Oh brother, what an absolutely phenomenal day to be an ape the stock market was downright bonkers. Today in this video, i want to talk about the craziness of amc and jimmy, and i want to spend some time answering the most common question i got today. Did the shorts cover we'll be diving into that the data the metrics? My reasoning i want to spend a little bit of time talking about bed bath and beyond, which is important with ryan cohen and the connection to gamestop there, and i also want to spend a little bit of time talking about tesla, elon musk and the potential stock Split slash new dividend payment so with all that being said, let's hop right into it. Well, in case you didn't see the market today, monday march 28th, here's the tldr version.

It was insane. It was ridiculous borderline unbelievable now. The overall market had a pretty good day gained almost one percent, but tesla and we're gon na be getting into this gained. Eight percent, currently trading at 192., gme gained almost 25.

Almost at 190 amc gained almost 45 trading at just below 30 and then bed bath and beyond crazy, crazy gain of 16.5, currently trading at 26. So, as you can tell, there's a lot for us to get into. Let's kick it off with tesla very, very good day, like i said, an eight percent gain and yes, the spine, the cues did good so that helped, but the abnormal performance of elon musk's brainchild here is because of exactly this tesla to request shareholder approval for a Stock split now remember very quickly, with the stock split it's equivalent of going from one twenty dollar bill to twenty one dollar bills or fi, one five dollar bill to five one dollar bills. So, overall the market cap shouldn't change.

It does because of various psychology related things, but it doesn't at first fundamentally change the market cap of the company. You just have more stock at less of a price. The reason they're doing this and why there's maybe a little bit more excitement is twofold. First, the last time there was a stock split, which was about two years ago.

It was a five for one stock, split that from the moment of the announcement up until the actual split was very, very bullish. It performed very well so people are remembering that and that helped, but then this time around, maybe even a little bit more enthusiasm going on, because the reasoning for it, according to a cnbc report from elon musk today they said hey, we want to do it because We want to start offering you a dividend which is just kind of signaling to the public that they feel they are in a very, very good situation. So just so you know, i just want to give you the numbers here. It is shorted not that much three percent cost of borrowing negligible utilization negligible.

These are just the numbers here on tesla. I wanted to give you and in terms of the chart it's been ripping ever since march 15th. Don't forget that march 17th? That's when the pelosi's got into it, but anyway i mean it's been on a crazy rip. Be careful for the gap to the downside would love to see the breakout of 1115 1120.

I'm just seeing this two shoulders back here from january and december a couple months ago, so i'm looking for the breakout there and if we get it, the next watch for me personally be 1100, but yes, tesla. Looking for a stock split they're attempting to do it. For a dividend, very, very bullish news: yes, the spy in the queue is ripped, but tesla has been on a tear ever since march 15th, the bottom of this bull channel. So that's what's going on with tesla now, let's turn it over to the king of the day: amc almost a 45 return.

This is just crazy. Now, with amc's short interest of 21, you have a cost to borrow still oddly low at 2.8 utilization of 100. The same thing ever since february same with gme and shares on loan is now 138 million, with an estimation of 108 million, actually shorted against amc. Now i want to first go over the chart and then we'll do the same with jimmy, and then i want to get into my reasoning of why.

I don't actually think that the shorts covered today - or i should say at least not all of them. So we ran right up to this resistance of the high 29s, which we saw kind of some consolidation, a little bit of support a little bit of resistance back here in december. So once again, amc is reacting to that level, but beautiful breakouts of 24. This trend line of 27, we broke through a lot of resistance today and i'm sure if you're an amc trader investor, you have a big old smile on your face.

The next thing i'm watching is this region, basically between 32 and some change and then maybe 34. I just see some resistance here from late december and then also from early december. This is my next watch just to throw out some levels of resistance and support to all of you now very quickly, with gme crazy good day, as well, gained almost 25 with a short interest sky high at 25 costs to borrow at 20 utilization 100 shares on Loan, 22.6 million, with an estimation of 15.6 million, actually short against gme. I think there's a pretty decent argument to say that it might actually be a little bit higher because remember.

This is an estimate. We only get this type of information every two weeks. You know. What's a crazy thing about amc and gme is in the past two weeks: gme shorts are down about a billion dollars.

Amc shorts are down about 700 million. The craziest thing about those stats is that was before the market opened today in the past two weeks before the bell went digging ding ding ding. Today, collectively they were down 1.7 billion in the past two weeks, and that was before gme's gain of 25. That was before amc's gain of 45 folks, let it settle in that both of these companies added billions of dollars to their market cap today.

Another way to say that is both of these companies added billions of dollars to shareholder value. Today, that is down right, ridiculous and i very much hope that you got a piece of it. One thing i want to talk about, and it was just because i got this question a lot today was: did the shorts cover? Well, the first thing we have to consider is: okay, with amc, let's just use this number of 108 million and on gme, let's just use this number of 15.6 million. Well, amc did right here, have a trading volume of 224, so obviously that does eclipse it and in terms of gme we are looking at 16 million.

Just to give you a recap, that's pretty much in line, so i think with gme. It's actually easier to explain. No, it didn't because that would mean that pretty much all the volume today from the bell opening to the bell closing was short covering not going to happen. There were many algorithms going high frequency traders, market makers, fomo institutions.

There were many other players, besides just shorts, covering all day all day all day. It just doesn't really add up there. Now. Yes, you can apply some of that concept, also to amc, because we've traded about double the volume.

That's estimated to be short right now. So, okay there's a little bit of wiggle room in the math there, but once again, let's think about all the other things going on. I mean the enthusiasm was sky high. Today there had to be some fomo buys the.

