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Friday, February 01, 2013 12:03:13 PM
I agree that clearly short squeezes do not occur every time a catalyst hits (obviously), even if it is a major catalyst. No one knows except the market, and even the market itself won't know until the catalyst hits and decides not only "how" it wants to react to it but just as importantly "when" it wants to react to it.
I don't think that xlt is trying to say that a squeeze on the scale of Porsche/VW is what he is expecting, but it sure does seem like the basic conditions that are typically necessary for a squeeze (or at least consistent with being present when squeezes occur) are here with VRNG.
That being said, I am curious as to your closing statement though. Do you say that more in a way to simply say "There's no guarantee a short squeeze will happen; it may or it may not, so it may not be wise to count on it" or are you saying that you really do NOT believe that there will be a short squeeze when VRNG's catalyst hits?
If it is the latter, would you mind elaborating as to why you believe this is the case?
tia
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