Short Exempts and Market Maker Risk $BBIG $BBBY $HLBZ $NN | #HellsTradingFloor Pros Meeting
hello everybody this is trudeau in the devil's stock broker and this is our professionals meeting for the 26th of june um this is just a meeting where i meet with all the professionals to discuss technical analysis and research for other tickers to prepare for the trading week coming ahead and uh with that we'll go ahead and get started so um a lot of stuff has happened this past week so the supreme court of the united states overturned roe versus wade which by itself would be bad enough but it came out along with the um with the investigative committee report on game stopped and that wasn't it was also not the only action that roe versus wade or was overturned there were also multiple other uh constitutional overturned cases um such as uh not holding police responsible for not reading your miranda rights that was also ruled on by supreme court so now the police can't be sued if they don't read you your rights during an arrest um what else we had we had housing data come out and a whole bunch of other terrible awful terrifying economic releases um so yeah i think to sum up the beginning of this meeting is that the world is falling apart around our ears and there's a lot of things that make it easily make it easy to get distracted so where do y'all want to start i'll leave it to you silence i love it yeah there's no words man go to tickers okay really we'll go ahead and go straight into the ticker so you guys go ahead and take your uh take requests for uh whatever tickers you want to see we'll we can go ahead and break down some some research on these whoops there's my there's my youtube feed i gotta go ahead and get a chat going on the side i didn't hear about this if you don't mind tv i i i have some but i didn't really was there did you do a um video and i missed it on bbig recently um yeah okay all right we're back where i'm paused again um so bbig um yeah i did um i did get a position in bbig what what happened was the uh the short exempt data for bbig was extremely huge um let me go see if i can pull up some uh some scourge data on that so i'll go ahead and break out scourge channel this is our own private scourge channel for the mods i'll go ahead and look at all the data since june since the beginning of june up until today just give that a minute there we go so this is what got my attention i i thought that this was just absolutely hilarious um but so bbig's short exempt volume was so massive that for every share that was sold that day uh 1 in 11 shares that's or roughly this ratio of 8.88 short exempt over total volume that is almost one for every 11 shares that were traded that day were sold short short exempt and that's a huge huge number especially considering how illiquid bbig has been notice how how little the uh short exempt volume had been up until this point and then all of a sudden it jumped to 397 000 and then 838 000. so wow yeah yeah i know i saw this like yesterday i thought it was huge and then and the short exempt ratio was 7.5 so that threw all of my alarm bells but then immediately after wow yeah yeah it's nuts right so yeah i don't know if you have you ever seen that before almost any um you said moen yeah i was so it's funny you're this you're like the third person to ask me um but yeah the uh the only other time that i saw short exams getting this high that were reasonable like it's possible for short exempts to become like 30 of the total traded uh trading for the day but it usually happens in like micro penny stocks you know like the super super small penny stocks that are so illiquid that the market maker has to provide that liquidity but in this which is a mid cap stock or i guess i guess technically bbig is still a small cap but in any cases even a small cap stock this shouldn't be happening like this doesn't make sense it's a small but it's not really a penny stock is what you're saying it kind of is that right here right right well it's a penny stock in that it's trading below five dollars but it's still a small cap because their market cap is above uh is above 100 million dollars so small cap but still still a reasonable float that this shouldn't be necessary market makers should not be in this position where they need to short exempt in order to facilitate the trading and that tells me that they're using it abusively yeah yeah they're really a liquid that's what's telling your trimmer industry look for them with you yeah are we at 100 on ortex i didn't take a look is that as big as bbig 100 you know that's an excellent that's an excellent question i'll have to take a look let's go find out so let me go break out not trying to dominate just trying to no no no this is all for you guys this is what it's for so let's go ahead and take a look at bbig on ortex and see what it say what does it say speak to me or text i did i did reach out to or tech support and mention that i wasn't a big fan of the ui changes i do kind of like these little charts but it uses up so much space it feels uh it feels unnecessary this could be more efficient um anyway that's not what we're here to talk about so the short interest is currently at a little over 35 million see now that they've changed this i can't see where all of the float it is okay so 30 percent of the free float is on loan and almost twenty percent of the short in uh of the float is short shorted god i'm going to need to drink some coffee what's the utilization rate at this point 100 you can see it right here that's what i'm saying so how long how that's i think i said short limit utilization how long has that been in 100 do we have an id that one has been at a hundred for a while man it's been it's been at a hundred since uh march eighth but it's been touching 100 since let me get rid of some of this fluff here it's been touching 100 since before the original big squeeze back in august september the utilization never dropped out on this one it looks like at some point where they would do almost by shear either the stock would go to zero we're gonna have a large squeeze at some point yeah not to stay in between but it's a matter of uh but it's a matter of actually putting enough pressure on the market makers and the short sellers that they have to cover and that's what that's what big money requires but look at the on loan like look at how huge this thing's grown out of control and you also compare the age on loan they've been like we know that they've been holding this on loan for so long that's 63 days average age on loan and that's with new shorts constantly coming in and driving the stock down repeatedly over and over and over so all of these shares on loan that are continuously being borrowed at a time when the utilization is maxed out or at least like bouncing off of maxed out they're just generating new shares and where they're coming from doesn't make any sense because bbig only did one dilution right so