EarningsBeats.com Digest for April 6, 2022
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Short Squeeze ChartList
At EarningsBeats, we develop a number of ChartLists to make it easier for our members to find high reward-to-risk candidates. The Short Squeeze ChartList currently contains 39 companies that have a short percentage of float above 20%. That means that many traders are betting against the company; some, for very good reason. We shouldn't view this list as a bullish list, quite the contrary. However, when companies on this list
break out above key resistance levels, a short squeeze can ensue triggering a fast rise on unusually heavy volume. That's the purpose of this list - to attempt to catch short squeezes.
If you are a StockCharts member, you can save this ChartList directly into your account. First, log-in to your StockCharts account in a separate tab within this browser. Then, click the button below and enter the password (SSCL4317). You'll have the choice to add a "new list"; then, check the "Include ChartStyles" box if not already selected as the default.
Wake Me Up Before You GOGO
On Monday, I featured a potential short squeeze stock to watch - SmileDirectClub (SDC). That one's got some work to do before triggering a squeeze, but today's chart might represent a squeeze that's already in play. GOGO, Inc. (GOGO) currently has a short % of float of 38.18%, which ranks 4th highest among the 39 stocks on our Short Squeeze
ChartList (SSCL). Since reporting stellar quarterly earnings results in early March, GOGO has been rolling to the upside, hitting 19.98 at Tuesday's high, prior to selling a bit into the close. Check out the chart:
After Tuesday's close, it was announced that GOGO would be added to the S&P 600 Small Cap Index ($SML). Wednesday's opening bell will be very interesting. GOGO closed the after hours session on Tuesday at 21.46, up 11.83% from Tuesday's close. GOGO has not traded at that level since June 2015. That means that every short seller will have to make a decision at tomorrow's opening bell after asking the following question: "Do I
cover (buy)?" If many of them answer that question with a yes, then it could be a very interesting day indeed.
As a special gift to all of our loyal EB Digest subscribers, you can view/download our entire Short Squeeze ChartList (SSCL) above. When prompted for a password, be sure to enter SSCL4317. For StockCharts.com Extra or Pro members, you can then save the ChartList into your StockCharts.com account. The "short % of float" is included in the name of each chart for easy reference. Enjoy!
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Tom Bowley
Chief Market Strategist
EarningsBeats.com
Better Timing. Better Trades.
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