What's going on moon gang welcome back to another dumb money weekend, update on this particular video i'll, be talking about the overall market gamestop and also be sharing. My non-financial advice opinion on why i believe it is hammer time for amc. So with all that being said, let's hop into it amc closed out the most recent week at 34, 41 and jamie closed out the week at 1, 59 30.. This video, i will be hopping into some technical analysis, so the first thing i want to point out here on friday: oh this was basically a picture, perfect cup and handle setup here would be the cup we have one big.

U, then, you have the handle formation. Just uh basically another smaller: u so big? U little! U and then the explosion and right there amc had a nice gain of 1.74 percent on the day after it was getting knocked down from 3435, all the way down to 32.25, a very, very strong recovery. To close out the week, we saw a lot of bullish apis momentum. All the way into close.

This is a perfect, perfect cup and handle setup, or, as i like to refer to it, a dutch tulip setup first for the overall market right here we did see some weakness after hitting an all-time high on august 16th. The two things that came into play here was kind of the turmoil related to afghanistan, specifically kabul. Obviously, those outside political influences have a strong, strong impact on the overall stock market and then other than that, we also had the federal reserve talking about how they were going to be tapering some asset purchases and actually that's something i want to bring up here, because I do think that that could lead to a little bit of uh volatility in the overall market and the reason we talk about the s p 500. Russell 2000 is because it does provide headwinds and tailwinds to amc and jimmy, so just very quickly for the overall market this week, this upcoming week, fed's jackson, hole symposium, personal income and spending what to know this week.

So it will be this week from thursday to saturday and they're going to be more so figuring out. What's going on with the tapering of their asset purchases recently, the federal reserve has been purchasing 120 billion billion with ob per month for more than a year during the pandemic, and this is basically what's been backstopping. The economy they're just putting more and more money into it. It is very obvious that they will not be able to continue this indefinitely and a lot of people.

We agree that the federal reserve is dovish they're, going to remain dovish, maybe they're a little light. Less dovish than they have been, but still extremely dovish. What i want to know is how they're going to taper. Is it going to be a 50 hit first month, 75, or is it going to be slow? So that's what i'll be listening for.

So we know they're going to stop. We know they are going to follow through on this tapering. I want to know the details of how they plan on executing it and what, depending on what is or isn't said, we could see more or less volatility in the overall market for the technical levels. With this beautiful bounce off of the support.

Look at resistance support support nice bounce off of 436 we're at 443, which broke above this previous resistance. I personally think there's going to be a continuation up to 447, which is the current all-time high, but i with that particular prediction. I don't think time is really going to be my friend i would like to see this tested before the symposium starts and before information from the jackson hole. Retreat really starts to come out.

So that's what i'd be looking for in the s p. 500. In terms of iwm, this one has, i would argue, a greater impact on amc, mainly because amc's in iwm gme was previously in iwm aka, the russell 2000. But right now it's in an index uh the s p mid cap 400.

So it's in between iwm and spy. If you were to kind of tranch that all out, but anyway we saw a similar bounce. This one bounced off of 211 broke up and right where it closed, was the previous support from july 27. I want it to get above that and then test basically 218, as we do see more strength than this.

I think that will bode well for amc and in terms of the russell 2000 itself. We are kind of now in a weird wedge structure: lower highs, higher lows. I do want to see the follow through and eventually a test of 221. Hopefully it comes around there and we get a test of this.

Top trend line would love to see a breakout for that with amc before i get into this daily chart. Let me quickly go over these or text number for you. So on friday it was pretty much net neutral, but it was weird because the borrowed shares and the return chairs both are pretty sizable magnitude. 3.4 million shares returned and the borrowed shares were 3.34 million.

The short interest as of friday's close, was estimated to be at 17.85 percent over here in the yellow. You could see the trend of the estimated short interest and in the red you can see the trend of the shares going on loan. Remember to take a legal, legitimate short position. You have to first borrow the shares from a willing lender and then once they're borrowed.

You can short, then, when you're done with it, you would buy it back to close your position and then you would return the shares a little bit of confusion. I'm seeing right here return shares is not short shares covered return. Shares is really two things. It shows that when out on loan were shorted bought back then returned or it could just be shares that went out on loan.

They never took their short position for whatever reason. Maybe they thought there was an announcement. Maybe they thought there would be a technical development in the chart, for whatever reason, maybe they just didn't want to bet against the community and they're like you know what, and let's just give these back so return chairs. There's you need to know that, and i think people are getting a little bit confused about weight hanging on this entire thing is delayed by two days.

In fact, it's actually not these numbers up here. I do believe that there's um a good discussion to be had that. Yes, you could probably argue that their short interest estimation, depending on how you look at it. I do understand the argument that maybe that's delayed by two days, but shares on loan and utilization are very much updating every single morning in the live updates.

Right here borrowed shares, return shares right there. Those are going to be lives like i said this is not shares that are short shares that are covered. It's return shares. Those are two different things, but um there's a little bit of rhetoric going through the community that this is all delayed by two days.

That is actually a falsehood. I do understand the argument a little bit with the estimated short interest but, like i said, shares on loan utilization very much real time. The other thing people were more discussions about not being able to buy shares. Remember, there's not some pool of free shares every share right now has an owner.

