In today’s video we’re going to talk about short squeezes and the top 5 stocks with the highest open interest that are not only susceptible to being squeezed, but also could end up being the next GameStop short squeeze.
Short squeezes tend to occur when a stock goes down… down some more… and down some more before bottoming out and generally trading in a specific range for some time.
When a short squeeze happens, short sellers are forced to exit their positions by buying the shares back. Momentum buyers — and/or a band of Reddit traders, like with GameStop — also enter the fray, and this can cause the squeeze — sending a stock parabolic, or straight up.
Now that we know there’s short interest and which stocks have the most upside potential as a result of a short squeeze, let’s take a look at which stocks could be the next GameStop short squeeze.
Ontrak Inc. (Nasdaq: OTRK), a leading AI and technology healthcare company, looks like it could be the next GameStop short squeeze.
The stock’s trading below its 200-day moving average. And if you look at its price level, it’s already near its long-term low.
So while Ontrak could begin to trade around $17 per share, I wouldn’t hold my breath. A quick side note for those of you wondering, Ontrak was trading around $30 as I wrote this.
I don’t think short sellers, people betting on a decline in a stock’s price, are looking for this stock to start upticking. That usually happens once a stock hits its long-term support level, and Ontrak looks like it’s close to it.
But Ontrak isn’t the only one. There are four more stocks that have the potential to be the next GameStop short squeeze.
So check out my short video below to learn more about these five companies and why they could become the next GameStop short squeeze.
And as always, don’t forget to subscribe to my YouTube channel if you haven’t already so you can be notified as soon as I post my next video!
P.S. I know everyone has heard all about GameStop and its sudden, meteoric rise and 4,200% returns amid a massive short squeeze.
But what most people probably haven’t heard is that it’s not the only stock getting squeezed!
Wall Street doesn’t want everyday traders to know about these massive moves because the big firms lose money whenever short squeezes happen.
Mastermind trader and Forbes contributor Adam Sarhan is pulling the curtain back to reveal how anyone can take advantage of these trades — every single week!