We’re getting into Squeeze Season.
The stock market (as measured by the indexes) continues to trek higher, speculative fervor keeps building (as measured by what’s happening in crypto), and these forces are combining to make it a dangerous environment to be caught short in.
And if you’re short a name that already has a high short interest? Look out!
So naturally, today’s trade is a play on punishing the stubborn shorts in a particular stock that look like they are on the verge of getting epically squeezed.
In today’s Flow Show on Stock Market TV, me and Strazza get into why we love buying short-dated calls in Carvana $CVNA:
And here’s the chart that we are leaning into:
Here’s the Play: [Read more…]