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Re: trader53 post# 69008

Tuesday, 04/28/2015 4:42:46 AM

Tuesday, April 28, 2015 4:42:46 AM

Post# of 244535
Short Squeeze - What it is:

The possibility of a short squeeze is one reason
analysts look at a high amount of short interest
as a bullish indicator.



Short squeezes
occur more often in small-cap stocks with small floats,
but they can occur with any stock.

Investors should pay attention to the short interest ratio
of a particular stock and the number of shares sold short relative to the float

Those with high short-interest ratios
are often more susceptible to a squeeze.



A short squeeze
occurs when the stock's price doesn't decline as anticipated.

A short squeeze is a situation in which
a stock's price increase
triggers a rush of buying activity among short sellers.


Short sellers must buy stock
to close out their short positions and cut their losses,

which results in a further increase in stock prices,
which compel still more short sellers to cover their positions.



http://shortsqueeze.com/

http://www.investinganswers.com/financial-dictionary/real-estate/short-squeeze-2045

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