the reality is that Bitcoin whales have been buying this like crazy, at least prior to these sell-offs Crypto wallets with over 50 million dollars have reportedly been buying, and if we were to break down the price action, why does cryptocurrency go down After a massive rally where big whales are buying? Well, when you put massive buy orders in for something, you get a lot of high frequency momentum traders piling in on top of that. But then when the massive buy order is executed well, those Momentum traders go home and take profits, which causes a little bit of selling pressure.

That being said, you look at the lack of leverage in this market how healthy it's been uptrending. Despite a few little breaths, Well, it suggests that hey, we're still in the situation where we have the best shot yet at a next breakout. Even if we do get a false lowdown, I would say that it's going to settle at a much higher support level than it has previously because this market is more propped up by longer term cash than shorter term cash. We know that for fact, because we don't have nearly as much leverage in the market as we did back in January and February, which came right before the massive, massive, massive bitcoin crypto everything crash.

Okay, time for the main entree. So this morning ticker symbol R-i-d-e saw a ton of inflows after basically hemorrhaging money Since, like February. Why? Well, if you weren't following the story, their Ceo had hyped up this idea that they had pre-sold 100 000 electric pickup trucks. They were great promoters, able to get their truck at the White House and all over the media.

Well, what happened? Well, eventually a renowned short seller came out and alleged that those pre-orders weren't really real people that pre-ordered them, didn't really commit to buying them or weren't serious buyers. They just pre-ordered it And while the company denied it, eventually, the bad press was too horrendous and the Ceo resigned as the investigation continued and ride stock price has been going down throughout this time. You may even say it took us on a ride. And to be real, I've been a skeptical little Sandy when it comes to these allegations.

A lot of electric vehicle manufacturers get investors by bragging about their pre-orders which you could argue aren't necessarily always serious buyers either. You want to buy a cyber truck that costs as high as 69 900? It only costs 100 to reserve. It is that 100 fully refundable deposit really that big of a binding force when the truck costs almost 70 thousand? Is it possible that some of those aren't serious buyers either? Now, where it gets admittedly a little bit dicey is whether there's actually fraudulent intent behind this, and I know that there's some stronger allegations from some parties. but the investigation is ongoing and we don't really know how this is going to go.

And regardless, the Ceo has stepped down. And that leads me to the massive change. in an attempt to bring back credibility and lead this company back to success. or I should say, to success.

they hired former Icon Enterprises Ceo Daniel Ninivagi. He's also been a board member at Hertz Rental Car and a number of other automotive related companies with experience spending decades, but his task is pretty damn huge. He has to rebuild the reputation of the brand, reconvince investors that this is a company worth investing in, lead them through the beginning of production and mass market hurdles. Which this is like, the worst time to try to bring something to the market because of all the damn chip shortages and what is their plan? Well, in Q4 of 2021, their goal is to start with early production units, vehicle validation, and regulatory approvals, and then the goal is by Q1 of 2022 to deploy to early customers.

And then Q2 start pushing for commercial deliveries. Mass market baby! We all know that we've seen massive, massive demand for the Electric F-150 Certainly is demand for electric pickup trucks out there, and it's rapidly growing. But backing up a second can Lordstown even deliver on these promises? Well, they do have the production capacity they bought a former Gm factory a few years back, a factory that has 600 000 vehicle production capacity per year and a history of over 16 million vehicles being produced there. Teams with experience from Tesla, Gm, Toyota, Volkswagen, and Hyundai.

What about their vehicle? Is their vehicle competitive? Is it going to compete in the market with the others? Pretty damn good looking truck. 600 horsepower, strong towing capacity, 250 mile range. Pretty strong capability. American engineered and American built.

But here's where the problem comes in. You look at something like the Electric Ford F-150 It starts at a cheaper price. It has more towing capacity. It offers a battery configuration that has more range and is probably more proven and honest.

And it comes from a brand that's trusted and has been around forever. So what I'm saying basically is hey, I think that this is a good looking truck. I think that its specifications are fairly decent, but it's not out of this world competitive. Lordstown has a lot to prove.

First, it has to prove that it can actually manufacture and deliver on these vehicles. It needs to prove that it can actually get an effective marketing campaign, and then perhaps years down the road, it has to actually come out with something that's more competitive than the other trucks on the market. and with funding concerns right now, with bad Pr concerns and the fact that they haven't even got something to market yet, the fact that they're trying to start the immensely difficult process of producing mass-market vehicles right now during a massive, global awful chip shortage suggests quite simply, there's not much to like about Lordstown right now. I don't think Lordstown is helpless.

I think the Ceo can do a great job of turning them around, but at this point, I think it's too early to say that they're even going to produce anything because they may run out of money before that even happens. And what are they probably going to do before they run out of money? Well dilute the share price like crazy. So quite simply, I think they need a lot more proof of concept before I consider this a buy. Now that being said, it is probably going to trade more like a meme stock until we get that proof of concept.

It's heavily shorted. Retail loves to attack it, and we saw some of that today. Anyways, folks that caps off the video, if you have any questions, feel free to reach out to us below or join us on Ziptrader Circle if you'd like to learn how to trade. With our private chat, our daily morning briefings, and of course our step-by-step lessons, Well, I'll go ahead and link to Zip Trader you below coupon code fudstopper50 will get you 50 off before checkout if you'd like a free stock when signing up with public and you're sick of payment for order flow brokers, well I'll put the link to public below too.

you can check it out. Great broker anyways. have a good one and I'll see you in the next video.