You don't buy from the ether you don't sell into the ether if you're a buyer there's a willing seller if you're a seller. That means there's a willing, buyer and people are saying. Hang on when utilization gets to 100, can i no longer buy remember what utilization is utilization is simply the ratio of shares on loan divided by the total amount of loanable shares utilization, only really deals with people who are attempting to short, not people like apes and Bulls, who are just trying to buy the stock um this concept of not being able to buy more shares, you're, always just buying it from a willing seller. There's not some pool out there that you buy from and sell into a little bit of a misunderstanding.

I believe going on there in terms of amc we're still on this wedge. I've talked about this for a while. I we obviously want this top trend line breakout for monday august 23rd, that'll be in the realm of the mid-36s, but remember we have resistance from basically 38 39 up to 42 above 42. Things get interesting above 46, which is the high from july 21st.

Things get very interesting. I've talked about this technical setup for a while we're waiting for this wedge to conclude and fingers crossed for a break upward. 42. 46.

Are the major levels i'll be watching? The thing i wanted to talk about here is what happened on friday. This particular candle right here specifically for august 20th, does have a unique name and that's kind of what i wanted to talk about, and this is why i think it's amc hammer time this particular candlestick pattern is referred to as a hammer candlestick and what the key Takeaways here you can find this on investopedia look into it, it's a common one that people talk about and notice, and i just wanted to share this all with you. Hammers occur after a price decline. The hammer candlestick show sellers came into the market during the period but by the close, the selling had been absorbed and buyers had pushed the price back up near the open hammer.

Candlesticks indicate a potential price reversal to the upside to the upside. So basically, what it's saying in layman's terms is that overall, there was a price decline. We even saw that individually on the day, so two days of red it sold for the first half of the day, but then the selling supply they ran out of it. The buyer stepped in and they ran it back up, so i would love it if someone could edit like a little thor in here or something for me, but this is a hammer.

Candlestick pattern bullish commonly indicative of a reversal, i'm saying commonly indicative, because nothing in the stock market is ever guaranteed. I just wanted to put on my teaching cap for a second to let you know so. You can better discuss some of the things you're, seeing in charts with a fellow trader investor, or something like that. I do want to note that this came after a price decline and right here let me show you this.

So this is a hammer, but if it happened after a price run up, that would be a hanging man and that's usually basically they're signs of a reversal, so selling selling selling we see a reversal buying buying buying. We see a reversal and i believe, if you were to invert this, like if the wick uh aka, the shadow, were on top of the hanging man right here. I believe that's called a shooting star and that's also indicative of a reversal. So, basically, a lot of these the hammer, the hanging man, you're, reversing the trend that you just previously saw.

So you see this hammer after it's been trading downward, we'll look for it to come up. You see a hanging man after it was trading upward. Look for it to sell off so right there, like, i said i just wanted to share a little bit, so we can all be on the same. I guess page of terminology and everything like that in terms of amc's two hour chart right here.

We see a little bit more of a detailed view. It's really trading around this mid value. Around 33.50 we see some consolidation, consolidation, resistance, support, resistance, consolidation, resistance and then right here, a little bit more consolidation. Obviously 3350 is very important.

I'm looking to stay above it - and i want to see this - the first test right around this trend line, but a little bit higher would say around 36.50. So that's the major test that i'll be looking for coming out of the gate this week and then obviously pass that i want to break out of 38 and that would be followed by 42.. Now, let's switch up to gamestop aka gme net bar was 45 000 short interest of 10.64 utilization of 37.44 and shares on loan of 6.88 million. Recently we've been kind of flat, and i think this is interesting for a couple reasons, because we still hear that rhetoric.

Well, fairly for amc and gme of how they're overvalued, but if they're so inherently just overvalued like. Let me just play this argument for a second here. Well, then, why has it been holding so consistently? I mean they argue that gamestop should be down here around whatever 12 20 30. Something like that.

It's odd to me that even in the second run up here, they only beat it down to this consolidation level. We had another run up still same thing, we're holding on to this level, so i'm almost curious if we're setting up before i was talking about the cup and handle, and this wouldn't be it. This would be more of like uh, probably a whole different name for it. There's so many technical analysis names out there, but i'm looking if it's just going to be another long-term massive swing back up and hopefully on this time, a huge breakout and even exceeding the 43 that we see right here.

So i wanted to show you a little bit of the longer term, but in the shorter term, another wedge we see some lower highs, some higher lows. I like this bounce and i'm looking for really the breakout of 164.. Not only does it roughly estimate this top trend line, but we see highs from august 9th all the way up to august 18th, someone out there. Some big bear did not want this above 164.

So obviously, if we get above that trade, serious volume and especially close above it, that would really kind of hurt their theory and their thesis or just their overall goal of trying to get this to actually break down so 164 pass out i'll watch 1785.. Really it's 174 to 176 and after that, let's pay attention to 188. But overall, that's what i have for you in this video. I just wanted to teach you a little bit about the technicals just so we can use that terminology and get us all on the same page with some of the short interest terminology as well, but right now, amc and jamie, showing some strength showing some momentum, and I want that to continue into this week the remainder of the month and hopefully also obviously into september, and don't forget that the market s p 500 russell 2000, probably the nasdaq 100, probably also the dow 30 - could have some volatility dependent on what the federal reserve Does or doesn't say with all that being said, i would love to get your thoughts in a comment below and if you want to help me out with all that good algorithm stuff don't forget to like subscribe yada yada yada, but until i catch you next time For me and share best of luck in the markets, you.