SHORT-SQUEEZE
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CRITERIA | SCANNER (for finding A+ setup of the pattern)

use STT's """"Biggest % Gainers Over 5 Days"""" scanner  (i.e. open a new tab in STT, click "scans"), to find stocks in the past 5 days that have the potential to reach their highs toward the END OF THE DAY....... these can make for SHORT-SQUEEZE potentials........as it makes short-sellers nervous to hold overnight / over the weekend........ especially if these stocks meet the rest of my criteria below.
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Keys (keys to heed when trading the pattern)

SIZE IN SMALLER DURING THE AFTERNOON (THAN IN THE MORNING)
Size in smaller into AFTERNOON SQUEEZES, because once the stock exhausts the stock will drop again. In the morning, buying is the sentiment for breakouts, but in the afternoon, shorts are involved creating the breakout (via short-squeeze) so once the stock exhausts it will drop fast potentially.

I always want to know where the high is for a stock because that’s where shorts most likely have a stop. -Bohen

OVERNIGHT HOLDS ON A DAY 1 GAP UP (TO PROFIT FROM A DAY 2 GAP UP)
If you a stock that has good news (i.e. good earnings), and that is already up a lot on the day, and the volume is strong, and it closes strong, and there's a lot of shorts, there's a chance that a lot of shorts are going to cover, and that's going to SHORT-SQUEEZE the stock the next day (for a DAY 2 GAP UP)... so i know it might seem crazy to buy these stocks after they're up so much, but if they have a lot of shorts, if they get an analyst upgrade, if there's a multi-year / multi-month breakout, then the odds are on your side that these stocks are going to keep going very quickly (i.e. they will spike the NEXT MORNING). -Tim Sykes

The best low float runners usually don't even run for the first 2 hours of the day, they gap up slightly and they just hold (they trap the shorts).. this is where shorts blow up (they end up getting out, cutting losses quickly, leading to a massive SHORT-SQUEEZE). -Monaco


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Playing short-squeezes might be one of the best PATTERNS for me to track, because the odds of winning on small caps is all leaned toward SHORT-SELLING, thus, the proclivity for many of these stocks to end up SHORT-SQUEEZING based on so many lucrative short-sellers always attacking the downside of the patterns, i ought to track SHORT-SQUEEZES and what the best performing ones have in common:
  • on what DAY # (in my 7-day rolling period) do the best SQUEEZES typically occur on?
  • on what day of the week do the best SQUEEZES typically occur on?
  • for what market caps do the best squeezes happen on?
  • with what catalysts?
  • with what floats?
  • with what Short % of float?
  • was it a BIOTECH?
VOLUME PREDICTION -------- volume forecast is a way to predict end of day volume. The statistical edge is not in the prediction itself but in how that prediction changes during the day... Stocks that fill their prediction too quickly tend to short-squeeze, and slow volume prediction tends to tank the stock.. Volume forecast is a way of predicting volume in order to predict the future price of a stock. For example, trying to predict the end of day volume according to the first 30 minutes volume -------- https://inthemoneyadds.com/how-to-create-volume-forecast-model-backed-by-data/ .............. #VolumePrediction #Spikeet #shortSqueezes #squeezes

Stat tracking (stats and columns to track, for the pattern)

Only track the STOCKS that successfully played the pattern out! this way i can look for the multiple similarities the "successful" stocks had with one another, and find consistencies in the probabilities behind a pattern's success.... Then create RULES to follow (based on the factors that the stock ought to possess (i.e. low float, etc.).
FOR ALL PATTERNS, I MUST:
1. track the average gain (the average gain possible across 100+ samples) --- tells me when best  to take profits (so i don't get greedy; gives confidence in holding my position optimally).
2. track the top tick % (what is the avg top tick ($) across 100+ samples) --- tells me when it is best to enter the trade.
3. track the bottom tick % (what is the avg bottom tick ($) across 100+ samples) --- tells me when it is best to exit the trade.
I CAN ADD [SPIKEET] TO MY EXCEL SPREADSHEETS BY USING THE "SPIKEET PLUGIN" TO RETRIEVE STOCK MARKET DATA FOR ME -------- www.twitter.com/_spikeet/status/1567826513915006976?s=20 ......... https://bit.ly/3xB4seL ......... #SPIKEET #EXCEL

As a beginner trader, narrow your entire trading to one or two patterns so you can just FOCUS on those patterns... Then improve your entry and exit points to make this pattern PERFECT based on your performance... Experienced traders know where they're going to enter and exit. Beginner traders do not have enough data to back up their thesis. This is the major difference between experienced and beginner traders... -Dux
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How to track GAPPERS / %GAIN DAY 1 statistics (onwards) ------------ categorize my statistics based on Grittani's Trading Tickers 1 (PART 1) DVD --------- Min 3:55:00 ..........................

Min 18 ------ Min 57 ------- CHAPTER 3 ------- Trading Tickers 2 ----- tracking BREAKOUTS --------- members.timothysykes.com/lessons/trading-tickers-2-chapter-3 .........
 TRACKING STATS ------ Min 51:20----Min 1:12:45 ----- PART 4  ---- TRADING TECHNIQUES ....
DATA-DRIVEN PATTERN STATISTICS
Within the past 15 days (if it's a very hot market) [or if it's a slower market, then the last 100+ days], find statistics on the strategy for:
~ what percentage did the pattern work (turn profitable)? (i.e. the pattern works 82% of the time)
~ what was the average profit rate percentage return of the pattern? (i.e. the pattern gives a return rate of 15% gains)
~ what was the average risk rate percentage return of the pattern? (i.e. the pattern gives an average risk rate of 5%)
~ what is the frequency of the pattern occurring? (i.e. the pattern over the past 10 days "in this hot market" has been working every single day, multiple times)
* then from the data, i can determine what my risk/reward for the setup would be (5% of 15% = 3:1 risk/reward), with 82% profitability, and it's happening every single day multiple times.
~~~running data benefits you a lot in seeing what works and what doesn't work, how often it works.............

  • When tracking VOLUME, always track both of these:::::: [VOLUME in premarket] and [VOLUME end of day].......
  • What was the stock's OPEN price?
  • What was the stock's CLOSE price?
  • What was the stock's HIGH TICK price?
  • What was the stock's LOW TICK price?
Practical rule: Check the short interest on assets (relative to float), if % is over 30% then it might be worth adding into research thesis, but especially the ones that should be placed into thesis are the assets that have short interest above 50%. Those will have the most meaningful impact for potential short squeeze and lift of price. -TradeTheMatrix
watch -------- www.youtube.com/watch?v=8Im4lr-kmv4 .........

For short-squeeze plays, it's important that one of the variables at play when evaluating a potential short-squeeze trade is that the stock is a FORMER RUNNER. "..knowing that a stock previously spiked hard tells me it can do it again." -Bohen #squeeze #shortSqueeze

Min1:37:00 — on SHORT SQUEEZES -------- "Spikeability" DVD --------- Part 2 ------------ https://members.timothysykes.com/login---------saloul10@gmail.com | pduyygaj ...........


How to scan and trade short-squeezes ------- www.youtube.com/watch?v=8Im4lr-kmv4 ..........


🔑 a key when buying short-squeezes is to: buy right above WHOLE DOLLAR HALF DOLLAR LEVELS.... because this is then when the stock accelerates with upward momentum (when it is breaking significant psychological levels of resistance (per human nature and whim)).

search THIS PATTERN'S NAME on SYKES YOUTUBE CHANNEL VIDEOS; STOCKSTOTRADE'S YOUTUBE CHANNEL VIDEOS................



HOW VWAP CAN DETERMINE SHORT-SQUEEZES
If a stock holds above VWAP, that means the short-sellers haven't taken control yet. And most longs are still likely up on their position with no reason to sell. -Bohen #VWAP #squeezes #short-squeeze



BE SURE TO TRACK A COLUMN OF WHETHER THE STOCK IS HAS SSR OR NOT.... SEE MY NEWEST NOTES WEBPAGE ON "SSR", AND ALSO MY STATISTICS SPREADSHEET COLUMN FOR MORE INFO ON WHAT ssr REPRESENTS AND HOW IT AFFECTS A STOCK'S SPIKING...............


HOW THE HIGH OF DAY CAN DETERMINE SHORT-SQUEEZES
When a stock GOES ABOVE the high of day, it triggers short-sellers’ risk levels (leading them to buy-to-cover, and thus a short-squeeze). -Bohen #squeezes #highOfDay #short-squeezes

HOW HALTS CAN INFLUENCE A SHORT-SQUEEZE OVER THE REMAINDER OF THE DAY
Once short-sellers are desperately buying-to-cover their positions, that can lead to a halt (due to their outbidding each other to buy and get out). That’s the type of price action and strength you want to see in morning spikers. Because those can lead to even bigger squeezes in the afternoon (if it breaks over the high of the day). -Bohen #highOfDay #short-squeezes #squeezes

The [red-to-green] pattern can be in play any day of the week, but it works especially well on Monday mornings in stocks where shorts are stuck. They get stuck after a stock has a big Friday squeeze... This is why Fridays and Mondays are my two favorite days to trade. It’s all about the psychology behind the trade and finding the right level to join the movement to the upside. -Bohen #short-squeeze #squeeze #shortSqueeze #worg #red-to-green #fridays #mondays




PATTERNS THAT *CAN* RESULT IN SHORT-SQUEEZES
- weak open red to green
- afternoon VWAP hold

Friday Is Short Squeeze Day-------Fridays bring reliable short squeezes with them. These are mostly short sellers who’ve been betting on weekday runners falling. If it hasn’t happened by the weekend, they’ll want out. This is why Friday is one of my favorite days to trade. The momentum from a Friday squeeze can send an OTC runner even higher… Combined with a well-timed press release, this can cause the stock to gap way up. #Fridays #shortsqueeze #short-squeeze

SHORT INTEREST | SHORT % OF FLOAT
Find a heavily shorted stock (by looking at the company's short interest / short % of float) in a hot sector with high volume and wait for the squeeze.
Short interest measures the percentage of a stock’s float that has been sold short but not yet covered. This means that these short sellers are still in the trade … and ripe to be squeezed if the price trends higher.
That’s because it takes shares away from a stock’s float, which is its supply. Even better for longs, it promises more demand if the price shoots higher. That’s when all these shorts scramble to cover their positions.

SHORT INTEREST RATIO
A high Short Interest Ratio is considered to be anything around 20% or over. 
The Short Interest Ratio is the average number of days it takes for shorts to cover their position in a stock. It’s easy to figure it out. Take the number of shares shorted and divide it by the stock’s average daily volume.
It’s another thing to look at when weighing short-squeeze potential. The higher the days-to-cover ratio, the greater the potential for a short squeeze.
I don’t trust market sentiment to translate into a price swing. 
Short interest can play into the resulting move… so can the stock’s sector and it being a former runner. But these factors will never be the reason I make a trade. -Bohen


So when volume comes in, shorts are forced to get out. And it creates a massive move in the process. -Bohen #short-squeeze #shortSqueeze

SHORT-SQUEEZES:::::::: You could say that shorts build up at the highs. In order for short positions to build up so that can get squeezed out, you need the stock to drop enough and suck them in. -Bohen


WHEN THE BEST TIME A SHORT-SQUEEZE IS LIKELY TO HAPPEN
Imagine if you tried to short a stock against it's highs on that FIRST HEAVY VOLUME DAY (First Green Day). Without the stock making a significant push lower, holding those shorts becomes harder and harder. <--------★bad for SHORTS (i.e. SHORT-SQUEEZE POTENTIAL)
On the flip side, if a stock falls away from the highs and stays low, like many #BIOTECHS do on Day 1, it will take a lot of buyers (and volume) to break through that resistance area. <---------★heavy VOLUME is needed (for a stock to spike) if it is far from its HIGHS.
▶ Before you take any trade after 9:45 am, ask yourself, "how scared would I be if i were a *Short-seller* in this position?" .... Put yourself in their shoes to get a sense of what you might expect.

WHEN THE BEST TIME TO ENTER A SHORT-SELL POSITION IS
If a stock holds close to the high over a period of 3+ days (more than 3 days), that weakens it's ability to breakout and it is likely to be OVER-EXTENDED and drop in price. <------★good for SHORTS.
▶ Before you take any trade after 9:45 am, ask yourself, "how scared would I be if i were a *Short-seller* in this position?" .... Put yourself in their shoes to get a sense of what you might expect.


