MuscMoo
AI Theory
:
last time they were at a risk of a margin call they stopped trading and created synthetic tokens as well as synthetic shares.... they'll go to any length to avoid a squeeze but if the hypothesis that retail is going to stay on this regardless is true, I'm not worried about much of anything
RageAndLove
AI Theory
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Options are also holding it back. Every time someone exercises just one option it throws 100 shares back in the pot to mess with.
RageAndLove
MuscMoo
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I’m not a bro and it is how options work. What do you think happens to the 100 shares per contract once exercised? They don’t disappear. They go back into the pot of manipulation.
MuscMoo
RageAndLove
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sorry for the bro thing. just trying to help you understand options. so if I buy a call option at a $4.50 strike, and the price gets to $5, and I exercise it, then they have to deliver me 90 more shares. it causes buying pressure. if you're talking about puts, they're very few people buying puts on AMC right now. have a good one
MuscMoo
RageAndLove
:
ps. I can clearly see you're not a bro when I make your picture bigger, I just glanced at the very small version and I always assume everybody on the Internet is a dude
RageAndLove
MuscMoo
:
Thank you for the apology. Let me dig a little deeper. For people who trade options (I don’t) and aren’t entirely sure how they work the option usually ends up out of the money on the expiry date. Depending on how many contracts they bought, those out of the money shares aren’t exercisable and all of those shares are thrown back in the pool to buy, short, manipulate, or whatever else is done behind the scenes that we don’t know about. If actual shares are bought then those can’t be shorted because they’re owned outright. There are many who throw their money away playing with options when they’re not familiar with how they work and most end up out of the money giving all shares back to the pool for shorts to manipulate and losing their money. This continuous dilution prevents the underlying price of the stock from going higher. If AMC didn’t have options then it would be much easier to make the price move favorably. Owning shares outright is the only way to make the underlying price increase. Hope this explanation helps!
4
AI Theory : I don’t get it. If shorts can’t sell fake shares no more and are being margin called… why isn’t the price going up?
MuscMoo AI Theory : last time they were at a risk of a margin call they stopped trading and created synthetic tokens as well as synthetic shares.... they'll go to any length to avoid a squeeze but if the hypothesis that retail is going to stay on this regardless is true, I'm not worried about much of anything
Justin Brewer MuscMoo : Perfectly stated
RageAndLove AI Theory : Options are also holding it back. Every time someone exercises just one option it throws 100 shares back in the pot to mess with.
MuscMoo RageAndLove : that's not how options work bro
Justin Brewer RageAndLove : Truth!
RageAndLove MuscMoo : I’m not a bro and it is how options work. What do you think happens to the 100 shares per contract once exercised? They don’t disappear. They go back into the pot of manipulation.
MuscMoo RageAndLove : sorry for the bro thing. just trying to help you understand options. so if I buy a call option at a $4.50 strike, and the price gets to $5, and I exercise it, then they have to deliver me 90 more shares. it causes buying pressure. if you're talking about puts, they're very few people buying puts on AMC right now. have a good one
MuscMoo RageAndLove : ps. I can clearly see you're not a bro when I make your picture bigger, I just glanced at the very small version and I always assume everybody on the Internet is a dude
RageAndLove MuscMoo : Thank you for the apology. Let me dig a little deeper. For people who trade options (I don’t) and aren’t entirely sure how they work the option usually ends up out of the money on the expiry date. Depending on how many contracts they bought, those out of the money shares aren’t exercisable and all of those shares are thrown back in the pool to buy, short, manipulate, or whatever else is done behind the scenes that we don’t know about. If actual shares are bought then those can’t be shorted because they’re owned outright. There are many who throw their money away playing with options when they’re not familiar with how they work and most end up out of the money giving all shares back to the pool for shorts to manipulate and losing their money. This continuous dilution prevents the underlying price of the stock from going higher. If AMC didn’t have options then it would be much easier to make the price move favorably. Owning shares outright is the only way to make the underlying price increase. Hope this explanation helps!