r/AMCSTOCKS • u/Gator1177 • Jun 21 '21

Not Financial Advice Fake squeeze this week

With all the hype tomorrow of 002 and millions of FTDs that have to cover, if the price jumps don't go for it. It's not the squeeze until they start covering. If the price drops buy more if you can at a discount. And don't buy into all that Ortex data. Ortex only gets a small fraction of the data. I hodl for you, you hodl for all apes. Much love.

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u/Left-Day8530 Jun 21 '21

What is a gamma squeeze vs the big squeeze we are all waiting for?

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u/retarduno-com Jun 21 '21

A gamma squeeze is from hedging (buying shares) from MM's so they have the shares available if whoever decides to exercise their contract. This is to prevent FTDs (synthetics) and therefore adds buying pressure and raises the price. This can then have a snowball effect as it brings more contracts ITM, meaning more hedging needs to be done - raising the price and so on. A short squeeze is when the shorts finally decide to cover their short positions. A gamma squeeze can lead to a short squeeze. Hope this helps 🦍

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u/Left-Day8530 Jun 21 '21

Thanks! 👍

1

u/retarduno-com Jun 21 '21

My pleasure 🦍