My "sense" is that if ERHE announces a partner Monday morning, then the shorts are going to be in one heck of a squeeze.
But you're right in that such surprises happen less often than most would like...in fact we probably haven't had a nice surprise like that since the JDZ drilling.
So if ERHE does not announce anything on Monday morning, will the shorts sort of wait for the price to taper down later in the day before covering or will they short even more in the morning since they may see the closing price yesterday as overbought?
If they short in the morning and buyers snap them up, what will the shorts do then?
If I were a buyer, I would suggest that the buyer wait (that is if ERHE has not announced anything that morning)...give the shorts some confidence to either short more or get the impression that they can cover at a reasonably lower price in the day...
...then blamo, hit them with all you got.
But please take the above as just a suggestion and not professional advice, because I have no way of predicting what the shorts will do.
Suffice it to say that if ERHE is following the strategy of waiting for short interest to rise before releasing any news as I hope they are, then the last few days of shorting activity may very well precipitate to news on Monday.
We shall see.
Krombacher
AI
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