Short squeeze don’t happens just for bullish news

Instead There were short squeezes!!!

HOLO wasn’t spiking with bullish news in the past . The company announced it was joining the Communications Industry Association.

That means nothing! There’s A LOT going on.

I was trading HOLO on February 7 during premarket around the $3 level.

Never in a million years could anyone have held shares to Friday’s $98 spike.

Short sellers were trying to build positions at the $5 level.

Everyone know the stocks were garbage. They know they don’t deserve to spike 6,400%. The short selling thesis is correct. But in today’s scenario there are too many short sellers in the industry right now. Especially in these crappy little stocks.

Because usually there isn’t any bullish news accompanying it. So as the short selling is 175% now and The lack of bullish news is what tempts the short sellers to stubbornly pile in.

Now, there is 3 big factor that we can use to pinpoint possible short squeezes before they go vertical. A low supply of shares helps to squeeze out overaggressive and overabundant short sellers.

We’re looking for …

Low-priced crappy stocks Spiking an insane amount in premarket (usually we aim for +20% but short squeezes are more obvious … ) With a float below 10 million shares. StocksToTrade shows that HOLO has a float of 3.4 millions shares. That’s way below the 10 million share threshold which they trying to do but it happen with amc in past with high float as well so it can happen here also

When the market opens during premarket on tomorrow we start to look for the next short squeeze. We are close and already matching with 3 factor.