There is a lot less short interest this time so don't expect this to last as long as the last frenzy.
1) WallStreetBets is back at it with Gamestop. Keep in mind they are a self-described very high risk community.
2) It will be very hard to enter and keep a position if you are not used to holding a very volatile stock.
3) There is an increase risk of loss. Stops need to be loose to stay in the trade so control position size to reduce possible loss.
4) If you tried to enter in the previous frenzy and lost money, now is a good opportunity to recoup some of the losses.
1) WallStreetBets is back at it with Gamestop. Keep in mind they are a self-described very high risk community.
2) It will be very hard to enter and keep a position if you are not used to holding a very volatile stock.
3) There is an increase risk of loss. Stops need to be loose to stay in the trade so control position size to reduce possible loss.
4) If you tried to enter in the previous frenzy and lost money, now is a good opportunity to recoup some of the losses.
1) Short interest may actually be high depending on perspective. I use MarketSmith which shows Short Interest of Daily Volume. In other words, how many days of average volume it take to clear the shorts. That was at 0.6. So shorts could be cleared within a single session.
2) I'm not suggesting that people who lost money the last time to go back into this stock to recoup. I meant to say that if you were holding with paper losses, then now is a chance to recoup some of that loss by selling.
Finally, I regretted not drawing the WSB guy on a chart last time. I love the character and wanted to take the chance now to make him chart art. :)