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Strategies & Market Trends : Classic TA Workplace

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To: bcrafty who wrote (69970)3/29/2003 5:27:16 PM
From: Shack  Read Replies (2) of 209892
 
I agree bcrafty, the short interest is not influencing my decision nearly as much as the chart pattern. But it undeniably gives more fuel for a squeeze and helps to put a bid under the stock. I think its more than coincidence that some of the biggest moves in the last couple of years have been the heavily shorted AMZN and EBAY.

I remember when I was trading a couple of years ago there were a pile on SI trying to short NVDA (including me). It just would not go down even though the rest of the market was tanking and the FA was in freefall. I remember checking the short interest and it was something like 40%!! Ever since then I am much more aware of how many bears are ganging up on a stock.
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