LEARNING FROM THE BEST SHORT-SQUEEZES OF THE PAST
• DWAC was the most recent squeezer. It broke out to new all-time highs and went from roughly $13 to $175 in two days last October. And since then, SteadyTrade Team members have traded so many morning red-to-green moves, I’ve lost count.  
• JKS is another one … In September 2020 the stock slowly climbed from roughly $25 to $90 in about a month. Along the way, it had a multi-month breakout above $30. Then it broke out to new all-time highs over $42. Again, the shorts tried to guess the top. Every day for a month, they were wrong.
• And who can forget last January’s GameStop Corp. (NYSE: GME) meme stonk short squeeze? It went from roughly $25 to $480 in about two weeks! GME’s previous all-time high was $44.
• This one might be from before your time as a trader … In 2008, Volkswagen AG (OTCPK: VWAGY) stock quadrupled in two days. It briefly became the biggest company in the world.  
That's the power of short squeezes and breakouts above key levels. I’m not saying buy and hold stocks then hope for big moves. We haven’t seen powerful squeezes like these since the markets shifted. 
But you can learn how to spot emotional key levels and buy when the shorts are buying.  
Grow your trading account by stringing wins together in repeating patterns and strategies ... not guessing the bottom or tops of moves.
Like my millionaire mentor Tim Sykes says, “Trade like a sniper.”  
Wait for your best setups, repeating patterns, and key levels — then take your shot.

Short sellers can create great long setups.
You see, a lot of low floats and penny stocks are junk companies. So if one of them issues a press release that sends the stock higher … you best believe shorts are waiting to pounce.
Here’s what they’re thinking:
• The news makes no sense
• The stock’s up too much
• This move isn’t sustainable
• This is an ‘easy’ short
• The fundamentals don’t justify the move
And while all those points are valid eventually…
They don’t mean much if you’re day trading, looking to be in and out in just seconds or minutes…
Traders like us prefer to focus on the big emotions (fear and greed), price action, and market structure.
So before you think a stock’s up or down too much, consider these factors…
• How big is the float?
• How many shorts are in it, and at what levels?
• Where’s the max pain — the level where shorts feel it the worst or when longs are ready to bail?
Remember, the markets aren’t rational. They’re driven by human emotion.


FACTORS INFLUENCING SHORT-SQUEEZES [ON FRIDAY AFTERNOONS ESPECIALLY]
1. hot sector
2. has a good Press release
3. all-week hold [holding its support levels throughout the week]
4. low float [less than 25M shares ideally], however if there is much HEAVIER VOLUME than what the FLOAT is, that means there's great demand for the stock [float = shares available, high volume = heavy demand compared to shares available(float)].
5. heavy float rotation [if there is much HEAVIER VOLUME than what the FLOAT is, that means there's great demand for the stock [float = shares available, high volume = heavy demand compared to shares available(float)]].
6. we know shorts are trying to short this stock because the stock keeps holding up near its highs [& eventually all these crap companies will fail in holding their uptrends/spikes, it's just a matter of when]
7. look at 5-minute candles for hints of what the trend is / what the market sentiment is showing
8. whole-dollar/half-dollar levels where longs get excited and shorts get nervous [the volume comes in usually on these whole-dollar/half-dollar levels]
9. is on a Friday afternoon [shorts don't want to hold a stock that is near its highs on a Friday afternoon because they don't want to hold over the weekend without being able to sell their positions over such long period of time]


$HKD has completely changed the market…
This stock has soared from roughly $15 to $2,600 in just a few days ... And it’s all thanks to short sellers who keep trying to guess the top.
Now, while this is a great example of the power of the short squeeze — it’s gotten a bit too expensive for traders with a small account…
And while everyone’s eyes were watching that big gainer, getting mad FOMO, and trying to guess an entry...
The better trade idea is to wait for the stock to pull back, consolidate, and then watch for a secondary spike. -Bohen #shortSqueeze

Stocks that hang around are top candidates for more squeeze ... Especially with a news catalyst… -Bohen #short-squeeze


QUESTION: The beginning of most meaningful short squeezes occurs below VWAP. Can someone point out why?
ANSWER: Shorts had success years ago with this strategy when hanging out below VWAP was a bearish trend. Now, traders use this knowledge to squeeze the shorts. Look at BBIG yesterday … It fell below VWAP, built some momentum, and exploded for a 14% gain once it found solid support. Will shorts ever learn? I don’t know. For now, it seems traders will continue to see BIG opportunities like BBIG.

What to look for in a Short-Squeeze:
• High float rotation
• Heavily shorted
• Hot sector
• Low float
• Multi-day runner (with shorts trying to guess the top)
~ benefit if it is a FRIDAY          -Bohen

When a stock GAPS UP in premarket on Friday, you should watch it for a potential Friday short-squeeze… -Bohen

Stocks that are the most in-play stocks of the week, and that chop sideways and hold their highs…make them top candidates for a Friday squeeze. -Bohen


What Makes a Good Friday Squeeze Candidate?
No one wants to hold risky bets through the weekend (because anything could happen).
That’s especially true for short sellers.
A good Friday squeeze candidate is a stock that has short sellers worried about holding their position over the weekend.
Now, put yourself in their shoes for a minute. What would make you uncomfortable holding a position over the weekend?
• A barely profitable or unprofitable trade
• Lots of bulls keep jumping into the name
• The stock has a lot of popularity
• Headlines or some other catalyst keeps hitting the market
• Promoters hype up the company
You get the picture.
Short sellers, like any other trader, seek to manage risk.
All of the reasons I listed above and more can make them jittery and fearful to hold a position. -Mark Croock

Here is a list of the elements I believe are the most important for a Friday squeeze candidate:
• Big gainer recently
• Low(ish) float
• Had news
• Held up near the highs
• Any short selling catalysts have passed
Finding all of these elements in a stock doesn’t guarantee that we’ll see a squeeze into Friday’s close.
However, each piece adds another edge to my trade. -Mark Croock

Each week, we’ll find dozens of stocks that pop on news. Keep those in a list as they provide some of the best starting points when you look for a Friday squeezer. -Bohen

When low floaters close (at market close in afternoon) around the HIGH OF DAY they tend to SQUEEZE in afterhours. -Bohen #squeezes

Min 54:30 ----------- ideally how you want the personality of the pattern to play out --------- www.youtube.com/watch?v=vw7m9d65AB4 ...........


Most traders won’t short true penny stocks (stocks that are less than $1 (<$1) -- because of the $2.50 rule. And while there are opportunities to catch good percent gains on low-priced stocks, they just don’t have the same range as low-float stocks... That limits their ability to squeeze and get parabolic moves. -Bohen #shortSqueeze #2.50Rule 

THE PSYCHOLOGY OF HOW A SHORT-SQUEEZE SETS UP
you could say that shorts built up at the high. But without any meaningful pullback, it won’t be much... In order for short positions to build up that can get squeezed out, you need the stock to drop enough and suck them in... One of the keys to my style of trading, and the one I teach, is identifying and exploiting short sellers... By reading the price action, we can identify where the players are and what actions they’re likely to take. That’s powerful information we can use to get a leg up on the competition. -Bohen #short-squeezes #shortSqueeze


100%+ Premarket Squeezers [vs] Multi-Day Runners
Which would you rather trade: A premarket squeezer on the 1st day or a multi-day runner?
My money’s always on the multi-day runner.
Why?
Because multi-day runners have something these fly-by-night stocks don’t … PROOF!
let me tell you a little secret … A stock can run for days but usually fails once!
That’s a big reason why I don’t like the sketchy biotechs that pop on news.
Instead, I prefer stocks that show me over a series of days, if not weeks, that they want to move higher.
Many traders struggle to find these stocks for two reasons:
- Multi-day runners have news that dropped before the current trading day
- Traders miss the trend reversal

How short-squeezes are created
REV announced it could file for bankruptcy, shorts were eager to get in thinking this thing was going to $0...
They loaded up. And soon almost half of REV’s float was short. That makes it ripe for a squeeze.
Because when longs want to take advantage of a stock breaking above key levels, there are even fewer shares available for them to buy.
And when the squeeze gets started, the buying frenzy from longs — and shorts trying to get out — creates moves like we witnessed in REV…
It all started after REV had a big selloff. It started to grind back up…
It hit resistance at around $3 and shorts were all trying to guess the top. -Bohen

Shorts tend to panic more above whole dollar levels. -Bohen 

Play stocks at levels of resistance that align on multiple time frames — the previous day's high, the premarket high, the morning/mid-day high, and the high of the day. Especially around whole-dollary/half-dollar levels. -Bohen


HOW SHORT-SQUEEZES WORK
[✱FRIDAYS✱] enhance the chances for some massive short-squeeze moves. Because short-sellers are likely to exit their positions before the weekend.
You are charged a fee to borrow shares as a short-seller — that’s why a lot of people get out on Friday to avoid paying those weekend fees.
To find opportunities, look for stocks that are hanging near their (that consolidate sideways, without breaking down)...
The longer a stock holds up without the big pullback shorts are looking for, the more nervous they get.
That’s why I think [✱multi-day runners✱] offer better opportunities than day one spikers...
The key thing you’ll want to see with any breaks above key levels is [✱significant volume✱].
That can be confirmation of more potential upside.
And if these stocks don’t pop above key levels today, but they continue to ‘hang around’ — keep them on watch. -Bohen #fridays #shortSqueezes #squeezes


HOW SHORT-SQUEEZES HAPPEN
shorts are in full size. They’ve maxed out their buying power and margin…
Then the stock has an uptick. And they get nervous…
…Now the stock goes from red to green.
Suddenly more shorts are nervous and they have to buy-to-cover to get out.
That creates a wave of buying where it’s shorts hitting market orders and outbidding each other to get out.
And that’s why most short squeezes happen in the afternoon.
Because the longer shorts have to watch a stock consolidate, grind back, and then continue to make new highs, the more nervous they become…
Then they finally have to accept they’re wrong and exit the trade. And if they don’t, their broker will do a margin call and force them out.
That’s what makes afternoon moves so powerful.. -Bohen #shorting #parabolicShort #Squeezes #afternoonVWAPHolds #short-Squeezes

Watching and waiting for these explosive moves can take a big chink of time out of your day. If you don’t have the time to devote to watching screens all day, consider setting alerts at key levels on stocks holding at least half of their gains (being recent runners). -Bohen #short-squeezes #afternoonVWAPhold

FRIDAYS AND HOLIDAY WEEKENDS
Generally, traders tend to pull back and close out their short positions before the weekend. And that’s doubly true for a holiday weekend.
Volume often lightens up and whomever — or whatever — trend is in control usually keeps going through the close.
It’s one of the reasons I love looking for trades around 2:00 p.m. Eastern on Friday afternoons. -Bohen #fridays #holidays #short-sellers #shorting

When a stock keeps hanging around, that means the potential for a short squeeze, baby! -Bohen #short-squeeze #squeeze

When a stock ✱stays above VWAP✱, that can meet trapped short-sellers, and thus ✱a SHORT-SQUEEZE potential✱... -[Bohen commentary] #short-Squeeze

MARKET PSYCHOLOGY: When greed is high and you’re experienced, you can be more aggressive. When fear is high, be conservative. Take smaller positions, be selective, and take profits quickly... With experience, you’ll be able to recognize fear and greed on the chart and in the price action. -Bohen #psychology

When stocks spike and short-sellers are in the red (losing money), that's what makes short squeezes so powerful — they’re a combination of intense emotions. -Bohen

HOW BIG MOVES HAPPEN
When the market’s ripping, that’s when people get greedy. They feel FOMO and worry they’ll miss the next big runner.
That causes stocks to go higher than anyone anticipates...
That’s why most of my trading patterns focus on buying strength.
Buy when others are greedy and ride the hype and momentum…
Recognize when traders are greedy and are willing to hammer in their market orders and chase the stock higher. -Bohen #short-squeezes #squeezes


WHEN LOOKING AT A CHART, ALWAYS ANSWER: HOW MANY TIMES IN THE PAST (10 DAYS) WAS THE STOCK STUFFED(REJECTED) AT ITS NEAREST/HIGHEST RESISTANCE LEVEL?
When a stock that is on the verge of breaking out tests critical resistance levels, and gets stuffed multiple times, that can hint that the stock has nothing to give (isn't a good trade to play).

