GME vs VW Short Squeeze - NOT LOOKING GOOD

מעודכן
Hi everyone,

As some of you spotted out very well. the previous analysis/comparison didn't use the same timeframes - sorry for that, wasn't intentional.

In this case we compared the 2 short squeezes on the same timeframe - Daily time frame.
Why? Because bigger time frames don't have the same date. -» GME is quite "fresh/new" versus Volkswagen so we have to use the best time frame that shows not too much noise but gives us the best info.

As we can see, prices always tells us what might happen.
Yes the 2 short squeezes are different but fundamentally very similar -» a short squeeze happens in the same way but the corrections itself occur differently.
GME shows 2 bigger short squeezes and VW actually one since the first bull candle could be seen as the run up towards the spike.

My theory is the following on the GME short squeeze:

1. Run up -» before the run up anyone who catch the trend is safe, you made the least riskiest investment.
2. Everyone get's hyped up and thus pushing up prices and creating the first squeeze.
3. The first bearish candle indicates that everyone who made nice gains is collecting profits & maybe Wall street closed some of their short positions.
4. The hype is still there and more people come in -» these are the late to the party ones creating another squeeze.
5. Second bearish candle -» anyone who made for the second time nice gains, sell their positions + anyone who panicked + Wall street closing short positions.
6. Hype and mass hysteria is fading away and price is seeking it's fundamental price -» all who bought the top is trapped.

It's very sad to see this because even when attacking Wall Street and beating them on their own game, many traders lost.
Why?

WBS, Reddit, Roaring Kitty especially used the same exact tactics to beat Wall street and making nice gains by using the retailers to pump up the price.
Why?
DFK's last statement showed 22million in total profit of which he cashed out 13 million -» he made his millions, there's no loss for this guy.

You see the point?
Others already gained, and the rest is to be seen.


Thank you and I'm looking forward to read and reply to your comments!
הערה
I hope the text isn't overlapping, for some reason this happens while it's completely ok on the chart itself.
הערה
GME - MACD Cross confirmed
הערה
A positive case study:

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DFV SOLD 300 OPTIONS - and you HOLD?
הערה
Hi everyone,

First of all thank you for all the comments!

Just to be sure: the entire idea shows the fundamentals/structure of a squeeze.
Each and every squeeze has different reasons and stimulus behind it: I'm thus not claiming that both are the same in that sense.
The Why is different in both cases.

Structural speaking yes -» same for bubbles, they have the same structure but why they happened is different.

Thank you!
הערה
Hi everyone,

Update on what DFV actually cashed out - I wasn't aware of this when posting this one.

Here is the actual update - he cashed out 9 million between 26&27/01 by closing 300 call options.

You can find more details here:

DFV SOLD 300 OPTIONS - and you HOLD?
הערה
To make it clear: I believe in a free market and this should be ensured - so yeah I condemn RH and other shady businesses.
It's quite a grey zone on some topics: for instance - every time a hedge fund gets a bail out, the tax payer pays for it -» so maybe we need to get rid of bail outs.

The whole things is bizarre and reason why I'm posting this is to make people aware to study and check their info - that's all, no one needs to follow my opinion, I'm just a random guy.

Cheers and the best to everyone!
הערה
Everything explained in this video:

Chart PatternsFundamental AnalysisGMEgmelonggmeshortgmeshortsqueezegmestockTrend Analysis

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