Torrid Holdings Inc (CURV)

[NoMoDo]

Still 27 days to cover. I am expecting a decent covering from the last 2 weeks. Maybe 350k shares covered? WAG only. That would put us at about 11-12% of float (float is 10.9mil). At increased daily volume, that could bring the days to cover to around 18 days. That would relieve some of the short squeeze, but there is still a lot of upside here.

Two things at play right now.
1. Potential increased short - as the stock was very overbought recently - over the last few months even... shorters have a potential opportunity to bring the price down below the 8 day MA. That would relieve a lot of pressure. I am assuming the price will go down for a few days and hopefully bounce off the 8 dma, but if they can push it lower, the next support is around $6.43.
2. Continued short squeeze - We are sitting at well above $7.20. We broke through the last resistance before the 52 week high of $7.80. The bulls will likely fight for continued squeeze - though they may allow a bit of consolidation this week to strengthen the chart.

My opinion is that we will see $6.70-6.80 over the next week. Then the bulls will take over and ride this up to see a new 52 week high. At that point, the shorts will be encouraged to cover faster.