THE MINDSET OF TRADERS IN A STOCK THAT IS HITTING RESISTANCE ON THREE OCCASIONS OVER THE PAST 5 DAYS (Day 1, Day 3, Day 4)
There are likely three traders left in the stock:
1. those who bought in early, either haven’t taken profits or took some (and they'll want to sell into any spike before the weekend comes)
2. those who came late and bought somewhere after the run (they'll want to sell into any spike before the weekend comes)
3. short-sellers in the stock - there probably aren’t many of them left b/c the stock hitting resistance levels prior probably scared them to take profits in between (so short-squeeze odds are pretty slim)
* thus anyone buying into the stock (especially if it's on a Friday) is likely to get stuffed.
** Now, had shares pulled back some, that would give shorts a chance to accumulate and longs reset (a substantial pullback all the way back towards the low of the breakout candle is a positive factor).

GET A FEEL FOR THE STOCK'S MOVEMENT
Just like humans, stocks need time to recuperate.
Nothing goes up in a straight line.
You can think of the price action as energy. Each huge movement expends energy.
Naturally, they need time to rest.
Sometimes this can take a few days. Sometimes it can take a few weeks.


HOW TO SPOT SHORT-SQUEEZES
For the ideal short squeeze, I like stocks to pull back from their recent highs. That’s what lures in the short-sellers…
What I like to see for an ideal short squeeze is a stock that's hanging around and volume is steady.
So how much do I like to see a stock pullback before considering it for a short squeeze?
I wish I had an exact formula.
But it’s not cut and dried…
Sometimes stocks can pull back. Other times they can just chop sideways, then bust through a key level and squeeze. -Bohen #shortSqueezes #squeezes

When a stock “hangs around,” that’s a sign of trapped shorts. -Bohen #shortSqueeze #squeeze

What a SHORT TRAP looks like -------- www.youtube.com/shorts/nE5n9qwKDaY ........ #trap #shortTrap #tuohey


As good as it gets criteria for a potential Friday short squeeze:
✤High volume
✤Dubious sketchy news
✤Low float
✤Glorious afternoon squeeze the day before
✤Ugly chart
When a stock holds up for almost a month, there’s a high chance it’s because of trapped short sellers.
You have to find heavily shorted stocks…
When key levels break — the squeeze could be HUGE.  -Bohen #squeezes #shortSqueezes

SHORT-SQUEEZES
So why do shorts keep shorting low floats with news?
Shorts love sketchy news. The sketchier the news, the more biased short sellers are...
They think the news isn’t that good and the stock’s up too much.
piled in the stock risking the premarket highs. Once that level broke, they looked for the next area of resistance.
After that, the only resistance level on the chart was the all-time high.
Once that level broke, longs are green and short sellers are in the red.
Shorts got caught trying to guess the top. And every time it went higher, they all had to outbid each other to get out. -Bohen #squeezes #short-Squeeze

EVEN IF A STOCK GIVES BACK THEIR ENTIRE GAINS ON THE CURRENT DAY, BE ON THE LOOKOUT FOR A SHORT-SQUEEZE IF THE FOLLOWING CRITERIA STILL HOLD TRUE [components for a potential squeeze]:
- The stock was still up 30% for the day.
- It was still up 100% from Thursday morning.
- It has a low float of 1.47 million shares,
- It traded 10 million shares in premarket.
- It was a Friday before a long weekend.

Min 1:30 -------- what to look out for when it comes to short-squeezes ---------- https://www.youtube.com/watch?v=cdhDzGY7QYo ............ #dux #short-squeezes

Min 13 — on promoters and short-squeezes — https://m.youtube.com/watch?v=qwNJXmJ44xg ........ #shortSqueezes #short-squeezes #promoters

When a stock goes back down to its lows, after trying to SQUEEZE, that's a really bad sign. -Sykes


BUY-INs can create short-squeezers....
Min 4:40 ------------ Min 7:30 ----------- BUY-INs are a very very bullish factor::::: you have 2 days after shorting a stock to buy-in (to cover your shares; if after two days you don't cover your short, and the broker cannot find a borrow, they will slowly BUY YOU IN throughout the day (#buy-ins); knowing that a stock is on "buy-ins" is very very important for short-sellers because that tells me that i should NOT be shorting that stock because there's going to be elevated demand for all of the shorts that are forced to cover (so if i see a stock that is a LOW FLOAT that is on BUY-IN, i'm going to look to go long) --------- www.youtube.com/watch?v=mextXyS9jrA ........... #shorting #buy-ins

Min 13 — on promoters and short-squeezes — https://m.youtube.com/watch?v=qwNJXmJ44xg ........ #shortSqueezes #short-squeezes #promoters

Min 1:30 -------- what to look out for when it comes to short-squeezes ---------- www.youtube.com/watch?v=cdhDzGY7QYo ............ #dux #short-squeezes

The more a stock HOLDS NEAR IT'S HIGHS the more it can squeeze. -Sykes

Min 4:20 - Min 6:10 ---------- Identifying short-squeeze plays::::::: 1) when a stock holds SUPPORT, and continues HOLDING major SUPPORT Levels, that is a BULLISH sign --------- www.youtube.com/watch?v=BDfv10zYf-I ....... #short-squeezes #sympathyPlaysSpikeAtSameTimeAndGoDownAtSameTime #dipbuys #dipbuying

HOW SHORT-SQUEEZING WORKS
When a stock is heavily shorted, and investors are buying shares — which pushes the price up — short sellers start buying to cover their position and minimize losses as the price keeps rising. This can create a "short squeeze": Short sellers keep having to buy the stock, pushing the price up even higher and higher.

Min 7 -------- two causes of SHORT-SQUEEZES -------- EBT and . . . ------ www.youtube.com/watch?v=O2QOz8igtpQ ..........

Friday mornings are special........... #ShortSqueezes....... Fridays are the single most dangerous day to short-sell........ but on Fridays, hype can take over and can create short-squeezes, spiking big on Monday........... Friday short-squeezes can get out of hand quickly......... If you really want to take advantage of the Friday Morning Short squeezes, you look for the most active stocks (the biggest percent winners), and you try to ride these morning spikes as they take out the day high......... -Sykes

Min 13 — on promoters and short-squeezes — https://m.youtube.com/watch?v=qwNJXmJ44xg ........ #shortSqueeze #promoters

HOW THE PARABOLIC SHORT-SELLING STRATEGY LEADS TO SHORT-SQUEEZES
With the parabolic short-selling strategy, you take a short position based on the thesis that the stock will keep going higher. Confusing, right? But the idea behind it is that you're shorting it with a plan to add higher. Essentially, you’re scaling into a short position.
So when a stock starts to spike, you might short 100 shares at around $3.50. Then you might add 100 shares at $4, and more at $4.50…
Because the more parabolic — meaning straight up — a stock goes, the more shorts think it will pull back really hard and they can buy to cover to get out. 
The problem with that is, in the post-2016 world shorting is an overcrowded strategy. Stocks don’t pull back like they used to. Instead, they consolidate sideways.    
And shorts add into any pops.
Then when the stock opens red the next day, they think they’ve got the trade in the bag. And they start hammering it even harder…
Now, the shorts are in full size. They’ve maxed out their buying power and margin…
Then the stock has an uptick. And they get nervous… 
Then it breaks above the opening price. So they up their risk to the red-to-green level… 
…Now the stock goes from red to green. 
Suddenly more shorts are nervous and they have to buy to cover to get out. 
That creates a wave of buying where it’s shorts hitting market orders and outbidding each other to get out. 
And that’s why most short squeezes happen in the afternoon.
Because the longer shorts have to watch a stock consolidate, grind back, and then continue to make new highs, the more nervous they become…
Then they finally have to accept they’re wrong and exit the trade. And if they don’t, their broker will do a margin call and force them out. 
That’s what makes afternoon moves so powerful.. -Bohen #shorting #parabolicShort #Squeezes #afternoonVWAPHolds #short-Squeezes

Min 3:30 --------- Min 8:30 --------- on forced buy-ins creating short squeezes by brokers ------- www.youtube.com/watch?v=M4UAuCO4Am4 ......... #shorting #buy-ins #sykes #short-squeeze

Min 5 -------- a lower range tends to lead to more short-squeezing potential ------ www.youtube.com/watch?v=ljgHtNn4x90 ......... #dux #shortSqueeze

When early short-sellers get squeezed, that makes it a better short-selling opportunity later..............

Min 17:30 ---------- a high "short float" % is very dangerous to short, because that means shorts need a way to get out; if a stock has a high SHORT FLOAT then the edge is to the long-side #shortSqueeze (ANYTHING OVER 40%) -------- www.youtube.com/watch?v=eNgIv-bVcn4 ......... #shorting

The shares that are available to short ------ the HIGHER the potential for the short squeeze............. #ShortSqueezeWARNING............. the biggest spikers are almost always the low-float, hard to borrow stocks.......... -bohen

There's no accurate short-selling data. Most of the data is one or two months delayed, and even when you see the "short interest" [i.e. short float / shares short / short % of float / short percentage] from a month or two ago, it's not usually accurate... The good news is, short-sellers are like angry vegans, and they like to tell everybody that they're short, so you can use social media/STT Breaking News, they alert the best pumps and the biggest short-squeezes...-Sykes #SHORT-SQUEEZES

SHORT-SQUEEZE ---- this is when a lot of people betting on lower prices, get squeezed OUT OF THEIR POSITIONS. . . you can lose more than you have in your account when it comes to shorting. . . let's say you have $50k in your account, and the stock is going against you, now you're down $50k --- the broker will issue a margin call, and they'll say "hey you need to put up more cash, or we will liquidate your position". . . let's say you have no more cash. . . . the brokerage buys you in at your short position at $70. . . and they're also buying other short-sellers. .  and other brokers are covering other short-sellers --- so what happens is all these brokers are buying the cover at the same time and that can lead to even higher prices which can be a SHORT SQUEEZE. . . . . short-squeezes can keep going for hours and days and weeks until all of the short-sellers are bought in willingly or by their broker. . . . .

You don't want to under-estimate the power of a SHORT SQUEEZE. .  . a company that could be worth $0, it can still rise faster and further than you ever anticipated, and I've seen this. . . .  one stock went from $5 to $120 -- so be very careful every time you're short-selling. ..  there can always be a short-squeeze that can lead to your ruin. . . . -TIM SYKES

SHORT-SELLING ----- you're taking out a loan from your brokerage.... you sell shares you don't own..... If the stock price decreases in value, your "negative" position (* times *) a negative dropping in the price = a positive ($). . . . . . . . . . . . . . . . . . [a negative (times) a negative = a position]. . . . The biggest risk is what if you're wrong. . . If the stock goes from $20 to $100, now your negative 1000 shares at $100, your $20,000 is $80 lost per share, which means you lost 4x as much as you put in. . . . . so for short-selling, you can lose much more cause the stock can go up infinitely. . . In a BULL MARKET, shorting is very dangerous. . . . Short-squeezes are no joke. . . -TIM SYKES

Short Squeeze: A short squeeze is a phenomenon when investors trigger a rise in price on a heavily shorted stock. Investors trigger a short squeeze by extensively closing short positions and creating high buying volume. The reason behind this is usually their common belief that a stock will become unprofitable. The opposite of the short squeeze is the less common long squeeze, which will lead to further decline in a security’s price.

STRATEGY--- Morning squeezes are created by short-sellers who are in the stock,,,, they have to buy back their shares,,, cut their losses... and then you have momentum buyers push the stock higher...... THIS USUALLY HAPPENS IN THE MORNING..... -sykes
STRATEGY--- When there's no morning spike left, that means most of the shorts are out, or amateur short sellers have been squeezed out..... and then the fade starts to take effect......... -sykes

SHORT-SELLING OVER THE WEEKEND------I don't want to be short over the weekend. Yes, while the stock is eventually going to crash, it could squeeze you in the meantime, and you could have massive massive losses in the meantime. you can buy the breakout instead..... i love the fact that this short-squeeze (trends upward)-- i want it to go higher! early shorts and wannabe shorts, when the stock doesn't go down, and if your broker calls in the loan, then you have to buy to cover,,, that creates a short-squeeze. The question is when will the short-squeeze be over.. -Tim Sykes

A company turns into an SSR when it hits certain levels, especially if it's down 10% from the previous day. It makes it very difficult to short, and short-sellers then turn into long buyers because they know of the potential of a short-squeeze.

