Cartel Blue Inc (CRTL)

[vantillian]

If the float were in truly tight hands (investors like me, for example) and MMs needed to cover... we would go UP until the MMs got the shares back they needed. The price would go up in an effort to lure investors to SELL shares.

Now add to the mix OTHER INVESTORS that want to buy more shares when there is already a massive short position on the stock. That increases the demand for shares. ESPECIALLY IF THESE INVESTORS WERE INTENT ON BUYING BECAUSE OF A STELLAR PR OR TWO...*hint, hint* Peter and Steve.

Now you've got a real competition. There is huge demand created when both MMs and other investors are willing to pay top dollar for YOUR shares. SUPPLY and DEMAND. There is little SUPPLY and monstrous DEMAND. Depravation creates VALUE!

The question then becomes, what's your price? How high are you gonna make them go to pry your fingers away from your shares?

This is what happens in a short squeeze.