AMC Ultra Bearish

6 Jan 2022

AMC, forming a Death Cross, Barely holding these liquidity zones of 23-25$

Relatively low volume kicking in, and no clear support shown within the options chain. May see momentarily upside tommorow, as option contracts reach its maturity dates.

Buy in Entry price = 17$

Whatever happens, happens, we can finally get the exhaustion gap covered and out of the way and be free to rally after that.

6 Jan 2022

Catatan

Post market Gap up - Modus Operandi;

Variables';
Max pain @ 25
Exhaustion gap @ 17
Sentiment of investors
Options expiry
Sentiment of investors after price action
Liquidity at max pain
Death cross
Volume


So with all these variables, I propose the following;
Market makers make money, as the price of the stock near options maturity date reaches that of max pain, another thing might be is that since the death cross has occurred and, since the majority of the sentiment for retail was that of bearish ( pre after hours ) Institutions proposed they could push it down further clearing the exhaustion gap AND to possible cover at these lower prices. Either or, if retail does not show interest in this stock ( which I think they will ) then, the stock will further plummet. This is backed up by the reason as, retail might not FOMO just yet due to this minute price action, and thus wait for appropriate entry.

Secondly, this may also be used as a bankers candle for institutions to get out of their positions before the price plummets due to the observance of a death cross.

OR scenario 2, retail hops in, Price rallies and well. May finally see the day where we can possibly see a squeeze, somewhat soon.

6 Jan 2022

Catatan

Scenario 2 Updated:

Liquidity at zones between 23-25 is high, so we could either be trading in this region, or if possibly we see a gap up then we can finally see this back at 30$