Short Interest
The total number of shares currently sold short and not yet covered — a measure of bearish sentiment on a stock.
Explained Simply
Short interest is reported bimonthly and expressed as a percentage of the float (shares available for trading). High short interest (>20% of float) means many traders are betting against the stock. This creates potential for a "short squeeze" — if the stock rises, short sellers are forced to buy to cover their losses, pushing the price even higher. Days to cover (short interest / average daily volume) measures how many days it would take all shorts to buy back their shares.
How Tradewink Uses Short Interest
Short interest is tracked as part of the AI's multi-factor analysis. Stocks with high short interest (>15% of float) and improving technicals are flagged as potential short squeeze candidates. The AI also monitors changes in short interest — a declining short interest combined with rising price confirms bullish momentum. Short squeeze alerts are generated when short interest exceeds 25% and buying pressure intensifies.
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See Short Interest in action
Tradewink uses short interest as part of its AI trading signal pipeline. Start getting signals that use this concept to find real opportunities.