Short Squeeze Takes Hold

Please click here for a chart of Nasdaq 100 ETF (QQQ).

Note the following:

  • In the Morning Capsule we wrote:

    …it is Friday and short squeezes are common on Fridays. If a short squeeze occurs, there is potential for a rally.

  • A short squeeze has taken hold.
  • Our review of a large number of stocks shows that the short squeeze is particularly viscous in select momo stocks.
  • The VUD indicator is the most sensitive measure of net supply demand in real time.  Orange indicates net supply and green indicates net demand.