since uh since september there's only been one dilution with bbig that took place and it if it was used for shorting then we've already we've already maxed it out significantly at this point when we were at 34.6 million on loan the utilization was at 100 and it has not dipped since and that's the signal that really gets my attention and notice how how fast it's grown it's more than doubled almost i'm sorry almost doubled so i went from 35 to 53 and a half million yeah looks like we're waiting for a whale to come in and that's what's as soon as that happens it's all over yeah that's machinery to me yeah i don't know why one hasn't stepped in yet because you know there's enough air ammunition but now this clearly fuel deploy which the last couple days is short i don't know man it's it's it's really frustrating because i know that this is happening because there's somebody on the other side of this trade that is actually i have a feeling that this is a similar situation that we have with biora formerly prague where you have a major institution that is long on the stock but in order to help with acquisitions or getting their stock cheaply they short it down and yeah reduce the price and i don't know which one it is because there's they're all so big all these funds are so huge and they don't have to report their positions it's a courtesy for them to do that um so is so imp and viora arithium was doing that as a courtesy yeah like no in your research no ethereum didn't disclose any short positions they didn't disclose any short positions and that's not ownership ownership not not oh yeah the ownership they do have to disclose and as a part of their 13 what's the ownership because you can probably tell by like the biggest owner is probably if anybody the one who's doing it um that's right that's logical that's a good yeah yeah that is logical but they're all so big and vanguard blackrock and susquehanna are some of the big ones that are in bbig uh let's see we'll do fintel see what fintel says so the institutional owners for pbig all right so the biggest ones are five narrow lane hudson bay formerly mercury funding and ventus capital yeah those are not those are not like black rock though those guys i could see with a try i could see the small guys one of those trying to manipulate it yeah that was a good point so let's see who has the big ones on their 13 f's as of the last quarter may reports show group one trading bluefin capital susquehanna this was one of the big ones vanguard jane street and vtsmx which is the everything index uh susquehanna again many of those four of the top holders or any of them in there in 13f that you just showed before are any of those guys in there just curious we're going to type a credible position they're all they're all huge like bbig is majority owned by institutions but they're all such big institutions it could be any one of these guys that are shorting it down to get the stock cheaper and what's interesting is that you have susquehanna here which is reporting both having calls and puts in their positions and you don't know what their expiration or their strike is so it's possible that they have all these puts for a nearby expiration and they've been driving the stock down to exercise those and then they can use the and then they can drive the price long-term calls long-term calls to buy exactly so we don't know and they have so much money like they could be buying leaps for 2024. and we wouldn't know so that's the difficulty here is we know that there's been there's there's manipulation taking place with bbig stock and there's a good chance that the executive staff are very aware of it but we're never going to know we're just never going to know and this happens every day like bbig is no nothing special it's not an exception to the rule it's it's the norm this is the norm yeah that's true but you know what's weird i mean you would think that some of these larger uh holders would start selling off their positions if they didn't think this was going to turn around um right thank god if it's not if if it's not vanguard doing it then they would want to sell their position has that been happening or had they been holding they've been holding and that's that's what you see here the number of shares that have changed almost all of them have gone in the positive direction only the small funds especially the ones like one group trading which only has a options position one group trading's options position has decayed and i imagine that that happened naturally just from you know expiry expiring positions yeah or maybe exercising who knows but the 13 f's are just for those you know special um are just for the special funds that are particularly large the smaller ones have to report that report a 13g or 13d are insiders so they have access to insider information and that's what makes them more suspicious because they know what's going on with the company yeah so 13 app is if you're a certain if you're a certain percentage shareholder i think it's five percent or above i think is that what it is yeah i think it's a five percent stake or more okay yeah and these guys have a uh these guys have to report because the 13 d and g they're both insiders and they own a 10 stake so for a nearly 10 stake so they're they're reporting their via oh that's interesting okay i didn't know that was yeah there's different filing requirements for depending on what your share holding is so since these guys are br they're like teasing the 10 percent threshold then they need to report with a 13g and 13d um i think the 13g is separate because let's see groups of investors with one leading whereas 13 f filings cannot investor may file a 13 d slash g reporting one value for the total shares representing all the share or owners by the investor group but then file a 13f reporting a different value for the total shares representing strictly their own ownership this means that share ownership of 13d ge filings and 13f filings are oftentimes not directly comparable so we present them separately that's fintel's explanation how many shares are on loan um jesus a metric ton the total shares on loan 53.4 million you can see like a reverse
