SHFS – Experimental Short Idea After Parabolic Move
SHFS went +123% in one day after announcing a $150M stock sale agreement with CREO Investments. At first glance, this sounds bullish – but remember, this is essentially dilution. The company can issue stock into the market as long as the price is above $1.
With a float of just 1.6M shares, but trading over 32M shares yesterday (that’s ~20x float rotation), this looks more like a blow-off top than a sustainable rally.
📊 Levels I’m Watching
Resistance / risk zone: $8.00
Target 1: $6.30
Target 2: $5.40
Extended target: $4.30 if dilution + selling pressure accelerates
📉 Trading Plan
I’m considering shorting pops into $7.50–8.00
Risk: tight stop above $8.20
Caution: This is an experimental idea – if your broker even allows shorting this kind of tiny float stock, use very small size. These names can squeeze violently.
⚠️ Not financial advice – just sharing my trade thesis and levels.
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