(Part 1) Why quitting your 9-5 job is a bad idea right after post-squeeze?
Wait what? Why cat?
Relax. It's basic wealth preservation 101.
(Part 2) Many people after a lottery, based on a 2016 national survey, keep their daily job or continue to keep working.
The thing is, once you sell your positions, it becomes a one-time income for that year and it doesn't grow if you have not reinvested back into the market.
(Part 3) Leaving your 9-5 job is cutting yourself short and you are not shielding in anyway your millions worth of cash reserves because that boring job you have was the only hedge left against that psychological spending.
(Part 4) Work on securing multiple streams of revenue first! Once you make more passive income from these different streams than you could possibly make from your daily job, only then you can leave.
(Part 5) Different streams are dividend-based stocks, REITS, real estate or crypto. Possibilities are endless.
You shouldn't work for money.
Money should work for you.
Think about it.
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China's working age population has been declining putting a significant pressure on labor costs meaning this country won't be the world's factory in the next decade or so.
Considering they have recently allowed a third child per couple policy to solve this innate working age productivity problem, China's fertility rate has been declining as well.
From the 1980's to early 2000's, this country has adopted a booming strategy ensuring an empowerment of the local economy first while expanding their military footprints in order to become the next superpower competing with the US.
Every security trading-related institution (hedge fund or investment bank) is bound by market regulators under a clearing corporation (CC).
$AMC - $GME - $SPCE
(Part 2) Every CC has their specific criteria for their registered members using their services (AUM, custody, validity of transactions) including maintaining a minimum level of liquidity in their brokerage accounts. Consider a CC being a payment processor like Paypal.
(Part 3) This required level of liquidity requirements is somewhat a failsafe to maintain borrowed assets, especially shorts dealing with margin.
You guys are about to become part of the 1%.
But the homework is not done.
There are tiers within that 1%. The top of that 1% is Jeff Bezos, Elon Musk, Bill Gates, Mark Zuckerberg etc.
You will be part of the bottom of that 1%.
(Part 2) Truth is, 70% won't be able to make it and maintain that new status. Squeezes are just like lotteries and be sure that you are not part of that statistics.
Going back to the lambo purchase. If you choose to buy one, good for you. Your money is your responsibility.
(Part 3) Consider this. The high average of a lambo is 500k. If you commit to use that 500k for passive income, this is what you get.
500k under a brokerage account, with a solid 10% APY (with good research) will give you roughly 50k/year.
This is the penultimate DD of common sense about the #MOASS involving highly shorted securities (ex: $AMC, $GME, $SPCE)
This is going to be a worthwhile reading session separated into many parts covering the aftermath, the issuing speculated crash, and wealth preservation.
Disclaimer: Anything from this thread is not financial advice and there will be underlying financial principles that are best applied for me.
Your money is your responsibility and I am not held accountable for your individual decisions if something happens to your lost tendies.
(Part 1) The #MOASS is currently under preparation and $AMC is experiencing a wave of enormous FOMO and delta hedging which could drive the price up even more before shorts are forced to cover. A short squeeze does not start unless someone starts covering. Plain and simple.
(Part 1) Remember when GME spiked towards 480$+ in January? The DTTC, a worldwide known clearing corporation, recently admitted that no institutional party has covered their short positions. So technically, that wasn't a short squeeze.
(Part 2) That info changed tremendously our outlook on the data. The current price movement of $AMC is essentially triggered by FOMO and delta hedging which the same thing happened with GME. A short squeeze is, by definition, positions being covered by short sellers.
(Part 3) Logically speaking, considering the greater amount of outstanding shares and the stock being one of the most heavily shorted securities on the market, it is quite possible that the stock could go up in the early thousands without short sellers covering.
(Part 1) "There's a small group who can do the math. There's an even smaller group who can explain it. But those few who can do both, they become billionaires" - Bobby Axelrod - Billions
Let's lay back and think rationally about this. $AMC
(Part 2) Multinational corporations and worldwide known institutions are the best ones who can figure out mass psychology and use that notion against retail investors to manipulate markets.
(Part 3) The stock market doesn't care about your emotions but when it does, the people in authority will use it to pummel you down.