rug pull coming you know by the institutions like this would be a perfect time to burn shorts it's true yeah it is a good time to burn shorts if they know who the shorts are if they know who it is then they can really well if they request their their shares to come back from loan right it would hit they would imagine they hear that mr percentage of them would hit the shorts i would think that's entirely possible but what i suspect is that it's mostly it's pr what i suspect is going on is it's mostly market makers that are short so they have these shares on loan because they've been providing liquidity to the market uh yeah and if it's the market makers then i mean the market makers are just creating shares out of thin air which yeah i don't know how they i don't know how they keep getting away with this like if that is the case if that's really what's happening i don't know how they can continue to do this because look no further than our supreme court you don't have to look people i guess you're right about that i'll say but anyway anyway it's interesting it's hard to say it's kind of an enigma because yeah bbig looks like it could be exploding it could i i am i am very i am very bullish on bbig the number of the number of calls outstanding for bbig is extremely bullish i will absolutely agree with you there let me go see if i can pull up the uh scourge data for what their live options are the options yeah because i i feel like that's absolutely worth taking a look at let's i'll just go ahead and if it gamma's then you could if you lead into a squeeze no question it means a powder keg at this point so if it happens it's probably what i think would happen oh yeah why did phil bring up the supreme court they said that td said that uh he can't understand how to get away with all you know continuing creating naked shares and yeah look at the supreme court right it goes against like 80 public opinion they don't care i've had more supreme than that court i've heard that i saw that that was [ __ ] hilarious i've had crunchwraps more supreme than that court that was an amazing that was amazing i absolutely loved that i had all right so bbig next friday has it's got over 30 000 calls expiring uh between two and three dollar strikes so if this gets above three dollars then it could trigger a gamma it can trigger a gamma squeeze going into the next two weeks i i feel like our target should be closer to 3.5 because based on the pricing of bbig whoever bought these weeklies and this is not likely to happen because this is the bread and butter of the market makers trying to get money out of the market by putting all these calls out of the money and weeklies are the ones that they make the most profit on because they're you you've got gamblers that are throwing their cash at these all the time if i'm gonna if i'm gonna bet on a weekly it's gonna be like this thing might move by a couple of bucks intraday so i'm gonna take yeah i'm gonna take like this this five dollar bed and see if i can squeeze it for five for uh one hundred dollars yeah you know anybody can tell that it's unlikely to move but you know by vast leaps and bounds that's only like if you have like a a really unusual macroeconomic announcement or something you know where the company the company comes out with something out of the blue that is so revolutionary but that's like how often does that happen right yeah yeah not terribly often and the puts are actually just as bad too like the puts are the puts that are currently on the table right now this is the put float um there's it's not as attractive to bet on puts unless you know that either one you have a position in long stock and you're not sure the stock is going to continue up you buy the puts for protection or if you know that the company is going to go down in value you buy the puts ahead of time so that you can go ahead and swap them out and you can exercise them to sell shares by buying them on the open market and exercising the puts and then you flip them immediate for an immediate profit or you just turn around and sell the puts back to somebody else who wants them but usually that's that's what you do the what i notice here is that most of these puts that were purchased against bbig even though it's not a ton of them it's so close down to zero that your maximum upside for these puts is like if bbig went to zero your max profit is two hundred dollars per contract right so there's not a lot of upside here and for people to be buying these puts for all the way out here is interesting to me it just kind of sticks out as bizarre you know i wonder if these were purchased back when bbig had hit its all-time high and they bought these as leaps but if that's the case i don't know why they didn't exercise them or uh or sell them back into the market or whoever the loser was that um that wrote these puts didn't buy them back to close them unless they knew they would end up going out of the money and that's the other possibility is that you have a bunch of people that are buying protective puts for the you know long term that aren't sure about bbig and you have market makers and institutions that do know better that are selling puts in order to make income on them and provide their themselves some liquidity and then they take it in the other direction so there's a lot of ways to interpret this data yeah are we done with bbig um i i don't wanna yeah yeah yeah everybody else needs move on but thanks yeah no problem i want to make sure that everybody else has a chance to uh to ask questions if they absolutely i'm gonna be quiet yeah because i haven't been reading i haven't been reading the text yet um yeah it's hard for me to keep up with the text chat so if you guys want to ask a question please feel free to jump in in voice if you can uh chandra can can i make can a market maker wait oh can true team and make a market maker cactus chair craftsmanship courts yeah i'll work on it we're working on that i will work on that that was hilarious thank you i would i thought it was a serious question at first i'm like wait a second it just sounded good i just had to like stop like wait what very good setup uh that was great well if you do scroll up a bit i mean i can read to you we do have um some tickers that uh people have tagged okay posted yeah i see i see yaakov a lot of tickers okay got my hand up for boxed okay well boxed i saw was the first one so let's go ahead and take a look at this one i've been seeing a lot of people talking about this one i know it already started moving so by the time i looked at it i just was like it looks like it's already made the move i'm not going to get into it um yeah it got pummeled holy crap so what was the news that actually caused box to fall so much that's what i'm curious about let me go pull up my trading view interesting so the headlines are an insider bought on june the 14th which was here boxed shares hit record lows they joined the russell 2000 index on june 27th and a fourth quarter loss per share widens okay so their earnings were really bad better than expected but still really bad they're losing money well they're not losing as much as they were the previous quarter i just started watching a box d something at a jeffrey seminar and they are increasing their earnings quarter over quarters so far and they already are back to making more than they were making pre-pandemic and their growth is accelerating but i just started it so i don't know much more than that and that i haven't looked further than that interesting yeah there's a ton of volume here okay maybe i should have gotten into this box d is interesting now so the joining of the russell 2000 is by itself pretty interesting but it's a company that's losing money so i can see why shorts are targeting it like by by all accounts as far as i can tell this is a zombie company just at a glance but let's take a look a little bit further and look at the financials let's see all right so it's a micro float so i got to be careful what i say here but 35.9 million shares as part of the float their market cap is 150 we'll just round it to 160 million okay off the bat i see a i see a double bottom here it broke down here and then tried to recover and then it broke through for the second time and that's when it collapsed and that's interesting because there was no bad news between this like this was the like this was the worst of the bad news and their i mean their stock dropped but it wasn't like this i don't see a news reason for this okay so i think i'm getting a picture so box d short interest is claiming i bet you the on phone is insane or the on loan is insane oh yeah that's what i thought so on loan 4.8 million
