AMC rebounded on Friday with a bullish engulfing pattern after a stock offering of 95.25M shares at $2.10 caused weakness earlier in the week. The stock closed above key support levels (200-day SMA, $2.00 line) with notably low off-exchange volume, suggesting the selloff has stabilized and shorts weren't covering heavily.

Movie theater attendance is surging with packed theaters and record May attendance since 2019, driven by indie horror films replacing franchise content. AMC and CNK have doubled/risen 20% respectively with high short volumes, suggesting potential momentum ahead.