Fridays are SHORT SQUEEZE DAYS......... -Sykes

Typically short-sellers do not want to hold over the weekend (short-squeeze spike potentials toward the end of the day on Fridays). . . -Matt Monaco

Friday mornings are special........ #ShortSqueezes....... Fridays are the single most dangerous day to short-sell........ but on Fridays, hype can take over and can create short-squeezes, spiking big on Monday........... Friday short squeezes can get out of hand quickly......... If you really want to take advantage of the Friday Morning Short squeezes, you look for the most active stocks (the biggest percent winners), and you try to ride these morning spikes as they take out the day high......... -Sykes

Min 9 ------- a great technical analysis illustration of SHORT SQUEEZE SETUPS -------- www.youtube.com/watch?app=desktop&v=ip2uVzQWGTc .............. #shorting

Min 3 -------- short-squeeze calculations --------- www.youtube.com/watch?v=OTo_3mu6EIw&list=PLy0e21E_gBL-J9XIQj620M0QhmW2pKp19&index=9 ................

It is very difficult for a stock to sustain a short-squeeze for three if not four days..... it will drop sooner rather than later (there's only so many shorts who can be squeezed)....... -Sykes

If you understand short-selling, and how early-shorts can get squeezed, that makes it better for shorting later, as early shorts had already panicked... -[Sykes commentary]


Short-squeezes happen in the morning, and other times they’re in the afternoon. So set alerts to help you stay on top of all the plays. And when shorts think a stock “is up too much” and they start guessing tops — that’s when we squeeze them. -Bohen #squeezes #short-squeezes
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Min 9:30 ----------- the mechanics of how a #short-squeeze works!!!!!!!!!!!!!!!!!!!!!!! ------ www.youtube.com/watch?v=UV3MQ4UCXtA ............. #short-squeezes
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THE PSYCHOLOGY OF HOW A SHORT-SQUEEZE SETS UP
you could say that shorts built up at the high. But without any meaningful pullback, it won’t be much... In order for short positions to build up that can get squeezed out, you need the stock to drop enough and suck them in... One of the keys to my style of trading, and the one I teach, is identifying and exploiting short sellers... By reading the price action, we can identify where the players are and what actions they’re likely to take. That’s powerful information we can use to get a leg up on the competition. -Bohen #short-squeezes #shortSqueeze
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HOW #SHORT-SQUEEZES WORK
FRIDAYS enhance the chances for some massive short-squeeze moves. Because short-sellers are likely to exit their positions before the weekend.
You are charged a fee to borrow shares as a short-seller — that’s why a lot of people get out on Friday to avoid paying those weekend fees.
To find opportunities, look for stocks that are hanging near their (that consolidate sideways, without breaking down)...
The longer a stock holds up without the big pullback shorts are looking for, the more nervous they get.
That’s why I think multi-day runners offer better opportunities than day one spikers...
The key thing you’ll want to see with any breaks above key levels is significant volume.
That can be confirmation of more potential upside.
And if these stocks don’t pop above key levels today, but they continue to ‘hang around’ — keep them on watch. -Bohen #fridays #shortSqueezes #squeezes
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Min 13:30 --------- how #shortSqueezes typically play out at the end of the trading day --------- www.youtube.com/watch?v=SGoJwO6pNHo ............. #bthestory #short-squeezes
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HOW SHORT-SQUEEZES HAPPEN
shorts are in full size. They’ve maxed out their buying power and margin…
Then the stock has an uptick. And they get nervous…
…Now the stock goes from red to green.
Suddenly more shorts are nervous and they have to buy-to-cover to get out.
That creates a wave of buying where it’s shorts hitting market orders and outbidding each other to get out.
And that’s why most short squeezes happen in the afternoon.
Because the longer shorts have to watch a stock consolidate, grind back, and then continue to make new highs, the more nervous they become…
Then they finally have to accept they’re wrong and exit the trade. And if they don’t, their broker will do a margin call and force them out.
That’s what makes afternoon moves so powerful.. -Bohen #shorting #parabolicShort #Squeezes #afternoonVWAPHolds #short-Squeezes
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Min 6 --------- WHERE MOST SHORT-SELLERS MAKE THEIR MISTAKES: Never try to judge a stock's extension based on how much it spiked in 1 day... A stock can keep spiking, and there's no way for it to stop.. B/c the more it spikes, the more short-squeezing will happen. This is where avoiding shorting a first green-day is key. .[Do not short-sell on a first Green Day]. . . Short-sell on a multi-day basis of the stock's spiking (consistently over the past week), not on it's first green day ------ #SSR (short-sale restrictions) --------- www.youtube.com/watch?app=desktop&v=tz95QJT_OKQ ........... [Dux commentary]
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Most SHORT-SQUEEZES happen on a FIRST GREEN DAY....
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Friday Is Short Squeeze Day-------Fridays bring reliable short squeezes with them. These are mostly short sellers who’ve been betting on weekday runners falling. If it hasn’t happened by the weekend, they’ll want out. This is why Friday is one of my favorite days to trade. The momentum from a Friday squeeze can send an OTC runner even higher… Combined with a well-timed press release, this can cause the stock to gap way up. #Fridays #shortsqueeze #short-squeeze




 
UNDERSTANDING SHORT-SQUEEZES (ON WEAK NEWS, OR NO NEWS)
If you watch the market regularly, you may start to see stocks run without news. Or maybe it’s crappy news but it spikes anyway. When is it safe to profit off this volatility? Bottom line: The catalyst was trash. That’s why I didn’t touch it. I’m looking for news that shows there’s value added to the company. Like new contracts or business deals. An acquisition would be better than this... BUT WHY DO Why Did It Spike? Don’t worry, there’s an easy explanation — it was a short squeeze. Traders could tell that the stock was up on sketchy news. So they decided to short the weak spike in the morning. But unfortunately, everyone had the same idea. And when there are too many shorts on the same stock, a short squeeze will push it higher. So what’s the deal here? Can we predict short squeezes? Are they profitable? 
Predicting Short Squeezes
It’s not tough to predict short squeezes. These days if you see a stock going parabolic without news, it’s probably a short squeeze.
Some people try to look at the short percentage of the stock to try and find squeezes beforehand. But that data’s usually out of date.
I think that squeezes are predictable but not reliable.
Profitable? 
They certainly can be. But because they’re so unreliable, I wouldn’t try it.
You never know how high the stock will go. The catalyst is pure hype and panic. That’s a dangerous combination.
Remember, these penny stocks are junk anyway. Try not to buy junk with junk news.
My best advice is to sit back and watch it all unfold. There’s a lot you can learn from squeezes, even without trading them.
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The larger the volume bar located beneath the resistance price, the larger short-sellers will size into their positions.... thus, the opposite is true: when the stock breaks-out of a large resistance area, the stronger/greater the break-out will be (#short-squeeze).. A short-squeeze has about a 60% spiking potential; [to calculate the selling point on a short-squeeze spike: stock price * .6 + stock price = the perfect-scenario price i should sell all of my shares into; it would be wise for me to sell prior and take profits into strength]. -Dux
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A short-squeeze typically results in a 60% spike!.. i.e. a stock will spike 60% up (from it's current price) when a SHORT-SQUEEZE occurs... -[Dux commentary] <----------- for me to calculate the price i should sell at on a short-squeeze spike (of approximately 60%), i must multiply the stock's current price    *     0.6, and then add that number answer to the stock's current price  TO GIVE ME THE PRICE I SHOULD EXIT FROM MY TRADE (i must always take profits into strength, meaning i need to sell before the stock reaches this exit price to ensure i survive slippage and to ensure i have a buffer zone in case the stock doesn't literally run 60% up... look to profit 30% - 40% of the stock's spike (instead of 60%). <--------- THIS KIND OF MATH DOESN'T HAPPEN TRULY ALL OF THE TIME -- IT ONLY HAPPENS DURING A REALLY HEAVY SHORT-SQUEEZE. -DUX
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- the larger the RESISTANCE VOLUME that the stock breaks out of, the higher the short-squeeze will be. the larger the resistance area the stock breaks out of, the stronger/greater the break-out will be (#short-squeeze).. A short-squeeze has about a 60% spiking potential; [to calculate the selling point on a short-squeeze spike: stock price * .6 + stock price = the perfect-scenario price i should sell all of my shares into; it would be wise for me to sell at maybe 25-40% and take profits into strength]. 
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Only 10% of people are short-sellers --- 90% of people are buying typically...... So once longs start filling the Float, the shorts will get squeezed. However, inversely, once the stock begins to drop, that will benefit the shorts. -[Dux commentary]
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VOLUME PREDICTION -------- volume forecast is a way to predict end of day volume. The statistical edge is not in the prediction itself but in how that prediction changes during the day... Stocks that fill their prediction too quickly tend to short-squeeze, and  slow volume prediction tends to tank the stock.. Volume forecast is a way of predicting volume in order to predict future price of a stock. For example, trying to predict the end of day volume according to the first 30 minutes volume -------- https://inthemoneyadds.com/how-to-create-volume-forecast-model-backed-by-data/ .............. #VolumePrediction #Spikeet
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PROMOTERS AND #PUMP AND DUMPS AND #SHORT-#SQUEEZES
Pumpers know exactly when to pump. They know that shorts panic at those key level.
When shorts feel trapped and worry about a breakout, they cover their positions — which means buying shares.
Pumpers start promoting when the stock approaches these key levels. They know that if the shorts get scared, the stock can go on a HUGE run (#short-squeezed).
You have traders buying-in from the pump, and shorts buying-in to cover their positions. This is why short squeezes can be so crazy.
The larger a stock’s market cap and float, the harder it is to push the stock around.  
That’s why almost every chat pump is a low float stock.
Chatroom and Twitter pumpers want to take advantage of supply and demand.
Pumpers use chatrooms or Twitter feeds to create [fake demand] and bring in [volume]. They alert their followers to their position and convince people the stock’s the next best thing. 
Then they sell into the spike as buyers come in. Their goal is to profit from creating fake demand which drives up a stock's price...
But if a stock has plenty of supply(i.e. is a high float), a lot of demand and volume won’t move the stock quickly. 
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Min 5 --------- identifying MANIPULATION through VOLUME to PRICE ACTION symmetry and anomalies --------- www.youtube.com/watch?v=vUhuoLIFjdA ............ !!!!!!!!!!!!!!!!
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Friday mornings are special........... #ShortSqueezes....... Fridays are the single most dangerous day to short-sell........ but on Fridays, hype can take over and can create short-squeezes, spiking big on Monday........... Friday short-squeezes can get out of hand quickly......... If you really want to take advantage of the Friday Morning Short squeezes, you look for the most active stocks (the biggest percent winners), and you try to ride these morning spikes as they take out the day high......... -Sykes
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"What makes Friday different than any other day..................... it's really the fact that short-squeezes are more possible.. Stocks are more prone to squeeze as the market is about to close."  FRIDAYS ARE GREAT TO PLAY, IN AFTERNOONS (GREAT TO BUY STOCKS AND THEN SELL IMMEDIATELY ON MONDAY MORNING).
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I say it all the time … The two best times to be aggressive as a day trader are Friday afternoons and Monday mornings. On Friday, it’s all about squeezes. But on Mondays, it’s all about capturing the new week’s momentum. If you wanna be the early bird that gets the worm, you’ve gotta be prepared. ---------- www.youtube.com/watch?v=HDChGGfg2s4 .... #MustWatch
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- remember that a low-float stock and/or heavily shorted stock --- can squeeze further than you think, and crash even quicker (once the momentum turns).
