AMC( STATISTICS)

As you can see the there is a significant negative correlation between AMC and the SPX500. Simultaneously the VIX and AMC have a high positive correlation. If AMC goes up even a little this could send the entire market downwards. I believe this correlation is due to the fact that as a hedge fund you engage in short and long strategies. However, hedge funds have never been so over-levered to this degree, where massive buying can potentially force them to get margin called. When they do get margin called they will be forced to liquidate some of their long positions.

تعليق:

When they get margin called we can expect further downside!