up from two and a half million the short interest is only 7.65 but that doesn't really mean much how long have these shares been on loan okay so the shorts entered their position here many shorts entered their position here a whole bunch got in here they reported here see the age on loan tells you a lot more about when they entered their positions you see this drop that happens in the age on loan from may the 3rd down to may the 4th that's how you can tell that the on loan they either drop they either jumped ship all the old shorts jumped ship and got out of their short positions or a whole bunch of new shorts jumped into their positions and they decrease the average on loan uh the average days on loan when they do that this is also interesting so the on loan skyrocketed from march the 14th from 250 000 all the way up to a peak of 4 million that is interesting however they've got really good control over this one i have a feeling that i just have a feeling that this one's not done going down yet it may not be the case let's go take a look and see what the short exempt data says because the short exempt data may tell us a different story box d let's get the short exempts from finra actually i need i need a longer i need all the way back to i need to go all the way back to the first of may okay let that load up days on loan is dropping out big time that's just because the volume is increasing it was 11 and a half days to cover at one point no it's down to one and a half if i was short on this stock i would be getting out right now because most of the shorts that were in this thing like that is such a massive profit that's that's six dollars on the dollar that's a 600 profit that they made like why would you knock it out right now i can't believe that i'm seeing that the age is continuously going up as the shorts are increasing that's nuts let's keep going i got the short exempts here now so this is the box d short exempt data on may 31st they filed a prospectus for a 15 million share offering on waiver news may 31st okay can you get me the dates of when that prospectus is effective and the sale goes in scrap queen yep i'm looking now thank you we'll go ahead and take the time since we're on video and it came up scrap queen's been promoted to analysts and i'm so glad to have a uh filings detective added to me yes yes she is a queen she will go into she talked one time about having her entire dining room table full of like hard copy filings or something like she is well yeah she is a dog without a bone is that how you say it scrap queen do you have a fintel subscription i do not unfortunately okay that's going to be our next that's going to be our next task so i'm going to create an account for uh for hell's trading floor analyst to share uh y'all will get access to finto that's going to be our next priority you know i was going to make this suggestion um is it possible i don't even know if it's allowable that people could post the subscriptions that they have to magazines and things so if someone is trying to find the full article maybe they could add somebody and ask them to post it that is actually um that is actually a really good idea that's a good idea we have to be careful because we can't share that outside the discord but we might be able to do that no we could do reaction roles where people could sign up with the reaction button to say what subscriptions they have okay and so then if somebody asked them if they had like when seeing the role like i mean we're not doing anything wrong chef uh since you're in here you're familiar with me six uh would you be able to adjust the roles for me six um for the optional roles uh post i believe i believe we would have to make a new section for that but yes okay we'll figure it out yeah okay so looking at box d this cluster here of short exams catch my attention because the short exempts over total volume is one out of every 10 shares being sold short exempt for three days in a row that's massive and that's pretty good volume too so this is how they drove the price down they literally just turned off the faucet and stopped sending orders to the exchanges that's what this means at least that's how it that's what it means to me there was also a signal here of the increase in short exempts from almost nothing to immediately jumping to 11.9 percent short exempt ratio and that's what causes this delta change we call this a mirror signal whenever the there's a massive jump in the short exempt ratio from like almost nothing to just suddenly something ridiculous you get this type of number and that's just showing the rate of change in the short exempt ratio and then this is the rate of change of the rate of change this tells us quite a lot because this shows that the market makers just suddenly turned on a switch made a decision to kill the stock and that ever since then it fell like it collapsed right here so what i we used to think that this mirror signal meant that it was going to like result in a squeeze but i think that it actually means that they're switching directions and the market makers now decided to switch directions and they took the stock down all the way to a dollar a dollar 20 what was this a dollar 27 at the lowest point my my thought on this is that they bring it down knowing that dilution is coming and they want the price low so they can absorb the dilution shares at a lower value and then they let the price naturally go back up and they sell us the diluted shares at a higher dollar value yeah so they soak them all up and they keep the company from getting any good value yep yeah the uh the prospectus for that just says from time to time so it sounds like they're just slowly getting trickled into the market as of may 9th gotcha that makes sense the market makers obviously made a decision here they killed the they killed the price like they killed the price they turned off all buying to the exchanges and they've been short exempting everything because they