Short squeeze setup

Bullish

Heavy short interest + the stock is rising + options flow is bullish. Short sellers are getting squeezed.

PRIMARY SOURCE

Asquith-Pathak-Ritter 2005

D'Avolio 2002

TYPICAL HORIZON

30-60 days

FACTORS USED

short_interestmomentumoptions

What it means

A lot of money is bet on this stock going down, but price is moving up and the options market is positioned bullishly. Short sellers borrowed shares to sell them, and now have to buy back at higher prices — their buying pushes the price higher still, triggering more forced covers.

Why it works

Forced buying is mechanical, not discretionary. When stock loans get recalled or margin requirements rise, shorts must cover regardless of fundamentals. Asquith-Pathak-Ritter 2005 document that the top-decile-shorted cohort in an uptrend earns material excess return over 30-60 days.

Watch out

Squeezes can be violent both ways. If the thesis behind the shorts is actually correct (fraud, deteriorating fundamentals), the squeeze gets covered over a few weeks then the stock resumes falling. Confirm the move has support beyond short-covering — check earnings, insider activity, options IV.

Live matches

50 tickers firing right now

TickerCompanySectorChangeScore

LYFTLyft Inc.Technology+3.64%94[48–95]FOURShift4 PaymentsTechnology+4.37%89[43–95]WIXWix.com Ltd.Technology+0.96%89[43–95]SRPTSarepta TherapeuticsHealthcare+5.93%89[43–95]EATBrinker InternationalConsumer Cyclical+3.28%88[42–95]WDAYWorkday Inc.Technology+3.94%88[42–95]KMBKimberly-ClarkConsumer+2.94%87[41–95]PSKYParamount SkydanceCommunication Services+2.16%87[41–95]FDSFactSet ResearchFinancial Services+1.85%86[40–95]TROWT. Rowe Price GroupFinancial Services+2.10%85[39–95]LYVLive Nation EntertainmentCommunication Services+1.42%85[39–95]CVNACarvana Co.Consumer Cyclical+1.08%84[38–95]ZSZscaler Inc.Technology+0.60%81[35–95]KVYOKlaviyoTechnology+3.30%81[35–95]TEAMAtlassian CorporationTechnology+0.81%80[34–95]MRNAModerna Inc.Healthcare+10.01%80[34–95]IONSIonis PharmaceuticalsHealthcare+3.30%80[34–95]MSTRMicroStrategyTechnology+7.90%79[33–95]DVADaVita Inc.Healthcare+3.02%79[33–95]PATHUiPath Inc.Technology+1.39%78[32–95]NVCRNovoCure LimitedHealthcare+9.00%77[31–95]CARGCarGurus Inc.Technology+3.13%75[29–95]ILMNIllumina Inc.Healthcare+2.60%75[29–95]FUBOfuboTV Inc.Communication Services+1.19%75[29–95]ZGZillow GroupTechnology+2.36%75[29–95]SAROStandardAeroIndustrials+0.37%73[27–95]MNDYMonday.com Ltd.Technology+4.60%73[27–95]QLYSQualys Inc.Technology+3.26%72[26–95]BRZEBraze Inc.Technology+3.84%72[26–95]CELHCelsius HoldingsConsumer Defensive+4.05%72[26–95]CARTMaplebear Inc.Technology+2.12%72[26–95]CTSHCognizant TechnologyTechnology+2.24%71[25–95]IOTSamsara Inc.Technology+5.12%71[25–95]CRSPCRISPR TherapeuticsHealthcare+8.02%71[25–95]GOLDBarrick GoldMaterials+3.43%71[25–95]RPDRapid7 Inc.Technology+3.57%70[24–95]BSYBentley SystemsTechnology+3.13%70[24–95]GTLBGitLab Inc.Technology+1.71%69[23–95]RYANRyan SpecialtyFinancial Services+5.00%69[23–95]PCORProcore TechnologiesTechnology+4.34%68[22–95]ROKURoku Inc.Technology+1.37%67[21–95]CHWYChewy Inc.Consumer Cyclical+1.21%67[21–95]CRMSalesforce Inc.Technology+1.76%67[21–95]BBYBest Buy Co.Consumer Cyclical+0.98%66[20–95]GENGen Digital Inc.Technology+2.14%66[20–95]SNAPSnap Inc.Communication+1.89%66[20–95]LULULululemon AthleticaConsumer+1.74%65[19–95]WKWorkiva Inc.Technology+2.24%65[19–95]GPNGlobal PaymentsTechnology+4.77%65[19–95]PAYXPaychex Inc.Technology+3.54%64[18–95]

Disclaimer. Pattern matches are research signals, not investment advice. Past performance of an academic effect does not guarantee future returns. Forward-return tracking for Framler's own implementation begins 2026-05-16 after the calibration window closes.