MarkS
10 posts
msg #104168
- Ignore MarkS |
1/2/2012 5:18:16 PM
Not sure if I even want to post this. It looks like everything has turned to personal attacks over the holidays.
SF doesn’t appear to have any way to do the necessary fundamentals screen to find potential candidates. I found part of an old article at SmartMoney.com that has a “Short Squeeze Screen Recipe” that looks good. It is as follows:
Short Squeeze Screen Recipe
One-month increase in short interest greater than 20%.
Short interest ratio greater than 10.
Institutional ownership between 5% and 60% of outstanding shares.
Current share price greater than $5.
Shares not American Depositary Receipts.
Trailing 12-month sales greater than $100 million.
Debt/capital ratio no higher than 0.5.
PEG ratio below 1.5.
I have run that a few different times through another screener and it usually only comes up with a couple candidates. Those can then be easily dropped into a SF Watch List.
If anyone has experience with short squeezes, what technical indicators would you then look for that could be screened with SF? Since short interest data is lagging by at least 2 weeks, it seems something good to look for is any recent volume increases, especially spikes. That just serves to eliminate candidates. Are there any good indicators for an imminent price spike?
So if we find a candidate and buy it, how would you then play it? Take an initial price spike and get out, or stay with it as long as momentum with volume support remains?
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miketranz
961 posts
msg #104179
- Ignore miketranz |
1/2/2012 10:00:10 PM
I'm going to answer this with some basic common market sense.A "short squeeze",most of the time,will occur as a gap open.It is almost impossible to know when it will happen,unless you have inside knowledge.My advice is to scan for stocks with very high short interest,especially ones making new lows,put them on a watch list,observe.The only way you can jump on board,is after the move has taken place.Either wait the first 30 mins off the open,let the stock "come in" or pull back,and buy in if the stock makes new highs.Or just buy the close if the stock trades higher than the open print.Use smart money management and take it from there.Where you exit is your decision.I like the theory behind it.You're catching short side traders on the wrong side of the trade.They are forced out by "paying up",which in turn drives price action up dramatically.Good luck.....
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shillllihs
6,044 posts
msg #104181
- Ignore shillllihs
modified |
1/3/2012 2:07:25 AM
You are better off not giving to much away out here, if you haven't noticed, 90% of the filters that people here spit out are worth a bag of feces and when you show them a good 1 they down it.
If too many learn your strategy it will be rendered useless.
Notice how the same people who cry that you are not sharing your filters refuse to post any really good ones when someone asks. They usually either stay mute, give some crappy filter or attack the person asking. For instance, go look at my thread requesting the best backtested filter over many years. Not 1 response.
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bkhurana43
103 posts
msg #104184
- Ignore bkhurana43 |
1/3/2012 8:30:51 AM
MarkS
Try www.finviz.com that may have the info you are looking for.
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