know they can get the price down and they've pretty much succeeded i we're going to see ftds pile up in a massive way pretty soon though the last reported date would have been may 31st so all the ftds from that date on haven't been reported yet box d is a squeeze opportunity um it is but it's really tough it's really tough market makers crushed this thing damn um let me do a little bit of analysis on the charts and let's see what we can do here so they brought this thing down from what was this yeah may 17th was when they decided right no it's june 2nd june 2nd was when they did this it started falling before then but it didn't get really out of hand until june 2nd so it's been falling since may 18th june 2nd was the day that the market makers decided to turn off the buys your knowledge of the short extent data is the only thing that separates this community from everyone else out there doing stock stock because no one else is talking about short exams that's what makes this place great i appreciate that i as far as i know there's only one other there's only one other individual or team i don't know who they are but they created a website called apparentlyexempt.com they're the only ones that started talking about this as far as i know before me and they went and created a whole website i am so shocked that it didn't go viral because that they understood it just as well as i do now they understood exactly what short exempts mean and they had theorized that the short exempts were being abused but i continuously dove into the actual filings from the sec to figure out why they would be using short exempts and it gets worse than i thought the more i understand about how failures to deliver are created and the fact that market makers can keep kicking the can down the road as far as having to settle those shares it it really does boggle the mind but that's why i focus on this because when you see these plays where there's massive short exempts the market it's just a sign that the market maker has basically decided hey we don't need to buy shares here we don't even need to locate borrowed shares here we can keep the price going down forever until it's worthless and they don't expect some you know group of retail traders to suddenly jump on that opportunity and then just dog pile on the stock and start bidding it up because when that happens then they need to go and return those shares eventually but they're going to have to do it at a worse price it's definitely the hidden secret that you found that is the key to their demise yeah and that's why like th this is where like connecting in the options chain and stuff also plays a role in it like they're deep in the money calls that they buy in order to bid up the price if somebody with a few million dollars had the ability to see that flow and just bought all those deep in the money calls before the market maker could get their hands on them then they would be [ __ ] give me a few months what do you mean you're gonna buy all the deep in the money calls if there's ever an opportunity and you point a finger over there we're gonna go over there how much money do you have don't answer that well that's i mean yeah that's true because you do put it out sometimes on twitter tv i'm wondering why it doesn't sometimes get picked up yeah i i i do i do think about it like uh if if i saw like for me if i had that kind of money and i saw that there was this massive amount of short exempts going on in the stock and then all of a sudden i'm getting flow alerts from unusual whales that deep in the money calls are being bid up for that same stock and they're doing it for like the key to it is to set alerts on calls that have a delta value of 0.95 or higher it's always the deep in the monies that have an extremely high delta the closer the delta value is to 1 and the closer to expiration it is the closer it is to the exercise price being slightly only slightly more expensive than buying the shares out of the market and the reason why they do this is because by purchasing the calls instead of the shares they are collecting calls which don't have direct price action they don't relate to the price there's no volume there right there's no volume there exactly they're not having an effect on the nbbo because they're not actually attacking the ask like they would have to in order to make those at the market purchases so by buying the calls they get all of those calls swept out of the market and they do it early which means that people who are deep in the money but don't have the actual cash to exercise they get a such a better price that they get filled and they're happy because they made a bigger profit through a higher extrinsic value but the market maker is the one who really gets off on it because they've been shorting the stock down and then they can acquire all those shares for almost the same price as the market value but they don't cause the price to lift at all so they exercise them immediately they get a giant inventory of shares and they just cover the short position but what would happen if you had a whale that noticed this and bought all those deep in the monies before the market maker could the market maker would be out of options and they would be forced to buy at market price and they would bid the price up and they would be [ __ ] yeah yeah they actually buy shares instead of the yep they would be forced to buy shares exactly and it doesn't take a lot like it it wouldn't take a lot a few thousand shares of those deep in the monies with that high delta it would force their hand it's all it would take i think we need an education class for the whales can we just start a hedge fund then yeah you actually count the headphones that's a very good idea we've we've joked about we've joked about creating hell's hedge fund for this exact reason but um it's uh i mean we should i mean it's it gives people an option and then you can we could do what we discussed here the collected quickly enough for this yeah but the problem is is that i don't have a series seven so not yet not it's probably never going to happen i got to be honest with you that test is stupid can we recruit somebody who does you let me know if you find somebody with their series 7 that wants to manage hell's hedge fund and i'll think about it [ __ ] go hey uh i got a buddy of mine that's actually trying to push me into the test so that i can get back in back on the financial advisor side with him um if it actually ends up happening i'm not saying i haven't made a decision on whether or not i actually plan on going down that route so i got a nice cushy job with a nice cushy salary and i get left the [ __ ] lows yeah but you already sold your soul to us so like think about it we have a stan we have a standard perpetuity clause when you sign up that you you must you must work for hell's hedge fund forever one of the things that they told me was that they'll cover the tests and everything up