How To Spot A “Squeezequake” Before It Erupts
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These events have strange names, but the profit potential is no laughing matter. In fact, “squeezequakes”, when they happen and you spot them correctly, can be a game-changer!
See, in my MasterMind class, I help traders identify what I call “Ghost Prints,” the telltale signs whales and other big market players leave behind that can point out significant options trades. These trades can create scenarios whereby you can see a “gamma squeeze” in the price of a stock.
“Gamma squeeze? Ghost print? Squeezequake?” I can hear you ask. Well, this shorthand helps me define massive money-making opportunities.
A gamma squeeze can happen when there are thousands of contracts bought in a hurry. Now, there’s a market maker on the other side of that trade and that market maker is exposed. That’s not a position they want to be in, so they in turn hedge their risk by buying stock.
And when a gamma squeeze ignites in a stock that already has significant short interest - that is what I call a “squeezequake”.
These can be extremely powerful. I’d bet you’re watching stocks right now that are experiencing these sorts of dynamics and you didn’t even know it.
Tonight, we’ll take a deeper dive into three stocks that are showing the first rumblings of a “squeezequake” this week…
Video Length: 00:13:30
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