Battle of the Apes - Whats going on with AMC

So, last week the shares didnt get dumped into the market. I am still waiting. What has changed?

We can see that the option volume collapsed over the past 10 trading day, equals two calendar weeks. The expectations are shifting to the PUT options.

The Market Makers, MM, keeping the price steady. The trading volume is only 20-30% of that what it was IN AVERAGE. The Average trading volume is 164 million shares per day, was 93 million per day before the squeeze started. Now the daily trading volume is about 25-30 million! This is significant and we can see it.  

What does it mean?

It means the apes run out of interests because all the bananas are eaten. They run out of money. They cannot afford to buy more calls in order to force the MM to buy the underlaying shares in order to drive the share price up. The MM has 11 million shares from expired CALL options from last week alone. This is enough to keep them for additional CALL Option buyers this week and next week to come. 

The Apes could buy more call option but the MM does NOT need to buy more shares. They are sitting on an excessive amount of shares from all the expired CALL options!

Lets see how many.

Last week we had 120,000 CALL options representing 12 million shares, to expire worthless and 70,000 PUT options representing 7 million shares, to expire worthless.

This coming Friday we have 5.5 million shares in CALL options on the table and 3.5 million shares in PUT options.

The PUT/CALL Ratio last week was 0.58 and this week 0.65.

What does that tell you?

It tells me that there are an increasing bigger amount of PUT options in the game. Traders are increasingly betting on the downside of the stock. Remember, this is a bankrupt company and the future shares price estimated by "experts" is $3.30 and NOT $55.00!!! The Gamma Squeeze seems to be over and the price will come down. I only hope this will happen BEFORE my PUT option expires in 22 days.

Here are the Numbers 

Call Options and Strike Price for Friday 2nd of July, 2021. The $57 and $56 Strike might be in the money. Thats how I booked it. But if the price stays even below that the option trader will go empty this week again. And here are also the PUT options to expire this Friday. The 56 Strike for the Put option might be in the money on Friday. We will see.

And how do the MM do in controlling the price of AMC?

The MM keep the price steady. They have enough shares now to answer any option call.

Something will have to give and I believe it is the downside since the Apes run out of money to buy more Bananas.

Another look at the Option trades.

We can see surprisingly that the Apes bought 10,000 CALL option contracts for $1.11 averaged price each at 12 pm Eastern Time. That brings this single bet up to 1.11 Million Dollars. They bet on that the price will stay above 56 and 57 Dollars, the Strike Price.

What happened? What did the MM do?

They sold shares. At 12 pm the Apes bought 10,000 CALL Options and the MM sold shares instead of buying them!! 

Why? 

Because they are sitting on a shitload of Shares. They dropped the price below the 56 and 57 STRIKE!!

We will see tomorrow. When will AMC drop to $40? 20% Trading volume only. Not good for the Ape Army. 

Dumb Money and the trap.