The Most Shorted Stocks Currently In The Market – April 11

The stocks below have a very high short interest – over 20% of their float is short. They are close to their 52-week highs and have built a small base, which might turn into a launching pad for higher prices. Short sellers always sound smart, but they are often early and become victims to a short-squeeze – a process that rapidly rising prices that forces short-sellers to cover their bets, which adds more fuel to the upside momentum.

The Most Shorted Stocks Currently In the Market Might Be Ready To Break Out

59 stocks priced above $5 currently have over 30% of their float short. Four of them are setting up for a potential breakout.

A breakout in highly shorted names often leads to a squeeze as short sellers are forced to cover their positions. It is not unusual to see a 20-30%, even 50% one-week move in a highly shorted name, especially when its float is relatively small (under 25 million shares).

Here’s a weekly and a daily perspective of the four stocks.