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The importance of Volume #catalysts ---- More volume enables bigger size, the trade will more likely work, shorts will be squeezed... Whereas if there's no volume, you get these weird dump situations, and if there's no buyers there at all, you're stuck... -Monaco
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LOW VOLUME TRADING CAN LEAD TO EPIC MOVES:::::::::::: with the market trading low volume like it has been — we could see some epic moves. Why big moves when there’s little volume? Traders who come to the market are looking for action. And when there’s not a lot moving, and we get one nice chart pattern … Or an 8 a.m. press release… All eyes will be on that stock. It’s like what happened with Palisade Bio, Inc. (NASDAQ: PALI) on Tuesday. The markets were quiet, then we got one low floater with news and a $3+ per share move! But you can also see some insane squeezes on low volume.  When there’s no volume for shorts to buy to cover into, when they want to exit, their own buying starts to increase the price.  Then they all have to outbid each other to get out. Should you trade if you see an opportunity today? Or avoid the market completely on a half-trading day? That depends on your strategy and setup. If you see something you like, it’s just like any other trading day. But if you’re okay with taking a day off - that's okay too. -Bohen #volume #LowVolume #short-squeezes
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Min 3 -------- VOLUME IS KING..... the news can be a positive reinforcement but Kyle Williams focuses mostly on technical analysis and Volume (with news being a third-rate variable) -------- trade the chart, trade the price action #volume, (whether it has news or not, i don't care) -Kyle Williams .... If the volume is there, that pretty much is what matters to me at the end of the day (i can take bigger size; the trade's more likely to work; short's will be squeezed)... -Monaco .... I've made the mistake of falling in love with the great news but where the price action just did not confirm it, so you kind of need both.. If you don't have the price action to follow up with it (THE NEWS), then the trade won't do what you want it to so i kind of always favor technicals over the news... -Kyle Williams ---------- www.youtube.com/watch?v=hQKGl05mcqg .......... The reason catalysts matter, if but for any reason, is the volume it brings to the stock.. If the volume's there that's pretty much what matters to me at the end of the day... -Monaco
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‣ Predictable patterns. A good catalyst can cause a surge of volume and a major short squeeze on low-float stocks. It’s not a 100% reliable strategy but it does repeat. I often say I’m a glorified history teacher … The sectors and companies change, but the patterns stay the same.
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#Buyout news can potentially lead to a short-squeezing breakout opportunity if the stock doesn't make it to it's buyout price:::::::::::::::::::::: "I don’t usually trade stocks with buyout news... Usually, when a company announces buyout news, the stock shoots up to the buyout price, then bounces around that level with no volatility. Because the buyout offer essentially puts a fixed value on the stock.. That’s why I don’t touch them — no volatility = no trade... But [this stock] couldn’t even make it to the buyout price of $3 because shorts were pushing it down. That leads me to think that this could be one of the dumbest potential short squeezes I've ever seen. I’m not anticipating the move though. I’m waiting for a key level… And that’s the $3 buyout price. If it gets over that level, it rips faces off. See how you can ride the short-squeeze momentum".  -Bohen #buyouts #catalyst #news #short-squeezes
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THE LOW FLOAT SHORT-SQUEEZE
Low float stocks can have huge spikes and churn insane volume. Shorts become convinced that these stocks have run too much.
But low floaters can run higher than you think...
If they continue rotating the float, they have a chance to run for multiple days. Traders who understand this heading into 2022 could be well prepped for a lot of opportunities.
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FINDING PLAYS ---------- I care primarily about the Chart history... but I do care about the Float (or shares outstanding).... that matters to me because: the fewer the number of shares outstanding, the easier it is for the stock to squeeze (spike)..... -Grittani
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LOW FLOATS DURING THE FIRST 2 HOURS OF THE DAY (are slow to spike)
The best low float runners usually don't even run for the first 2 hours of the day --- they gap up slightly and they just hold (they trap the shorts) -- this is where shorts blow up (they end up getting out, cutting losses quickly, leading to a massive short-squeeze). -Matt Monaco
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COMMENT: ill take an entry at $3.13 if it can get there; this thing has rotated its float so many times, its not good, tons of shorts, that resistance break headed towards HOD could trigger a squeeze, playing small if i do
QUESTION: can you please remind me why too much float rotation is not good? (don't know)
ANSWER: it's just a rotation of new hands over and over again, with more buying and shorting power. . . and the more these stocks rotate, the more bag holders exchange bags (and run the stock down) with each resistance, along with old shorts covering and new ones taking positions. . . . . usually rotation is good for longs when they hold (taking shares out of rotation and running the price up when there's demand), but over-rotation, like 6 7 8 times over, isn't always the case.
ASKER: I figured that float rotation would be good.
ANSWER: well it is, but not excessively... so like a float rotating in some cases like XELA in March was great because people held, but the more bags exchanged, the more shorts adding on lower from the ones who covered, it gets bearish. . .  but you can flip it in cases to where its extremely bullish too (where longs hold and are in control, and shorts keep getting blown out and adding, and blown again, creates black swans type of squeezes). . .
ASKER: Thanks for the explanation. It helps
*SYNOPSIS: [float rotation is good for longs, but no too much float rotation (b/c bag holders exchange bags and run the stock down), albeit,  (where longs hold and are in control, and shorts keep getting blown out and adding, and blown again, creates black swans type of squeezes].

You don't know exactly what the shorts are doing, but i used to be a short-seller so i know the way they think. -Tim Sykes

When stocks spike and short-sellers are in the red (losing money), that's what makes short squeezes so powerful — they’re a combination of intense emotions. -Bohen

OTHER IMPORTANT TRADE FACTORS TO ACKNOWLEDGE / RATE / HEED JUDGMENT UPON THE PLAY FOR OVERALL
Is the company a Recent IPO? ---[if yes, that is a positive factor #potentiallyBullish]
Is it a Cool product / service they sell? ---[if yes, that is a positive factor #potentiallyBullish]
Is it a chat pump? (are chats pumping the stock? ---[if yes, that is a Pump-and-Dump sentiment #TakeProfitsQuick #TradeAfter9:45AM]
Is it a well-timed Money Monday press release ---[Monday PRs can lead to activity throughout the rest of the week for the stock]
Is it a Quiet morning/day in the markets? ---[[if yes, lots of eyes will potentially be on stock, and shorts might be desperate for a trade #ShortSqueezePotential]

TRADING AFTER 9:45 AM
Before 9:45 am, it's probably a great rule -- just don't trade that first 15-minutes of the day. The first 15 minutes is just like, big spikes, fake dips, fake squeezes -- it's tough. That's very difficult action to trade... After 9:45 am, you're going to miss the crazy volatility, but it's going to keep you *safe*, and that's mostly what it's about... Most traders, 90%, they lose money because they want in on the action of the volatility. Prior to 9:45 am is almost like gambling. But if you wait til 9:45 am, it's a rule to keep you safe. Because you can see great trades post 9:45 am as well... -Monaco

My experience watching OFFERINGS has been that the vast majority of the time a stock publicizes an OFFERING, the stock takes a massive hit and tanks... However, i have seen instances where the stock shrugs off dilution. Knowing the fundamental picture is important... I will never use DILUTION or OFFERINGS to make my trading decision (I still rely very much on technical analysis, b/c price action and short-squeeze manipulation occurs purposely)... Technicals come first, but fundamentals (dilution/offerings) can assist in decision making... -Grittani [Min 40, TT2, Chapter 2]

WHAT IS A SHORT SQUEEZE
A short squeeze is when all the shorts who were betting against a company are forced to exit. And when you exit a short position, it’s called buying to cover. So, when all the shorts we’re betting on failure have to get out they all buy at the same time and it spikes the stocks a lot. 
 
Key Point: A Short Squeeze Can Spike Stocks Further ========= One reason Tim doesn’t short much these days is because short selling is a very crowded space. It’s filled with newbies and over-aggressive traders. When they get caught on the wrong side, they panic buy to cover their positions. That spikes the stock further. 

The fundamentals don’t matter. It doesn’t matter what the fundamentals are. When a company is running up on a short squeeze or momentum, the fundamentals matter long term, but you cannot stay solvent in the long run if you’re shorting too aggressively too soon.

Key Point: Shorting Is Very Dangerous for Newbies ========== There are a lot of short-biased fake gurus out there ‘teaching’ newbies. The problem is, most newbies fail to understand that fundamentals don’t matter in penny stocks. They also don’t understand how fast a short squeeze can blow up an account. Tim suggests you learn long patterns first and then work on shorting. If you really want to short, take the time to learn the best setups. Paper trade at first.

But fundamentals don’t matter when a low-priced stock has momentum. Fundamentals don’t matter when there’s a short squeeze. Trying to short low-priced stocks is very difficult. The lower the price, the more difficult it is. 

What is a short squeeze? 
            * When a trade goes against them, short sellers buy to cover for a loss. As more shorts cover it can drive the stock price up. Longs then buy to take advantage of the spike. It creates a frenzy of buyers called a short squeeze.

The Best Penny Stock Short Squeeze In 2020 --------- https://www.youtube.com/watch?v=Dw6Y0N-30Io ...........

Short Squeeze: What It Is, Examples & How to Scan For It -------- https://www.timothysykes.com/blog/understanding-a-short-squeeze/ .......
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Key Point: Short Sellers Are the New Promoters ======== Short selling is a crowded game right now. Over-aggressive newbie short sellers are creating massive short squeezes. At one point, Tim even referred to them as short squeeze supernovas.     
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QUESTION: The last couple of days, we talked about short selling. But I think it’s important to maybe raise some red flags, just give your opinions and warnings on short selling. You call them the new promoters. So what does that mean?
ANSWER: So lately short squeezes have pushed stocks up further than ever before. There’s more short sellers because a lot of my top students have made millions.* I’ve made millions short selling penny stocks* and it’s a nice little niche strategy, but right now it’s a very crowded strategy. 
So if you start shorting too soon, you can lose more than you put in. And I just don’t think many newbies are aware of the potential for that great risk. They’re not prepared to lose that much. It’s very dangerous. So I would not really short sell, although I am short selling every now and then, but I’ve also been trading for 20+ years.
 
QUESTION: How does more short sellers and more selling actually make the stock squeeze and go higher?
ANSWER: the shorts all crowd each other out. It’s called a short squeeze. Everyone’s thinking that a stock goes down, maybe there’s an absolute scam, you think that it deserves to go down … probably it does deserve to go down eventually. 
But all the shorts crowding together, they squeeze each other. Because for a short seller to get out of their short position — a negative position — they have to buy to cover, which is no different than a buy. 
If there’s news, they’re wrong and you have a group of 500 shorts all being forced to buy to cover. Not only because of the stock price action, but maybe their broker also can call back their shares.
So the stock might be fading perfectly, but then the broker calls in the shares. Because to short, you’re taking out a loan from the brokerage. So they can say, “Hey, we can’t loan out these shares anymore. We need you to buy to cover.” 
So you have 500 shorts all together buying at the same time after they get their notice from their broker. Sometimes it happens at 3 p.m, sometimes 3:30 p.m. Eastern. 
When that happens, the stock starts spiking. 
So then sometimes you get the margin calls which creates a buying spike, then you get some other shorts who see this spike and they know their friends are getting squeezed out so they’re like, “Oh, I got to get out because the stock is spiking.”
Then those of us who are momentum traders who love short squeezes, we like buying just for a maximum pain for the short sellers. And then the stock has three groups of people buying with very little selling. So that’s what can create a short squeeze. And it’s much more powerful, much quicker than anything else right now. So I’d be very careful to try to go against such a crazy awesome force.
 
Key Point: You Can’t Know the Top or Bottom ======== A lot of short sellers figure “it can’t go any higher” and even increase their position in a stock … Only to see it spike even more. This stubbornness can increase the spike of a short squeeze. 
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But as the stock squeezes higher, they’re forced to cover their shorts, whether they’re naked shorts or real shorts. And that creates more buying power, which is what propelled this stock up to the $5s, especially after hours.
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Overcrowded: Too Many Short Sellers Create Short Squeezes
It seems counterintuitive, right? How can a stock spike when there are so many people selling?  There are a few reasons… 
• Brokers can call in shares: to short sell, you borrow shares from your broker. The broker can call the shares back at any time. It’s called a buy-in, and you don’t have control. What if the stock is up since you shorted and you’re willing to hold? There’s nothing you can do. Brokers have the ability to do a forced buy-in.
• Short selling is overcrowded: too many short sellers don’t have the patience to wait for the backside of the move. They all want to nail the top. So they get in too early, the stock keeps moving, and they decide to cut losses. Just like when stop losses get taken out during a panic, shorts often get squeezed at key levels. When they all buy to cover at the same time, the stock spikes. 
• Momentum buyers get in on the squeeze: short squeezes create upward momentum. Longs jump on the momentum driving prices up more. Shorts get squeezed more, and on it goes. This kind of price action can double or triple a penny stock in a matter of hours.  
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You don’t have to stay in any trade. Ever. You have the power to exit your position. That goes for longs trying to hold through a short squeeze, as well. If a stock squeezes 100%, 200%, 300% … don’t chase. If you really love trading short squeezes, trade scared. Trade small and take profits along the way. 
Why? Because the short sellers are right about all the reasons the stock should go to zero. Eventually, there will be a big crack. You don’t want to be long chasing a stock that drops 50% in a matter of minutes. 
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When you open the charts, look for… 
            What happened after the squeeze?
            Did the stock follow the seven-step framework?
            Was there a clear #4, #5, and #6? (Review the seven-step framework if necessary.)
