Short Exempts and Market Maker Risk $BBIG $BBBY $HLBZ $NN | #HellsTradingFloor Pros Meeting

Short Exempts and Market Maker Risk $BBIG $BBBY $HLBZ $NN | #HellsTradingFloor Pros Meeting

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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

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