Short Squeeze Screener
Stocks with highest short interest is a list of the most shorted stocks trading on the NASDAQ, NYSE, and AMEX. The stocks or companies with high short interest are very volatile. Many traders go long with these highly shorted stocks hoping for a short squeeze. The short squeeze screener finds a list of stocks with short squeeze potential for day traders and swing traders.
Most Shorted Stocks
The most shorted stocks list is sorted by the percentage gain of the day showing you the latest price action.
To get intraday penny stocks update (every 5-10 minutes), please signup for a free account.
What is shorting?
Short selling is the opposite of buying. When a trader buys a stock, he makes a profit when the stock rises. When a trader shorts a stock, he bets the stock would go down, and he makes money when the stock drop.
When a trader establishes a short position, he borrows the shares from his broker.
What is short interest in stocks?
Short interest in stocks is the number of shares that have been sold short by traders and these positions have not been covered or closed out. When a stock has a high short interest, it means a lot of traders are betting the stock will go down from its current price.
Sometimes, when a stock goes up too fast in a very short period of time, it attracts a large amount of short interest. A stock with a high short interest means investors are pessimistic about the company and think that the current stock price is overvalued.
What is a short squeeze?
A short squeeze occurs when stocks jump abruptly higher and force traders who are shorting the stock to cover their short positions when these short traders have to buy the stock to cover their positions, which in term drives the stock prices even higher.
Tesla was a highly shorted stock in 2020. When its stock price rose tenfold, short traders got crushed because of short squeezes.
GME, EXPR, KOSS were some of the wild stocks that had gone up recently partly because of a short squeeze. GameStop was a highly shorted stock by many hedge funds. Some retail traders on WallStreetBets or WSB, which is a subreddit on the Reddit forum, try to take on these hedge funds by taking opposite positions.
In other words, retail traders were buying GME in waves, and that caused spikes in its stock price and short squeezes from hedge funds that need to cover their short positions.
How to Short Stocks