From the Razor Trading Desk (Sunday January 31st, 2021)
We have seen many unprecedented moves in the stock market this week. Volume has been ramping up not only this week but it has been increasing at warp speed since the Covid-19 Pandemic struck our Nation. To give you an idea of the magnitude of the increased volume, there was 7 billion shares of stock traded in 2018, 10 billion shares traded in 2019 and 14 billion shares traded in 2020. That’s a 100% increase in volume in 24 short months. The reason for these massive increases have to do with the below:
- Pandemic: More Time Spent At Home
- Easy Trading On Mobile Apps – Robinhood
- Stimulus Checks X2
- -0- Commission Trading
There have been ongoing BZ Wires indicating the top 10 short squeeze candidates. For the purpose of this post, I will only be focusing on 2 of the 10 candidates that have a lower price range (under $3.00) and that have a lower float (under 100 million). In addition, these stocks have short squeeze criteria of high short interest, high short growth and lower float. Data was taken from Trade Ideas scanner and while deemed to be accurate, it is not guaranteed.
- Senseonics Holdings Inc. (SENS) – Closing Price $2.37; Short Float 34%; Short Growth 61.81%
SENS Recent NEWS: Senseonics Receives Intention To Grant European Patent For EP Application Titled ‘DIGITAL ASIC SENSOR PLATFORM’
Insider Investors: Yes
Closing Price $2.37; Float 94.90M; Market Cap 677M.
- Naked Brand Group LTD (NAKD) – Closing Price $1.65; Short Float 33%; Short Growth 200.23%
NAKD NEWS: N/A
Insider Investors: N/A
Closing Price $1.65; Float 95.61M; Market Cap 158M.
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Although these two stocks do not have the 100% plus short float of Game Stop, they have been recognized as a few of the tops % short floats with a low price range which gives them plenty of room to run.
I am pretty certain that SENS and NAKD don’t have the monster potential of GME but there may be the potential for a nice 10X +. Due to the tremendous volatility and short squeezes this past week, time will tell if shorts start getting nervous and begin to cover.
