As promised, let's return to the discussion of the bogus mis-used metric, "DAILY SHORT VOLUME"!
Many would have investors believe that DAILY SHORT VOLUME is somehow related to retail and/or institutional short sellers actually establishing short positions in a specified equity. For those unfamiliar with the nuances of OTC stock trading, the underlying rationale behind the DAILY SHORT VOLUME can be confusing at best. Suffice it to say, it DOES NOT describe the actual act of a retail or institutional investor selling an equity issue short! Of course the multitude of misleading "touts" re: the subject are abject misrepresentations of the true FACTS!
Let's look at a real example! Yesterday, May 13, was a good day for longs, who were invested in SPRV. The share price was ultimately up nearly 40%.
But what about the DAILY SHORT VOLUME? The total trading volume on May 13 was 25,448,694 shares. The reported DAILY SHORT VOLUME was reported to be 11,993,776. If these nearly 12 million shorted shares were not the product of millisecond or even microsecond naked short positions, there would be short sellers that shorted 40% of yesterday's volume, despite the share price gains of nearly 40%. Construing DAILY SHORT VOLUME to represent short positions held by retail and/or institutional investors is complete nonsense! Not even the Village Idiot would short 40% of the SPRV volume, while the share price was advancing, based on an ADVERTISING RAG PUMP!
With all the investment forum cheerleading yesterday, we know for a FACT 40% of yesterday's volume was NOT actual retail and/or institutional short sales. I gotta say, if the 40% were to be actual short sales, there would be a whole bunch of happy shorties covering and celebrating today!
DAILY SHORT VOLUME DOESN'T MEAN JACK FOR RETAIL INVESTORS!!! The FINRA-reported SHORT INTEREST, which is the important number, will be updated within the next few days. The SHORT INTEREST will specifically show the exact total number of shares held in the short sellers' portfolios, as of May 17. It is very clear the SHORT INTEREST will come nowhere close to the DAILY SHORT VOLUME of 12 million shares that occurred on May 13.
IMO, the actual SPRV SHORT INTEREST reported to FINRA, as of May 17, 2021, will be less than 200,000 shares! We shall see!