Has the stock run or spiked since then? If so, what was the catalyst? (Do it. I know this kind of research is time consuming. It’s worth it. This is how successful traders think.)
Remember, if you don’t study the past, the market will make you pay a higher price for your education. 
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What’s the highest a short squeeze can spike a stock? 
            * It’s impossible to guess. Which is why short selling is such a risky strategy in the current market.
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*****further reading -------------- https://www.timothysykes.com/blog/short-squeeze-supernova.................
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Key Point: Weak Catalysts Can Create Opportunities, Too ========= Tim shares that sometimes a weak catalyst can actually create opportunities. If it makes short sellers rush in to take positions, it could lead to a short squeeze — for Tim, this is a great chance to go long. 
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This is what a short squeeze looks like. $3.20 to $3.70 … this started around 1 p.m. EST and this was 1:26, 1:27 p.m. So, 25 minutes. 
This is not normally a very volatile stock. It actually finished strongly, because I think again, some shorts are squeezed here. But it’s tough to chase a stock on a third green day. And it’s tough to chase a short squeeze, especially when the good news is already out. So, that’s a tough setup to chase.
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If a stock is up on nothing news, it normally wouldn’t be worth watching. But in the current market, the epidemic of short sellers could create a different kind of opportunity: a short squeeze.
When too many of these degenerates jump on board, it can create a short squeeze and actually cause a spike.
So in certain cases, it might be worth looking at stocks with a weak catalyst for your watchlist.
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True or false: only REAL catalysts — those based on real, confirmed news — make a stock watchlist-worthy.
            * False. While a real catalyst is great, a weak, hype-driven catalyst can also create opportunities like short-term spikes and short squeezes.
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FAILED SPIKES CAN EVENTUALLY TURN INTO BIG SPIKES (THROUGH SHORT SQUEEZES)
Lately, a lot of failed spikers are actually turning around and becoming spikers because short sellers get too aggressive. 
Short sellers' aggression can turn against them. That can make what should be a failed stock into an insane spiker. 
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True or false: Short sellers can get squeezed in speculative trades.  
            * True. Speculative trades tend to attract short sellers. Their aggressive approach can create short squeezes.
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When a stock spikes like UAVS did, it starts to attract a ton of traders.
Short sellers start getting in, but there are too many, which creates a short squeeze. This drives the price up even further. 
Then you have the big crash from $5 down to $1, and it actually becomes a good dip buy. 
You could say it’s like a #4 to #5 pattern if you’re using my seven-step framework. But the whole run-up from the $1s to the $5s was momentum buyers, hot sector, hot market, and short squeeze. 
This is a cycle we’re seeing play out again and again in the market right now. If you’re one of the few traders who can see it, you can be in a much better position to take advantage of it the next time it happens.

THE RECIPE FOR A SHORT-SQUEEZE:  no one is selling shares (shown on level 2) ... thus, you have short's getting squeezed ... you have buy-ins ... you have lack of a volume ... and you have uptrending price action..... -Tim Sykes

Fridays are SHORT-SQUEEZE DAYS......... -Sykes

Min 9:30 ------- what creates a short-squeeze are chat rooms --------- www.youtube.com/watch?v=wt6wiQxNbBo .......... #short-Squeeze #squeezes

Typically, short-sellers do not want to hold over the weekend (short-squeeze spike-potential toward the end of the day on Fridays). . . -Matt Monaco

How stock splits result into short-squeezes -------- www.youtube.com/watch?v=ZhtUIC9N9b4 ......... #stockSplit #short-squeezes #shortSqueeze #reverseStockSplit

 
First 4 minutes -------- explaining how a SHORT-SQUEEZE can be identified = you have FAKE HIGH OF DAY BREAKOUTS, WITH LARGE WICKS, AND THE STOCK THEN HOLDING SUPPORT (LEADING TO SHORTS GETTING SQUEEZED OUT AND LONGS PILING ON) ----------- www.youtube.com/watch?v=l2UlMFQb4wo .............. #ShortSqueeze
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First 5 minutes ---------- stocks that are EASY TO BORROW lead to short-squeeze opportunities, especially on DAY 1 spikes (you should never short on Day 1) ------- it is short-sellers that are propping a short-squeeze upwards (not longs) ---------- www.youtube.com/watch?v=AhHxQEX_Qpk .........
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What’s a short squeeze and why does it happen?
Short sellers borrow shares in a stock when they think the stock’s headed down. They profit by buying the shares at a lower price. (It’s like going long, just in reverse.) To manage risk, shorts have to exit positions when the share price goes up.
Otherwise, they can lose big...
Traders try to take advantage of heavily shorted stocks by forcing shorts out of their positions. Again, the shorts have to buy the shares to close their positions. And all that buying sends the stock price even higher.
That’s when we get those awesome parabolic moves. Learn more about short squeezes here.
Now, heavily shorted stocks don’t always make for good squeeze opportunities … If a stock keeps falling, shorts aren’t as likely to close their positions.
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Min 4 --------- it's the short-sellers that allow the stock to spike so much --------- www.youtube.com/watch?v=2oudRGkloZY ........... #Sykes #ShortSqueeze
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Many of these traders are running their scans and finding big percent gainers with high short interests. The more dubious, the more likely they think it is to squeeze them “to the moon.”
These kinds of squeezes are happening more often and for longer periods of time. Two days used to be considered a long squeeze, but now we’re seeing multiday, multi-month squeezes … That can mean plenty of opportunities along the way.  
But remember that this won’t last forever. Eventually the reckoning will come, and squeezed stocks will crash again. It’s inevitable.
Learn from this action. And before you make a trade, always have a risk management plan. Set clear entries, exits, and risk levels. Keep your expectations and goals realistic.
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ANSWER: Shorts had success years ago with this strategy when hanging out below VWAP was a bearish trend. Now, traders use this knowledge to squeeze the shorts. Look at BBIG yesterday … It fell below VWAP, built some momentum, and exploded for a 14% gain once it found solid support. Will shorts ever learn? I don’t know. For now, it seems traders will continue to see BIG opportunities like BBIG.
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Penny stocks don’t move in sympathy with the overall markets. They move on BS press releases, short squeezes, and breaks through technical levels. -Bohen
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MARKET ENVIRONMENT EVOLUTION
From 2007 - 2015 was that golden age of SHORT-SELLING.
Late 2015 - Late 2016 was the epic age of low float SHORT-SQUEEZES [...in the post-2016 world shorting is an overcrowded strategy. Stocks don’t pull back like they used to. Instead, they consolidate sideways]. -Bohen
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Min 28:30 ------- Min 31 ---------- Min 57 ----------- on how shorting works #cryptoShorting-_- ---------- $2.50 rule --------- www.youtube.com/watch?v=l7w2IhPX5PY ..... #shorting #sykes #short-squeezes
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TRADING PSYCHOLOGY (playbook)
• If a stock holds close to the high over a long period of time (3+ days), that weakens its hold (it is more likely to be OVER-EXTENDED and drop in price). <------good for SHORTS
• If a stock tanks (like many #biotechs on DAY 1), it will take a lot of buyers (volume) to break through resistance. <------heavy VOLUME is needed (for it to spike) if it's far from its HIGHS
Before you take a trade, ask yourself, "how scared would i be if i were a short-seller in this position"?... Put yourself in their shoes to get a sense of what you might expect. -Bohen 
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WHEN THE BEST TIME A SHORT-SQUEEZE IS LIKELY TO HAPPEN
Imagine if you tried to short a stock against it's highs on that FIRST HEAVY VOLUME DAY (First Green Day). Without the stock making a significant push lower, holding those shorts becomes harder and harder. <--------★bad for SHORTS (i.e. SHORT-SQUEEZE POTENTIAL)
On the flip side, if a stock falls away from the highs and stays low, like many #BIOTECHS do on Day 1, it will take a lot of buyers (and volume) to break through that resistance area. <---------★heavy VOLUME is needed (for a stock to spike) if it is far from its HIGHS.
▶ Before you take any trade after 9:45 am, ask yourself, "how scared would I be if i were a *Short-seller* in this position?" .... Put yourself in their shoes to get a sense of what you might expect.
 
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Friday's--- stocks can spike because the news can spread over the weekend......................Stocks tend to spike on Fridays going into the close......because shorters don't want to have shorts over the weekend....... veteran traders buy the momentum on Fridays..newbies buy on Mondays...it creates a great probability for BUYING STOCKS ON A FRIDAY AFTERNOON AND SELLING THEM ON MONDAY..... stocks are more prone to squeeze as the market is about to close.
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BUY LONG AND SHORT-SELL-------Be able to go long and short.. That's why you need a margin account.. this is required.... I know some of you guys don't want to short.....that's like having only a forehand in tennis......To be a great tennis player you need a forehand and backhand... even if you don't necessarily want to short, at least learn how shorts think, so that when a stock short-squeezes, you can benefit and buy the stock rising... -Tim Sykes
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"What makes Friday different than any other day..................... it's really the fact that short-squeezes are more possible.. Stocks are more prone to squeeze as the market is about to close."  FRIDAYS ARE GREAT TO PLAY, IN AFTERNOONS (GREAT TO BUY STOCKS AND THEN SELL IMMEDIATELY ON MONDAY MORNING)
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STRATEGY----  Rule: Don't buy breakouts mid-day (12 pm - 1 pm).... I sometimes buy 2 - 3:30 pm because it can squeeze. -Tim Sykes
 
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SHORT-SQUEEZE ---- this is when a lot of people betting on lower prices, get squeezed OUT OF THEIR POSITIONS. . . you can lose more than you have in your account when it comes to shorting. . . let's say you have $50k in your account, and the stock is going against you, now you're down $50k --- the broker will issue a margin call, and they'll say "hey you need to put up more cash, or we will liquidate your position". . . let's say you have no more cash. . . . the brokerage buys you in at your short position at $70. . . and they're also buying other short-sellers. .  and other brokers are covering other short-sellers --- so what happens is all these brokers are buying the cover at the same time and that can lead to even higher prices which can be a SHORT SQUEEZE. . . . . short-squeezes can keep going for hours and days and weeks until all of the short-sellers are bought in willingly or by their broker. . . . .
 
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Always doubt the reason why a penny stock is spiking..... it's either the momentum crowd has a hold of it, maybe some short-sellers got squeezed early, or someone on the inside is hyping/promoting the company so insiders can sell shares........ It's the same formula: Get the low-priced stock up and that way insiders can sell into the stock.......... I TRADE WITH A VERY VERY VERY SMALL ACCOUNT IN ORDER TO SHOW YOU HOW TO PIGGY BACK THESE RUN-UPS.......
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You have to understand that, within 3-days of your short, if it's a hard to borrow stock, no matter what broker you use, you might get bought in at your position at an inopportune time..... when you cover a short, they buy the stock, the stock goes up (short-squeeze)........ So if you think the stock is going to drop within 3-days, short. . . . . but if you think that maybe it's going to take 7-days, and there's a good chance of you being bought in during the interim, then it's risky.......... 
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Strategy----Breaking out due to panicking shorts/margin calls/forced buying (Squeeze Breakout)--------------- I will be QUICK to buy-to-cover here as well...... Short-sellers, they don't necessarily want to buy the stock, but they're getting squeezed - they have to buy their losses. Stocks get squeezed... And they can actually go up faster... But then the squeeze (stock going up) can also retrace (and can down-trend just as quickly).
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A morning spike (gap up) --- shorts are getting squeezed...... then it takes a few days and it crashes down..... -tim sykes
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It's possible this strategy (for penny stocks) is applicable to other niches.............. i don't know..... i'm sure if you look for parabolic moves (like supernovas) in other niches, i'm sure it will work......... Stocks have supernovas based on a short-squeeze (not because the company did anything great), and then the stock dropped 40% off it's highs....
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Insight | Wisdom------Do not memorize these patterns..... they mutate.......patterns can evolve and change........ If my DVDs strategies get popular enough,, these patterns will flip........shorting on the first red day will actually be a great buying opportunity because all of the idiot shorts who watch these DVDs and don't learn that patterns evolve, will be short and you can squeeze them.. and i'll be making pennystocking part 16 (and it'll be like, "you actually have to buy on the first red day")....... i can't destroy these patterns or create them, but i will help them evolve...... Understand variables so you can adapt........
