REACHME S&D BASHER - EPIC BIG SQUEEZE COMING!I ASK; how will the SHORTS get out of the prediciment of being able to cover when there are so many of them?? The next few weeks/months will be good for LONGS and bad for SHORTS. Paid Bashers will go from SHORT & DISTORTING to PUMP & DUMPING posts like Reachme a.k.a Leachee did this past week...check the history posts, these BASHERS are on the clock.
But when you short, your profit is limited, while your risk is unlimited! So back to that example. Let's say your timing was horrible. You shorted DAL when it was $20 and one week later it hit $35. At that point, you were losing $1500 on paper, assuming that you had shorted 100 shares (100 times $15 price increase per share). But what if DAL were to climb back to $50? Or what if a cure were suddenly announced for COVID-19 and airline stocks soared? Every dollar that DAL climbs, you lose $100. That's what's called a short squeeze, which is a very emotional trade to simply get the heck out of something that begins costing you a fortune on paper. Buying pressure mounts from both new investors and shorts that have no choice but to buy back their shares.
Shorting creates opportunities for longs because all stocks sold short must be bought back at some point. The stock has future guaranteed buyers, which is kinda cool when you own a stock that breaks out technically. The ensuing "short squeeze" forces those who are on the short side to scramble to buy those shares back and stop the bleeding. The combination of technical buyers and those covering shorts can send a stock surging higher!
https://stockcharts.com/articles/tradingplaces/2020/05/another-explosive-move-due-to-362.html
Short and distort practices tend to utilize social media, spam email, internet message boards, and fake news. To prevent being conned, investors should do their own due diligence and be critical of the authenticity of news from unverified sources.https://www.investopedia.com/terms/s/shortanddistort.asp