front they'll cover everything up front and i don't have to sign anything with them because that's one of the biggest things that i got to worry about right now is technically i'm not allowed to work for anybody else if i'm working for the company that i'm at yeah and i'm not allowed to like go that route i'm not allowed to sign anything with them but they said that they can do the testing and pay for everything without me having to transfer so yeah that's that is that is usually how they do that that is usually how they do it is they have to sponsor you you have to be sponsored by a company to even apply for the test but it would it would be like the main mission imagine i mean how far that would go right if you say if you could scare the market makers out of doing this behavior what a revolutionary thing that would be oh my god i can't even imagine what i notice in box d is look at how the short exempt volume that's this red line bouncing up here with the finra volume and just look at what it's doing holy [ __ ] the volatility in this ever since the second of june is what really should tip people off that some [ __ ] is going down here um okay so i i'm i will i will strongly consider entering a position into box d this one is a candidate it's risky because the market makers have a lot of control here this is a micro float but retail does have an opportunity here where somebody with the power to buy like deep in the money leaps and purchasing a just a massive amount of calls could take advantage of this situation but the trick with the deep in the monies is that when you buy those you have to hold on to those preparing for those to be exercised like because the market makers are going to try to offer a really good price for those when they need them and they'll get filled they'll get filled by the thousands so like a lot of retailers and this is this is something that we're all guilty of is we will hold on to those deep in the monies only until they're about 100 or 200 percent in the money and there's there's greater potential and then what we do is we roll out to the out of the money calls and that's where we [ __ ] up so that's one thing that we need to stop doing is when we get those deep in the monies when we get in early on plays like this we need to be buying those call options that are at the money or in the money and holding them out for many many months out like quarterlys like distant quarterlys or leaps and holding on to those knowing that the market maker is going to want them and refusing to give them to them because that is going to be what forces them to delta hedge if they can just offer a better price and buy up all of those options they'll get them and they will use that to exercise those because they have the cash to do it and they will cover their short positions with it without causing price action to reflect it that's how they get out of this yeah it's cutting properly you need to make a little clip that's that's what your strategy is yeah i will clip this so that we can get yeah um so that we can get a good um break down that time stamp for a little clip so people understand that better can someone make clip on that series 7 joke we were talking about i have an idea of someone i could send that to that would be great i mean seriously that would be like the ultimate you know and the magnitude needed to counter market makers when they pull the stun counting countering market makers okay i got the time stamp thanks dilly let's go ahead and continue on um box d does look like a candidate it's starting to show strength and there's good volume here this is one of those situations where buying deep out of the uh deep in the money deep in the money and at the money call options for distant expirations more than three months and getting a good block of shares into our inventory is what will put the most pressure on market makers so if you want to fight a market maker that's doing this [ __ ] and malignantly driving the price down so that they can get a cheaper price we can take advantage of that get a good price ourselves and wait for them to get backed into a corner is this this [ __ ] that they're doing right here this is stock market manipulation and they want to play this [ __ ] game then retail can pounce on them and we need to put a stop to this [ __ ] maybe if maybe maybe what you're saying is right phil if we can catch them doing this enough times and we make them pay for it and we hammer their pocketbook and hurt them in the wallet then then they will stop doing this the only thing that will do it it is because the only thing they care about is money right you're going to say i hate to be the negative nancy on that yeah right that's that's that's it zlever is next if they do get pissed off and do that then they're going to switch to something that we don't know about and we're going to have to figure that out because that's what the market the market is fluid we have to keep moving that's the game though that is that's the whole game guys every single time we figure something out wall street's doing this to itself like all these firms do it to each other we know that they're doing it to each other the trick here is that we we have to be just as adaptable as the rest of the wall street firms and we have to be constantly researching that's how you win yeah well also it's not so easy for them to necessarily figure something else out it gets harder and harder as as options get eliminated with enough money you start to counter everything they do if the fcc won't do anything some vigilante traders might that's it how's the hell is vigilantes and we're not doing anything that's manipulative we just see when the market bankers are starting to uh put themselves in a risky position and they're the ones that are manipulating the stock and we'll just be like i think i'll buy it what do you want to do about that it's like just i want those shares because i see you made them cheap for me so i'm just going to go buy them and i'm going to hold them and you know what it's like you know what i'll tell you what you you took this thing down from ten dollars to one dollar now i want 20.
