AMC | InformativeNYSE:AMC
If the price breaks below $4.60, the next target could be $4.30, followed by another potential target at $3.70. If it continues to lose the $3.70 area, there is a possibility of it reaching $1.50.
On the bullish side, there is a potential for a counter-pullback due to the formation of a double bottom and oversold conditions. However, it is important to note that this bullish scenario may be temporary in nature.
AMC2 trade ideas
AMC Shareholders approved combining AMC shares & APE units !Even though I was one of the first to signal you about the AMC potential to become the next GME Gamestop:
Today I want to share with you my Bearish Thesis:
In my opinion, there are factors that suggest AMC Entertainment Holdings (AMC) may experience a decline in share price following the APE (Additional Paid-in Capital) conversion. The approval of combining AMC common shares and APE units by an overwhelming majority of shareholders (87% in favor) indicates a significant increase in the capacity to issue additional common shares (88% in favor).
The increased capacity to issue common shares can potentially lead to dilution of existing shareholders' ownership. As more shares are issued, the existing shares represent a smaller portion of the overall ownership in the company. This dilution, coupled with the potential influx of additional shares in the market, can put downward pressure on the share price.
Furthermore, the approved combination of AMC common shares and APE units may result in increased selling pressure as some shareholders may choose to liquidate their positions. This increased supply of shares in the market can further contribute to downward price movement.
Considering these factors, my price target of $3.80 by fall reflects a bearish sentiment for AMC's stock. It is important to note that the price may even go lower due to the potential dilution and increased selling pressure resulting from the shareholder-approved measures.
Looking forward to read your opinion about it.
WYCKOFF SCHEMATIC 1 IDEAIf conversion approved by court I see something along these lines. If conversion somehow denied then I imagine schematic 2 would be more accurare before ultimately the company going bankrupt because of inability to raise cash. 99% certain conversion is imminent and ultimately will provide AMC the liquidity to thrive.
Showing October as the big move because I think October will be the month that liquidity becomes an issue and shorts will have to cover. The 50 would also be crossing the 200 around then which could lead to more institutional money pouring in.
Not financial advice, just my thoughts.
Here are my lines on the AMC chartSo there are a few trend lines that I've been tracking that date as far back as the June 2021 run up (Purple).
We are currently surfing along the top of this Purple trend line and, with the help of some kind of catalyst (earnings is right at the closing point of the trend line) and some high volume, I think we are ready to fly.
The Orange and Green trend lines will likely be resistances on the way up, not sure exactly how strong as AMC is known for busting through resistances on the 4th touch.
The Blue trend line hasn't been tested as often so I can see somewhat of a pullback once it touches it, but ultimately I think AMC is at least a 10$ stock, so earnings should help it get at or above that level.
This has been your BroStock Science of the day. Time will tell.
AMC | It's Coming!!! | LONGAMC Entertainment Holdings, Inc., through its subsidiaries, engages in the theatrical exhibition business. The company owns, operates, or has interests in theatres in the United States and Europe. AMC Entertainment Holdings, Inc. was founded in 1920 and is headquartered in Leawood, Kansas.
AMC Bullish Long June 23rd AMC Long Options Call for Earnings on June 23rd
I have purchased AMC long options calls with an expiration date of June 23rd and July 7th. The strike price for both contracts is $4.50. I believe that AMC is undervalued and that the stock price will increase after earnings are released on June 23rd.
AMC is a leading movie theater chain with a strong brand and a loyal customer base. The company has been struggling in recent years due to the COVID-19 pandemic, but it is beginning to recover. In the first quarter of 2023, AMC's revenue increased by 83% year-over-year. The company also generated positive earnings for the first time since 2019.
I believe that AMC's earnings report on June 23rd will be positive. I expect the company to report revenue of $1.2 billion and earnings per share of $0.15. If these numbers are met or exceeded, I believe that the stock price will increase significantly.
I am bullish on AMC and I believe that the stock price could reach $6.00 by the end of July. If the stock price does reach this level, I will sell my options contracts for a profit.
Risks
There are a few risks associated with this trade. First, AMC's earnings report could disappoint. If the company reports revenue or earnings below expectations, the stock price could decline. Second, the overall market could decline, which could also impact the price of AMC stock. Third, the options contracts could expire worthless if the stock price does not reach $4.50 by the expiration date.
Conclusion
I believe that the risks associated with this trade are outweighed by the potential rewards. I am bullish on AMC and I believe that the stock price could reach $6.00 by the end of July. If this happens, I will sell my options contracts for a profit.
Is AMC setting up to go long?On the 15 minute chart, AMC is in deep vundervalued territory between one and two standard
deviations below the mean VWAP band. IT is near to and abouve to cross over the central POC
line of the volume profile. It is the price area where the highest volumes of trading have
occurred. The zero-lag MACD shows a buy signal with a K and D line intersection under a green
histogram while the RSI Ichimoku shows relative strength to have risen from the bottom of
its upward-sloping regression channel and over the 50 value. Overall I see a potential setup
here for a breakout. It might be the best time to get a ride on a rocket is before the launch.
FOMO riders typically are disappointed. I will take a long trade with 1/4 my usual risk and
Que Sera Sera.