If you look at the options market in both amc and gme, there were many out of the money calls that went in the money, so i'm betting to a certain degree. There had to be some hedging without a doubt. So did some shorts cover in these two? I'm not saying no shorts covered, i'm just arguing that in two days when we actually get the data set, it's going to be minuscule relative to the short interest that we're seeing in real time. Right now, i think the craziness we saw remember in when you're seeing the market actually trade buying is buying.

It doesn't matter if it's fomo buying it doesn't matter if it's shorts covering and it doesn't matter if it's people who sold premium that need to now hedge their position buying looks like buying. I would guess that it's a combination of the three throughout the day, i'm not sitting here, saying absolutely no shorts covered, but when we start looking into some of these other things like, for example, what i have up right now days to cover on the one week, We know the days to cover is in excess of one day so and that's on the shortest time frame. It just gets bigger. If you look at the two week or the three month so right away on both amc and gme, i'm seeing a decent cover on the lowest time interval, which is going to be the less supportive of the apes position still in excess of one day.

So right away, i'm like did the shorts cover some did, but i don't think it was a mega amount by any means and then the other thing i want to point out on both amc and gme is right here. The average age of these shares going out on loan, which is the appropriate step. You have to take to take a legal, legitimate short position against either of these well amc we're at 78.5 days and on gme. We are now at 61 days that duration, both in excess of two months, there's just no way what we saw in terms of the volume today.

The volatility of the charts and the other just logical things going on, especially when you include just like the pure metric of days to cover, i just don't see it happening theoretically. Could it have happened? I guess but like i honestly, don't even think. I believe that i really don't think it could, because there's too much additional engagement in the markets today, besides just purely shorts covering and if we saw that. My reasoning, for that is just the fact that if we, if it was shorts covering all day, it would have just been a pure rip, no red bars just insane just them, buying buying buying buying all day it would have been much more volatile.

I just don't buy it. We will get the answer to that in two days because remember we're on a t2 settlement cycle, so we'll be able to know from the return shares on wednesday of this week. We're going to get a bit more clarity, but i would bet any amount of money that did we see some shorts covered yeah. Was it a crazy amount? No, i actually, i truly don't believe, really any noteworthy percentage of today's volume in amc or jimmy was shorts, covering for all those reasons listed and even on something like gme, the cost to borrow still sky high.

We're still seeing that demand. I mean there was only a net change of a hundred thousand amc. Is this holding constant and there was a net borrow against amc. This metric alone tells me no it really.

It was actually a net increase in the shorts against amc today, which is just insane, so we went over those price levels of what i'm watching. I do want to quickly remind you, especially with reference to amc and jimmy. I think it's absurdly silly to have price targets. I would recommend watching this video.

If you want to know what i mean in my own exit strategy, i would watch this video why you shouldn't use price targets, but i am seeing price targets on various forms of social media. Some are comically high. Some are comically low. I really don't think we should be using price targets if your goal is to maximize your profits.

The tl, dr version, is you ride the trend? It's that simple, it's not like it has to go here. It has to go here as soon as you put those types of things on, especially with the time frame. It becomes that much more difficult. I also want to remind you that i'm not a financial advisor, nothing, i say, should ever be considered a buy, a sell or a hold signal.

I am very much invested in amc and gme. I wanted to go higher because i think i can make a lot of money, but at the end of the day you have to do what's appropriate for you. You have to take care of your own financial situation, your own family's financial situation and, if you're attempting to do that, i think it's important to be like okay. How can i maximize my profits - and i think the best way to maximize your profits is to ride the trend and get the meat of the move don't put on these? I guess concepts of like has to go to this price.

It has to go to buy this price by this state. Those unmet expectations, i think, uh from an emotional psychological point, are the things that could really mess up this play. Um, like i'm more of a personal level for you of like you're like wait, i thought this and i had this and all of a sudden like this. Very much is a mental game and you got ta stay on the ball.

The final thing i want to talk about - because this is just like such a crazy day is particularly with ryan cohen, which we know he owns now what 9.1 million shares of gme. So we were talking about the shorts that got absolutely burned today. Well, 9.1 million shares on a nice 25 gain. He made millions and millions and millions, and then it gets even bigger when you realize how much he owns a bed bath and beyond which had a beautiful gain of 16.5 ryan cohen, crushing it on these two trades and a little bit of an update there.

Just bed bath and beyond shares rise after retailers strikes deal with activist investor ryan cohn. So this was last week and we're actually seeing the continuation into today. Obviously, gme and amc also just going completely bonkers bed bath and beyond announced that has struck a deal with activist investor, ryan, cohen, the home goods. Retailer said in news release that three people from cohen's firm rc ventures will immediately join bed bass, board of directors.

So definitely strong-arming them. There cohen revealed the stake in bed bath earlier this month and said the company should shake up operations and consider a sale of the bye-bye baby chain. So that's a quick reminder of what's going on in this situation. Ryan cohen is absolutely destroying it and aimed or excuse me, gme and bad bath and beyond over the past two weeks, like we're talking hundreds of millions of dollars, and if this continues, it could literally be billions of dollars, probably one of the most exciting march time Periods in his entire life and then obviously people who are in an amc, like i mean you see the gains yourself.

This is absolutely crazy. Remember, calm cool collected stick to your trading plan with an emphasis on your it's your training plan. Don't just arbitrarily believe these random price targets and dates. I think that's all bs stick to what you know stick to your dd.

I would love to get your thoughts on all this insanity in a comment below. If you enjoyed this video - and you want to help me out the algorithm, it would be awesome if you could hit that like button and don't forget to join up with the moon gang by hitting the subscribe button. I appreciate your time i hope, you're having an absolutely bea beautiful day and i'll catch you in the next video you.