AMC FUD Runneth Over: Panic at the Casino!
Kevin Cook, 21 June 2021
My Marine son made over 300% on his AMC Entertainment (AMC) shares this month that he bought in the teens. And even though he never called himself an “ape” as the kids do, he was following a lot of intel from message boards like Reddit’s WallStreetBets.
It all started when he returned home from a deployment in the Middle East before Thanksgiving. He and his wife were getting more interested in investing options as their savings accumulated. I had already helped him pick some long-term funds a few years prior, but wanted to get them exposed to the cutting-edges of technology in ARK Invest funds like the ARK Innovation ETF (ARKK).
So we planned a pow-wow for Christmas to map it all out. But, as you may know, ARK “disruptive innovation” stocks went on a tear and the ARKK rallied nearly 50% in November and December.
Among the big winners, I saw my favorite CRISPR play Editas Medicine (EDIT) soar 200% in just a few weeks. There was definitely some epic short-squeezing going on there!
And we bought Baidu right before it lifted off out of an 18-month base around $120. It went to $350 on Cathie Wood’s blessing (and shorts getting squeezed). So I didn’t want to put them on the ARK rocket after such extreme performance.