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Buying an afternoon breakout is not as good as buying a morning breakout (typically in the morning, it's spiking based on emotional buyers creating momentum); but typically in the afternoon, most people are emotional with the potential short-squeeze happening so there is more hesitancy.  For the afternoon breakout i size in a little bit smaller than I do for the morning breakout.. -Dux
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A short-squeeze typically results in a 60% spike!.. i.e. a stock will spike 60% up (from it's current price) when a SHORT-SQUEEZE occurs... -[Dux commentary] <----------- for me to calculate the price i should sell at on a short-squeeze spike (of approximately 60%), i must multiply the stock's current price    *     0.6, and then add that number answer to the stock's current price  TO GIVE ME THE PRICE I SHOULD EXIT FROM MY TRADE (i must always take profits into strength, meaning i need to sell before the stock reaches this exit price to ensure i survive slippage and to ensure i have a buffer zone in case the stock doesn't literally run 60% up... look to profit 30% - 40% of the stock's spike (instead of 60%). <--------- THIS KIND OF MATH DOESN'T HAPPEN TRULY ALL OF THE TIME -- IT ONLY HAPPENS DURING A REALLY HEAVY SHORT-SQUEEZE. -DUX
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Min 3:38:00 of Part 2 ORIGINAL vid ------- how to short after a short-squeeze happens ------ www.stevenduxi.com/trading-techniques-video-course/ ............
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The larger the volume bar located beneath the resistance price, the larger short-sellers will size into their positions.... thus, the opposite is true: when the stock breaks-out of a large resistance area, the stronger/greater the break-out will be (#short-squeeze).. A short-squeeze has about a 60% spiking potential; [to calculate the selling point on a short-squeeze spike: stock price * .6 + stock price = the perfect-scenario price i should sell all of my shares into; it would be wise for me to sell prior and take profits into strength]. -Dux
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- the larger the RESISTANCE VOLUME that the stock breaks out of, the higher the short-squeeze will be. the larger the resistance area the stock breaks out of, the stronger/greater the break-out will be (#short-squeeze).. A short-squeeze has about a 60% spiking potential; [to calculate the selling point on a short-squeeze spike: stock price * .6 + stock price = the perfect-scenario price i should sell all of my shares into; it would be wise for me to sell at maybe 25-40% and take profits into strength]. 
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Shorting into resistance for this pattern will give you an even greater percentage than shorting without any resistance. ... because it is a parabolic, you do not know where the top is -- that's what makes this pattern so dangerous... Once you have a larger account size, then go for trading this pattern (since you can afford to risk losing capital)... I do not recommend shorting into parabolics without any heavy resistance before in it's past history of the chart [Min 1:55:00, PART 2]. Especially do not short into a parabolic without past heavy resistance (i.e. heavy volume at that resistance level) IF IT IS A LOW FLOAT STOCK (lest you get squeezed) -_- .. to find the correct resistance level, you have to be looking at the long-term chart (most of the time, you want to pick the chart's previous resistance as your risk level; only if the resistance's volume level at that time was over 20+M, otherwise it is not considered very strong resistance (not strong enough to short into confidently) --- otherwise then i choose a consolidating area to risk my short-selling trade off of..... -Dux
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Min 1:08:00 ----------- do not short-sell into parabolics until you can find a clear risk-level | if the stock is consolidating GET THE HELL OUT because the stock can pull some crazy short-squeeze spike | if the stock is fading THAT'S FINE --------- Trading Techniques Part 2 [www.stevenduxi.com/trading-techniques-video-course/]....... #Dux!!!!!!!!!!!!
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DO NOT USE THE BOUNCE SHORT STRATEGY ON A STOCK IF THE VOLUME IS UNDER 10 MILLION! BECAUSE THAT'S NOT A VERY GOOD RESISTANCE LEVEL TO RISK OFF OF (WHEN SHORTING), AND IT'S VERY LIKELY TO BREAK THAT RESISTANCE LEVEL (AND SPIKE UP / SHORT-SQUEEZE), ESPECIALLY ON LOW MARKET CAP AND LOW FLOAT STOCKS! .... On the other hand, 50million resistance is unbreakable (great to short-into), so the stock will likely not break that resistance level, but if it does then Dux says he just cuts his losses (b/c the winning % is so high, he is comfortable with losing 10%-15% of his original investments)... Volume at 2 million is very light resistance (not good to short-into as a short-seller)... Typically, i won't be using the BOUNCE SHORT pattern to short a stock if the volume(resistance) is under 10million... -Dux
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*****for the FIRST RED DAY you do not have to be in a rush b/c the stock is already over-extended, so if you rush the stock might have a short-squeeze... so wait (the entire day) until the stock shows weakness first (to see if the stock is running out of strength)... if the stock starts fading and closes weak at the end of the day (no matter if the stock is still green or red on the day; so long as it has 1. a failed morning spike AND 2. is closing very very weak).... As long as the stock is really over-extended, it can drop by 70%-90% from it's highs... However if the stock just went from $1-$10, or $1-$15 or $1-$20 -- it typically drops about HALF of it's parabolic spike (where you can make 20%-30% profit from it by short-selling it before it reaches hitting that 1/2HALF of it's own spike (you would be shorting it at the end of the day (taking 1/4 your position) during the end of the first red day; then if the stock starts to spike a little bit in the morning, I would add another 1/2(half) to my short position; if it continues going up add another 1/4... if it hits your major resistance level ADD ANOTHER 1/2(half) of your position... that's basically how (dux) manages his risk for the FIRST RED DAY...) with shorting, you have to be able to afford to lose before entering your positions fully (losing on at least one third of your sizing in, if not losing on 4/4ths of your sizing in, before you can expect to profit | if you can't afford to lose then that'll bring an emotional factor to your trading causing you to lose more money).... -[Dux commentary]
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Once the over-extended gap down fails and starts taking out the day high (and starts going green), it will create a massive short-squeeze... -Dux
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The maximum short-squeeze percentage (spike) is about 60% - 70% before it starts consolidating... –Dux            ß----YO I NEED TO TRACK THIS!
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TRACKING THE MAXIMUM SHORT-SQUEEZE PERCENTAGE OF A STOCK ------- Min 00:21:00 AND Min 1:36:30 AND Min 2:56:20 of Part 4.
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Only 10% of people are short-sellers --- 90% of people are buying typically (b/c they don't know how to short-sell)...... So once longs start filling the Float, the shorts will get squeezed..... But if the stock drops first then all of the longs become bagholders.... . -[Dux commentary]
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Spikeability dvd – part 2 --- Min1:37:00 — on SHORT SQUEEZES
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With the parabolic short-selling strategy, you take a short position based on the thesis that the stock will keep going higher. Confusing, right? But the idea behind it is that you're shorting it with a plan to add higher. Essentially, you’re scaling into a short position.
So when a stock starts to spike, you might short 100 shares at around $3.50. Then you might add 100 shares at $4, and more at $4.50…
Because the more parabolic — meaning straight up — a stock goes, the more shorts think it will pull back really hard and they can buy to cover to get out. 
The problem with that is, in the post-2016 world shorting is an overcrowded strategy. Stocks don’t pull back like they used to. Instead, they consolidate sideways.    
And shorts add into any pops.
Then when the stock opens red the next day, they think they’ve got the trade in the bag. And they start hammering it even harder…
Now, the shorts are in full size. They’ve maxed out their buying power and margin…
Then the stock has an uptick. And they get nervous… 
Then it breaks above the opening price. So they up their risk to the red-to-green level… 
…Now the stock goes from red to green. 
Suddenly more shorts are nervous and they have to buy to cover to get out. 
That creates a wave of buying where it’s shorts hitting market orders and outbidding each other to get out. 
And that’s why most short squeezes happen in the afternoon.
Because the longer shorts have to watch a stock consolidate, grind back, and then continue to make new highs, the more nervous they become…
Then they finally have to accept they’re wrong and exit the trade. And if they don’t, their broker will do a margin call and force them out. 
That’s what makes afternoon moves so powerful.. -Bohen #shorting #parabolicShort #Squeezes #afternoonVWAPHolds #short-Squeezes

SHORT-SQUEEZE ---- this is when a lot of people betting on lower prices, get squeezed OUT OF THEIR POSITIONS. . . you can lose more than you have in your account when it comes to shorting. . . let's say you have $50k in your account, and the stock is going against you, now you're down $50k --- the broker will issue a margin call, and they'll say "hey you need to put up more cash, or we will liquidate your position". . . let's say you have no more cash. . . . the brokerage buys you in at your short position at $70. . . and they're also buying other short-sellers. .  and other brokers are covering other short-sellers --- so what happens is all these brokers are buying the cover at the same time and that can lead to even higher prices which can be a SHORT SQUEEZE. . . . . short-squeezes can keep going for hours and days and weeks until all of the short-sellers are bought in willingly or by their broker. . . . .

The shares that are available to short ------ the HIGHER the potential for the short squeeze............. #ShortSqueezeWARNING............. the biggest spikers are almost always the low-float, hard to borrow stocks.......... -bohen

You don't want to under-estimate the power of a SHORT SQUEEZE. .  . a company that could be worth $0, it can still rise faster and further than you ever anticipated, and I've seen this. . . .  one stock went from $5 to $120 -- so be very careful every time you're short-selling. ..  there can always be a short-squeeze that can lead to your ruin. . . . -TIM SYKES

SHORT-SELLING ----- you're taking out a loan from your brokerage.... you sell shares you don't own..... If the stock price decreases in value, your "negative" position (* times *) a negative dropping in the price = a positive ($). . . . . . . . . . . . . . . . . . [a negative (times) a negative = a position]. . . . The biggest risk is what if you're wrong. . . If the stock goes from $20 to $100, now your negative 1000 shares at $100, your $20,000 is $80 lost per share, which means you lost 4x as much as you put in. . . . . so for short-selling, you can lose much more cause the stock can go up infinitely. . . In a BULL MARKET, shorting is very dangerous. . . . Short-squeezes are no joke. . . -TIM SYKES

 #3 Short Squeeze: A short squeeze is a phenomenon when investors trigger a rise in price on a heavily shorted stock. Investors trigger a short squeeze by extensively closing short positions and creating high buying volume. The reason behind this is usually their common belief that a stock will become unprofitable. The opposite of the short squeeze is the less common long squeeze, which will lead to further decline in a security’s price.

STRATEGY--- When there's no morning spike left, that means most of the shorts are out, or amateur short sellers have been squeezed out..... and then the fade starts to take effect.........          -sykes

!!!!!!!~~SHORTING ON FRIDAYS, Be scared shorting on Fridays, especially in the afternoon........watch out for Friday short squeezes..

SHORT-SELLING OVER THE WEEKEND------I don't want to be short over the weekend. Yes, while the stock is eventually going to crash, it could squeeze you in the meantime, and you could have massive massive losses in the meantime. you can buy the breakout instead..... i love the fact that this short-squeeze (trends upward)-- i want it to go higher! early shorts and wannabe shorts, when the stock doesn't go down, and if your broker calls in the loan, then you have to buy to cover,,, that creates a short-squeeze. The question is when will the short-squeeze be over.. -Tim Sykes

~~Even if you don't want to short-sell, learn how shorts view the market so you can buy into short squeezes!

Shorting EARNINGS WINNERS will get you into trouble........... because you're gonna short, and the stock will keep going up, and you'll add to your shorts and then get squeezed.... Earnings winners can spike on Day 2 or Day 3, and sometimes earnings winners can spike big on Day 5 or Day 7.... -tim sykes

Min 4:57 ------ How to short penny stocks in a squeeze market (intraday trading scalp only, wait for day 2 & 3)----- www.youtube.com/watch?v=b3qGKhHMCIM .......

Lose the small battles but win the war.... if i short a stock and it shoots up and i lose, that short squeeze will then open up more shares to short when the stock peaks, resulting in it's then inevitable crash whereby I'd then purchase even more shares to short , and when the stock crashes, I'll make exponentially more than the loss i incurred earlier.... i lose a small battle but win the war at large...... -[tim sykes summarized explanation]

A company turns into an SSR when it hits certain levels, especially if it's down 10% from the previous day. It makes it very difficult to short, and short-sellers then turn into long buyers because they know of the potential of a short-squeeze.

So, the short sale restriction can sometimes go hand in hand with parabolic moves and really quick short squeezes to the upside because the ability to go short is made difficult (due to one needing to buy shares to short on upticks which is risky/tough).

When a stock takes many days to go up, it will also take many days for the stock to drop (..Dux explains his holding a short position on CEI (circa the beginning of October 2021)... When the stock begins to drop it forms consolidation; once it cracks under consolidation you can re-short and build your avg into the consolidation resistance (by pulling your average entry price down to the consolidation level price area; and this is where your entry becomes your "risk" level for selling should the stock spike up/short-squeeze you)...  -[Dux commentary]

When there's $2 of upside and .30 or .40 cents of downside, I want to bet big! ....... (hopefully it's not too tough to get executed).... The best shorts can become the best short-squeezes...