how about that well yeah and fundamentally like in court you could say that fundamentals justify uh buying that one dollar yeah absolutely they're they're telegraphing that they dropped it below fair market value just to screw a company so that they don't get market value out of a dilution and obviously that's an entry point that's not manipulative at all on our part yep and you know what that would probably introduce a new class of trading uh trading funds that will actually trade these companies fair market value for their shares if they really believe in their capability and their power to become a profitable company i don't know if anybody else is aware of this but the united states has more zombie companies per capita than any other nation in the world with a public exchange we have more companies that are not generating any revenue and you know what most of the companies that go into the stock market do so to gain capital so that they are able to generate revenue so that they can get at least something and the most money that they ever make is during their ipo every single time that's the most they will ever get for their shares and after that if they run out of money the market will take their value down to almost nothing and those zombie companies end up dying zombie companies not because they're bad or because they have a bad idea or their business model sucks it's because they never had the capital they never had the chance should have stayed private should have stayed private yes exactly and that sucks because you know what that's the whole point of the stock market the equities market is meant to create investment opportunities for businesses with good models to be able to enter into the space and increase their business and make more product for their country that's the point the equities market exists as an investment vehicle to create a greater gross domestic product for the nation when companies are performing well when investments have great returns and when the company is able to basically create itself and get funding to build something it benefits everyone but now we've transitioned to this debt society where we have these hunt and pick predatory hedge funds and market makers taking advantage and stealing from people and you have executives i hold them to a higher account as well they're taking hundreds of millions of dollars in payouts and parachutes to just basically drive a company into the ground and then they get a hundred million dollar bonus this is so [ __ ] stupid we've we've dug our own grave at this point if we don't fix this [ __ ] now we're doomed and we deserve it making things we stopped investing in things making things and thinking long term and now it's like the only thing we do is make money from money and now we just make money by printing money on top of it yeah yeah the inflation and the idea of speculative investing where you're just trying to pump the value of something until it gets a higher price and then you sell it immediately yeah making money from money is it's it's a fallacy it's it's cyclical reasoning and it doesn't work in the long term is is it's so destructive you know we stopped building the better mousetrap right that's what that's what economies a win that's you ever see the movie tucker if you haven't go see it because that exemplifies exactly that's what happened tucker had an automobile that was like 30 40 years ahead of its time and general motors got somebody on the border you know on the board of the company and made sure they killed it yeah so let me go ahead and catch up with uh because i know that uh i know that jacob had posted a lot of tickers so i want to try to get to at least some of those let me write them down jumping up there uh there they are oh he reposted it okay thank you very much okay so nxtp mtem hlbz and then and rigo bbby these are gonna have to be really quick yeah we've got 45 minutes and then we got to get an analyst meeting bobby bobby's looking real good yeah not good enough for my 10.50 calls but there's still hope there's still time i got i mean i'd buy shares yeah i never know what's gonna happen yeah i've got some shares but i figured i'd get some uh 10 50 calls for uh the uh july first experience so you know it's right after right after the earnings we'll see what happens i didn't i just saw the post from maroondog that apparently exempt.com stopped updating their website last summer that was right after amc squeezed go figure maybe they found the same thing that i found and they bet accordingly they're like okay we got our millions we're going bye i wouldn't i wouldn't blame them i wouldn't blame them all right litq and mspr mspr that was a uh a dsback that [ __ ] the bed it was uh it was the only reason i know that is because it was on uh it came up on the hull halt alerts a while ago and it kept [ __ ] the bed and right actually can we call those amber turd stacks okay so we've got a couple of we have a very very long descending channel here for this stock and it broke the channel i would watch to see it retest it and then break above if it re-enters the channel well let's see it oh it can't re-enter the channel it can't it's less than a dollar or it's below zero if it re-enters the channel it can't it can't re-enter the channel okay so then the re-test would be at 15 cent um if it re-tests 15 cent then there's an opportunity here but this company is like really like that's just from the technicals perspective this company actually has they look like they're in bad shape let's go take a look at the financials floats 75.5 million uh financials they're losing money they're hemorrhaging money actually
by the tens of millions i i don't know man like that doesn't look good on its face um i'm really hesitant to uh suggest going into these uh going into these types of stocks because they're extremely speculative and we're not in a speculative market anymore like we're in a bear market so this one i i hate to say it but this one might have to be uh live and let die yeah i see the obv moving i do see that nxtp let's go look at ortex data and see what that says so next play technologies the shorts are are in big i'm sure oh they're not actually hello everyone oh hey how y'all doing oh you know chillin chillin how's flabbergang today doing good you know just another work day what's going on my dude yeah where did they have it going it wasn't just something yeah it wasn't it wasn't verde it was it was flabbergang i thought it was i thought it was very interesting i didn't get the chance to say hi to the birthday the slab also how's it going slab was teaching me uh how to read charts which i appreciate membership oh daily how's the favor you know i'm doing better happy to hear did you call him hooker what she called him no booger okay oh booger yes because flabbergank means a booger or something or i thought but he's also a hooker yeah everyone has a price tag oh my god hey no shame you do you girl yeah and strong independent we're recording this yeah this is going on youtube unedited i'm sorry it's okay it's advertisement for the professionals floor because this is the kind of fun that we have here in our downtown this is the kind of fun that we have if you'd like to see us unfiltered get in here we have hookers maybe i am going to have to edit this all right so wrong with booger hookers so so we're going to continue talking about tickers all right i've only got i got 40 minutes uh nxtp i'm going to have to say is uh that one's that one's not for me it's way too risky and speculative um with it being a low-flow penny stock there's no catalyst there's no there's no like height and short interest um there's there's no manipulation going on that i can see it's i would stay away from it