I DARED to Challenge the #AMCApes and This is What Happened

And critical lessons learned that will SAVE your portfolio from destruction

Reddit investment forums are a prime example of the level of close-minded intolerance on the internet to which you will be exposed when it comes to financial truth.  Yesterday, I wrote about the close-minded intolerance and falsehoods spread about gold as an investment on the internet, but the same applies to even individual stocks should you dare cross the predominant school of thought about the immediate share price direction of a stock that has been adopted as a “stock of the people”, even though such narratives tend to be completely false and are just greedy money grabs as well and no different than strategies executed by greedy Wall Street firms.  However, go against any asset that has been propagandized as an asset of the people, whether AMC stock, GME stock or Bitcoin, and you will feel the wrath of the self-aggrandizing, self-identified “good people” mob, no matter how spot-on are your analysis and consequent warnings.

Simply reference this article I wrote to warn the #AMCApes about an imminent plunge in AMC share price and to sell AMC stock at a time when the #AMCApe meme was going ballistic in popularity on Reddit threads back on 9 November 2021.  Though AMC share prices started plunging within days of my issued warning and AMC stock has collapsed by 82.85% since then, my post seemed to trigger the Reddit forum admins to “cancel” my presence on Reddit because I dared to challenge the mob.

Simply posting a prescient prediction about a popular stock that dared to challenge the dominant belief that the share price would “go to the moon” triggered, within hours, the following response from Reddit forum administrators:

(1)   My article was taken down and deleted;

(2)   I was banned from posting again on the forum; and

(3)   My Reddit account was deactivated.

Since that time, since no explanation was given for the above absurd reaction to my post, I’ve only posted here on substack and have refused to provide any further warnings/predictions on Reddit to the mob following that debacle, even though many of you here that regularly read my forum know that I issued a bunch of further warnings in 2022 that came true (ie, to abandon the ARKK ETF at the start of last year) that would have benefited the mob as well. However, common sense and a little bit of deduction would theorize that I was banned simply for presenting an investment perspective on AMC’s share price direction with which 100% of the #AMCApes disagreed. If you follow the link above to the article I posted, you will learn that I didn’t post anything derogatory or off-color that was remotely worthy of a lifetime ban.

Furthermore, as AMC’s CEO become the #AMCApes god for constantly pandering to their perspective, my criticism of the AMC CEO’s leadership skills probably greatly upset the mob that was trying to gamma squeeze AMC’s share price even more absurdly higher than it had already attained back then. In the referenced article, I wrote the following analysis of the AMC CEO Adam Aron:

“[W]ell-known AMC CEO Adam Aron has been slow to move AMC’s business model from its dinosaur theatrical model that Covid lockdowns practically killed during the majority of 2020 and 2021. Thus far, Aron has only instituted minor changes, such as allowing the consumer to purchase AMC theatrical releases on Premium Video On Demand (PVOD) on an expedited 17-day after theatrical release timeline versus the prior 90-day model.

In my opinion, Aron should have been burning the midnight oil to make radical changes in AMC’s operational model to quickly adapt in response to the devastation of Covid Lockdown measures within months after being handed a lifeline by the #AMCApes way back in January of 2020. It should not have taken nearly a year to announce that major operational changes are on the way.”

However, my instant banning from an online investment forum simply for committing the “sin” of not contributing to the cheerleading echo chamber of higher AMC stock prices back then was not even the biggest lesson to be learned from this incident. I already discussed in this post, that if you seek investment guidance from online consensus opinions, following such opinions will cause you to lose vast sums of money the great majority of the time.  I will follow up this article with another post on this platform about how I find it necessary to dig deep to uncover the best information not just about investing, but in all walks of life, even when it comes to the world’s most insightful philosophy (Stay tuned for an article about the Stoics v. the Sophists).  

The greater lesson to be learned from a historical study of AMC share price is how CEO Adam Aron tried to exploit the naivete of the #AMCApes to keep his company alive at the expense of the wallets of the #AMCApes, without the #AMCApes even likely understanding that they were being exploited.

And there unfortunately is little difference in the psychological methodologies employed by Adam Aron and FTX’s Sam Bankman Fried  in the exploitation of the naivete of their devoted followers, ie, I implore you to engage in these actions that serve my best interests, presented deceitfully as actions that will serve your best interests. To understand how this strategy was carried out, allow me to breakdown the various executive strategies of AMC to prop up its share price since mid-2021.