Min 28 ------- sector momentum is real and must be respected (by short-sellers, lest they get squeezed out)........... Brian Lee [Beyond the PDT] ---------- www.youtube.com/watch?v=mDUnrcKDFkk ...........

Typically short-sellers do not want to hold over the weekend (short-squeeze spike potentials toward the end of the day on Fridays). . . -Matt Monaco

Min 9 ------- a great technical analysis illustration of SHORT SQUEEZE SETUPS -------- www.youtube.com/watch?app=desktop&v=ip2uVzQWGTc .......

Friday mornings are special........ #ShortSqueezes....... Fridays are the single most dangerous day to short-sell........ but on Fridays, hype can take over and can create short-squeezes, spiking big on Monday........... Friday short squeezes can get out of hand quickly......... If you really want to take advantage of the Friday Morning Short squeezes, you look for the most active stocks (the biggest percent winners), and you try to ride these morning spikes as they take out the day high......... -Sykes

Short squeezes (spikes), will inevitably lead to crashes eventually... -Sykes

Min 9 ------- a great technical analysis illustration of SHORT SQUEEZE SETUPS -------- www.youtube.com/watch?app=desktop&v=ip2uVzQWGTc .............. #shorting
 
It is very difficult for a stock to sustain a short-squeeze for three if not four days..... it will drop sooner rather than later (there's only so many shorts who can be squeezed)....... –Sykes
 
If you understand short-selling, and how early-shorts can get squeezed, that makes it better for shorting later, as early shorts had already panicked... -[Sykes commentary]

Friday mornings are special........... #ShortSqueezes....... Fridays are the single most dangerous day to short-sell........ but on Fridays, hype can take over and can create short-squeezes, spiking big on Monday........... Friday short squeezes can get out of hand quickly......... If you really want to take advantage of the Friday Morning Short squeezes, you look for the most active stocks (the biggest percent winners), and you try to ride these morning spikes as they take out the day high......... -Sykes

THE TREND OF 2021
QUESTION: The beginning of most meaningful short squeezes occurs below VWAP. Can someone point out why?
Min 28 ------- sector momentum is real and must be respected (by short-sellers, lest they get squeezed out).........Brian Lee [Beyond the PDT] ------- www.youtube.com/watch?v=mDUnrcKDFkk .........

These sketchy biotech stocks ... are always heavily shorted. -[Bohen commentary] #biotechs #short-squeezePotential

Min 1 ------------ Min 7 ----------------- the dangers of shorting are #short-squeezes | when to short after the squueze happens! | use tradezero to short in 2023 ----------- www.youtube.com/watch?v=UV3MQ4UCXtA ............. #shortingIsRisky

Min 13 — on promoters and short-squeezes — https://m.youtube.com/watch?v=qwNJXmJ44xg ........ #shortSqueeze #promoters

HOW THE PARABOLIC SHORT-SELLING STRATEGY LEADS TO SHORT-SQUEEZES

Min 3:30 --------- Min 8:30 --------- on forced buy-ins creating short squeezes by brokers ------- www.youtube.com/watch?v=M4UAuCO4Am4 ......... #shorting #buy-ins #sykes #short-squeeze

Min 28:30 ------- Min 31 ---------- Min 57 ----------- on how shorting works #cryptoShorting-_- ---------- $2.50 rule --------- www.youtube.com/watch?v=l7w2IhPX5PY ..... #shorting #sykes #short-squeezes

When early short-sellers get squeezed, that makes it a better short-selling opportunity later..............

Min 28 ------- sector momentum is real and must be respected (by short-sellers, lest they get squeezed out).........Brian Lee [Beyond the PDT] ------- www.youtube.com/watch?v=mDUnrcKDFkk .........

There's no accurate short-selling data. Most of the data is one or two months delayed, and even when you see the "short interest" [i.e. short float / shares short / short % of float / short percentage] from a month or two ago, it's not usually accurate... The good news is, short-sellers are like angry vegans, and they like to tell everybody that they're short, so you can use social media/STT Breaking News, they alert the best pumps and the biggest short-squeezes...-Sykes #SHORT-SQUEEZES

Min 17:30 ---------- a high "short float" % is very dangerous to short, because that means shorts need a way to get out; if a stock has a high SHORT FLOAT then the edge is to the long-side #shortSqueeze (ANYTHING OVER 40%) -------- www.youtube.com/watch?v=eNgIv-bVcn4 ......... #shorting

Min 4:20 - Min 6:10 ---------- Identifying short-squeeze plays::::::: 1) when a stock holds SUPPORT, and continues HOLDING major SUPPORT Levels, that is a BULLISH sign --------- www.youtube.com/watch?v=BDfv10zYf-I ....... #short-squeezes #sympathyPlaysSpikeAtSameTimeAndGoDownAtSameTime #dipbuys #dipbuying

When trading BIG CAP STOCKS --- Find out what the SHORT RATIO is of a stock.. If the entire float is being shorted, then it's likely to create a massive squeeze... 

Min 31:20 -------- how short-squeezes are started ------- www.youtube.com/watch?v=riEVth7L1uA&t=1260s ……….. #sykes #huddie

PROMOTERS AND #PUMP AND DUMPS AND #SHORT-#SQUEEZES
Pumpers know exactly when to pump. They know that shorts panic at those key level.
When shorts feel trapped and worry about a breakout, they cover their positions — which means buying shares.
Pumpers start promoting when the stock approaches these key levels. They know that if the shorts get scared, the stock can go on a HUGE run (#short-squeezed).
You have traders buying-in from the pump, and shorts buying-in to cover their positions. This is why short squeezes can be so crazy.
The larger a stock’s market cap and float, the harder it is to push the stock around.  
That’s why almost every chat pump is a low float stock.
Chatroom and Twitter pumpers want to take advantage of supply and demand.
Pumpers use chatrooms or Twitter feeds to create [fake demand] and bring in [volume]. They alert their followers to their position and convince people the stock’s the next best thing. 
Then they sell into the spike as buyers come in. Their goal is to profit from creating fake demand which drives up a stock's price...
But if a stock has plenty of supply (i.e. is a high float), a lot of demand and volume won’t move the stock quickly.


 
#SHORT-SQUEEZES (ON WEAK NEWS, OR NO NEWS)
If you watch the market regularly, you may start to see stocks run without news. Or maybe its crappy news but it spikes anyway. When is it safe to profit off this volatility? Bottom line: The catalyst was trash. That’s why I didn’t touch it. I’m looking for news that shows there’s value added to the company. Like new contracts or business deals. An acquisition would be better than this... BUT WHY DO Why Did It Spike? Don’t worry, there’s an easy explanation — it was a short squeeze. Traders could tell that the stock was up on sketchy news. So they decided to short the weak spike in the morning. But unfortunately, everyone had the same idea. And when there are too many shorts on the same stock, a short squeeze will push it higher. So what’s the deal here? Can we predict short squeezes? Are they profitable?
-
Predicting Short Squeezes
It’s not tough to predict short squeezes. These days if you see a stock going parabolic without news, it’s probably a short squeeze.
Some people try to look at the short percentage of the stock to try and find squeezes beforehand. But that data’s usually out of date.
I think that squeezes are predictable but not reliable.
Profitable?
They certainly can be. But because they’re so unreliable, I wouldn’t try it.
You never know how high the stock will go. The catalyst is pure hype and panic. That’s a dangerous combination.
Remember, these penny stocks are junk anyway. Try not to buy junk with junk news.
My best advice is to sit back and watch it all unfold. There’s a lot you can learn from squeezes, even without trading them.
 
 
Min 21:30 ------- Jackaroo dropping gems on WATCHLISTING stocks that keep running up over a month’s time with short’s piling in -------- www.youtube.com/watch?v=w_yqoTJgrt8 ........

Failed bearish patterns are great bullish patterns... If something looks like it shouldn't work, and it does -- it's probably got shorts caught in it (great ShortSqueeze opportunity)... However, if it looks too extended (the spike) it probably needs to rest a bit #consolidate... -Tuohey

COMMENT: As Matt Monaco once said, the key to going long is knowing where shorts are f@%#ed
QUESTION: How do you know where shorts are F%#K$?
COMMENT: imagine being short. where would u enter, where would u been in PAIN?
COMMENT: Daily charts, shorts will attack one and done's more. Also lots of these companies mostly gap up with the purpose to dilute to raise cash.

The larger the volume bar located beneath the resistance price, the larger short-sellers will size into their positions.... thus, the opposite is true: when the stock breaks-out of a large resistance area, the stronger/greater the break-out will be (#short-squeeze).. A short-squeeze has about a 60% spiking potential; [to calculate the selling point on a short-squeeze spike: stock price * .6 + stock price = the perfect-scenario price i should sell all of my shares into; it would be wise for me to sell prior and take profits into strength]. -Dux

How short-squeezes happen ----------www.youtube.com/watch?v=YVA899uhAh4 ............

If the FLOAT is half a million shares and there's 3 MILLION SHARES SHORT (i.e. if there's 5x+ more SHARES SHORT than there is in the FLOAT), that is what causes these epic run-ups from $5 to $115..... -Mark Croock... #FLOAT

ENTRIES AND EXITS
Stocks won’t hit support and resistance levels exactly. And you won’t nail the bottom and top of every move. 
Instead, take profits along the way. When you see profits, take profits. 
One of my favorite sayings is: I’d rather be out and wishing I was in than be in and wishing I was out. 
With all of my trading patterns, I look for entries when a stock shows strength. I want it to prove to me it can break through key levels with high volume. 
When exiting a trade, look for whole dollar or half dollar levels where a stock struggles to go higher. Big top wicks on candlesticks with high volume can also be a sign of selling pressure. -Bohen

SIZE IN SMALLER DURING THE AFTERNOON (THAN IN THE MORNING)
Size in smaller into AFTERNOON SQUEEZES, because once the stock exhausts the stock will drop again. In the morning, buying is the sentiment for breakouts, but in the afternoon, shorts are involved creating the breakout (via short-squeeze) so once the stock exhausts it will drop fast potentially. 

Watch video --------- https://youtu.be/e-IbGdSnG8w .......... www.youtube.com/watch?v=_HBb7syrz7s&list=PLWWz2BSabm3ZpwlDDzUxBmfrDl1-QJc1y&index=42 .......... www.youtube.com/watch?v=8Im4lr-kmv4&list=PLWWz2BSabm3ZpwlDDzUxBmfrDl1-QJc1y&index=47 ..........

WISDOM---------You see the first morning spike, and then the second one........This is how the stock created it's huge gains...........I'm not crazy in saying that the short-sellers are responsible for these huge spikes.... of course the short-sellers are responsible..... Who's going to buy a stock that goes from $5 to $50..........??? It's shorts covering...... -Sykes    <------THE REASON WHY STOCKS SPIKE (AT TIMES)

A morning spike (gap up) --- shorts are getting squeezed...... then it takes a few days and it crashes down..... -tim sykes

You have the volume spike, you have the stock spike (break-out),,, you have to buy it... you have to take advantage of the short's covering (and pushing the stock up higher)....... -tim sykes

It's possible this strategy (for penny stocks) is applicable to other niches.............. i don't know..... i'm sure if you look for parabolic moves (like supernovas) in other niches, i'm sure it will work......... Stocks have supernovas based on a short-squeeze (not because the company did anything great), and then the stock dropped 40% off it's highs....

WEAK OPEN RED-TO-GREENS CAN LEAD TO SHORT-SQUEEZES
weak-open-red-to-green setups are pretty similar to day 3 surges.
The idea is I find a stock that’s shot up on news and then held near the highs.
That effectively ‘traps’ short sellers near their stops.
If a stock manages to drop, they get an opportunity to exit at a profit.
But when the stock holds near the highs, it makes them nervous with an itchy trigger finger.
And most of them put their stops right at the recent highs. -Bohen

TRACKING THE MAXIMUM SHORT-SQUEEZE PERCENTAGE OF A STOCK ------- Min 00:21:00 AND Min 1:36:30 AND Min 2:56:20 of Part 4.

TRACKING THE SUPPORT AND RESISTANCE DETAILS OF A STOCK ------- Min 23:40 AND Min 1:29:40 of Part 4.