it that's like trying to catch a uh this this is trying to catch a crashing plane not even a falling knife this plane has had its wings clipped there's no citadel air is going down yeah i don't know if this one has any hope if anything this might be like this might be a bear rally from shorts getting out um do we have a tldr on bbig oh nxtp was for a quick short play because it was good had a good earnings report um if that's the case then i would consider this the move and it's already happened i would still not jump into it if anything i would expect retail to probably jump in on this unfortunately and if they do i would i would be like y'all are wrong this the financials for this company look awful they they really do look like they're in serious trouble i wouldn't touch them i'm not going to go against i'm not going to go against them but i i don't see them surviving i'd stay away from this one the moves already happened um okay so mtem we'll go look at that one next mtem molecular templates sounds interesting also massively sold shorts or bad channel bad channel bad channel probably going below a dollar in this case the volume is interesting though that's a lot of friday volume i can see what you're saying about the obv um financials are not improving it was better than expected but not by much insider by four days ago so that's probably the news that pushed this stocks bid up after hours amid a revenue surge maybe there is some maybe there is some accumulation here i see bullish divergence here but you got bullish diver you this is the only there's only two cases where bullish divergence repeated which was here and here on the daily so i would need to see a third to get confirmation let's see what the short interest says 23 percent utilized short interest of the free float is currently at 4.4 percent short interest roughly a 3.1 million uh i'd have to wait on this one bd one thing i'd like to mention yeah the options for this ticker the cheapest option two and a half strike at the farthest expiration is 10 cents on the ask still too it's still it's still too far away out of the money um that's that's why i hesitate see those two those two and a half's are easy to keep out of the money like even if this company does turn itself around they're below listing requirements and if they break above if they break above a dollar or maintain above a dollar then that's great for them but only to keep them listed on the nasdaq for so long if they get put under long enough then they'll be driven well below 50 cents so this one's this one i would need to see i would need to see a clear sign of recovery this hasn't broken out of the channel the same way and each time that it did break out of the channel it got pushed back in really quick so i need to wait this one you have to wait to see if it breaks out of the channel and stays out it needs to stay above two dollars right now it's you you could go ahead and take that long bet if you wanted to but it's it's you should expect to lose that money it's something that you should bet only what capital you're willing to lose with like 99 certainty one just looks this one just doesn't look like the best case i'll double check the uh i'll double check the options just to see what the concentration is because i saw that the call the put call ratio was pretty bullish so live options on mtem that's the wrong one inspect live mtem okay two seconds to go and pull this data up okay that's mtem's call concentration uh yeah see this is super illiquid man there's there's hardly any open interest here if you buy these you're not going to be able to sell them nobody's nobody's buying them the put call ratio is extremely bullish but that's only out of like 200 options in existence i i can't condone i can't condone any recommendation to buy this one right now it just doesn't look like it's in a good spot for it yeah i would say you need you really should be patient on this one the volume is nice the obv is nice the rsi bullish divergence is really nice but the financials don't look good the company is still losing a ton of money the news hasn't shown any catalysts yet i would need to see something in the filings the 8ks or some fundamental news catalyst or something with their business that shows them turning around soon um so without doing a deeper dive on the dd i i my initial impression is to not touch it so i i would be waiting if if you all want to do some deeper dd on this one absolutely go for it do your own research but for this one this one's uh this one's a no for me you know i love it that you keep it real see hlbz this one i already know that i'm bullish on because of uh caddo's call out on this one help is incorporated um this company is um i'm trying to remember what sector they were in i know they're like doing transport stuff um it is a micro float so this one can move quickly it's trading below a dollar and what i saw was the hellish divergence on the obv so there's accumulation happening here just at a glance i can see accumulation that's the one thing here that i see here despite this big downtrend is that the accumulation is happening and it broke out of a downward channel already so it's been out of this channel and it formed more of a more of a wedge than a channel right so that's the difference between these and the previous two stocks nxtp and mtme mtem that i looked at is that this one broke out of a descending wedge and consolidated still selling off but now it's below a dollar it is at risk of de-listing so that's a that's a risk you are taking but the obv is bullish the rsi is bullish and there is a huge amount of short interest in this one which makes this one a little bit different so this one is more of a case but still a risky stock this one is this one is pretty risky do you want to also look at uh be or because that's popping up on twitter a lot right now yeah i could cover biora yeah yeah hey sorry real quick do you have like a grading system a rating system where like from risky to you know best place to worst place kind of thing but still play um i mean i could go with like i could rate them according to the to the like the the standard and poor's credit rating system if you want no i mean as far as you know as far as as far as what you got you know some what you think of good calculated risk the best calculator is the second best calculated risk that type of thing yeah on a scale of your cat to amber heard how much is this going to shut the bed because that would be interesting you know what you know probable what's highly likely you know yeah yeah i got you i got you um so with hlbz um let me let me do a quick analysis on it and i'll give you like uh i'll give you like a one out of ten uh risk risk reward ratio or something like that um all right so hlbz it briefly ended up on the threshold list the security lending volume is spiking up which tells me that there's a whole bunch of shares being loaned out
2022-07-03 13:35
