Whether you’re looking for penny stocks to invest in or day-to-day trading, you can’t ignore the massive swings these small-caps experience. We have seen no shortage of uncertainty in the stock market today. Russia/Ukraine fears, virus concerns and, of course, inflation have led to significant volatility in share prices across many industries. but when you’re talking Piggy BankThis is more than a day-to-day trend.
Even when the stock market is down, you are likely to see a handful of stocks making new highs for the week. One of the latest trends we see emerging involves short squeeze stocks.
thanks for the great trick from AMC Entertainment (NYSE: AMC, And Gamestop (NYSE: GME, At the start of the pandemic, retailers look for more low-interest stocks. We’ll discuss the makeup of a small squeak and why it can be important later in this article. we are also looking penny stocks with high short interest,
Bit Digital Inc. (NASDAQ: BTBT)
first name on it list of penny stocks The market is no stranger to volatility. This year, the huge jump and fall in the price of the cryptocurrency has prompted wild market sentiment. The bitcoin price has hit record highs in the past four months and is at its lowest level in months. As for Bit Digital, it has a direct relationship with the digital currency.
The company specializes in digital mining. Its recent foray into environmental impact initiatives has put it in a different light and has linked the company to government platforms. Specifically, Bit Digital intends to provide written evidence on a proactive approach to digital mining.
In a January update, CEO Brian Bullett expanded on the plan, “Our company has made it a point to take a leadership position with regard to sustainable practices in the crypto mining industry … it’s what we do and what we do. Who is at the core of BitBecause Digital understands that to be successful, our operations must provide innovation and economic opportunities for all members of society – while doing so in a sustainable and environmentally friendly way.”
Is BTBT a Short Squeeze Penny Stock?
Just as the bitcoin price fluctuates, so does the BTBT stock. The recent decline may also have brought some additional pressure from short-sellers. According to the most recent data from Fintel.IO, the current short float percentage on BTBT stock is 17.97%.
Excella Technologies (NASDAQ:XELA)
At the beginning of the quarter, the interest of retail traders increased in the stock of Excella Technologies. The stock gained momentum in early February, testing a high of $0.95. One of the catalysts adding to the excitement was the news of a 100 million share buyback. The company announced that shareholders can exchange 25 shares of common stock into a tradable $25 note due 2029 with a 6% annual interest rate. This represents and still represents a premium to the current retail price. With the closing date of 24 February, the market saw this as a bullish signal as XELA stock gained momentum.
Furthermore, with higher virus rates, its business process platform has again come into focus. Notably, Excella’s intelligent document processing platform is being leveraged by virtual work and gig economy customers. Earlier this month, Excella announced that the work-from-anywhere platform had enrolled more than 6,000 users, with plans to reach more than 25,000 by the end of the year.
Is XELA a Short Squeeze Penny Stock?
In light of the buyback news and recent customer milestones, it appears that XELA stock is in focus and for more than just fundamental growth. If we look at the data from Fintel, we see that the current short float percentage is around 8.1%. Although this is not a significant figure compared to others on list of penny stocksFintel also shows substantial growth from lower float percentage as compared to 1 month ago.
22nd Century Group (NASDAQ:XXII)
Much of February was strong for 22nd Century stock as shares jumped from January’s selloff. Last Friday, however, XXII dropped barely a day after reporting big news for one of its forms. 22nd Century said it has achieved USDA organic certification for its Needle Rock Farm. Accordingly, the company clarified that the certification would allow it to charge a premium price and increase margins for its biomass crops.
Despite the decline, it looks like XXII stock is back at the start of the week. Shares have already jumped more than 6%. One of the events coming on the radar right now is the next round of 22nd century earnings. It will report full-year results for Q4 and 2021 early next month. so if it’s one of your names list of penny stocks Right now, keep March 1 in mind.
Is XXII a Short Squeeze Penny Stock?
According to data from Fintel, the short float percentage in the 22nd century is around 9%. Like the XELA, it’s not the largest in the group. However, it is slightly higher than the percentage a month ago.
Vinco Ventures (NASDAQ:BBIG)
Vinco Ventures remains a hot topic among retail traders. With a pending crypto spin-off and the continued roll-out of its digital entertainment and media platform, Lomotif, recently, there has been no shortage of things to follow. Last week, Vinko announced that through their joint venture, ZVV Media Partners, Lomotif’s LoMoTV has teamed up with Shaquille O’Neill to produce their Big Game Weekend Parry “Suspect’s Fun House.”
The news comes just weeks after Vinko gained a bit of notoriety for its potential Cryptide Inc. spin-off. The blockchain technology company entered into an agreement to raise $42 million to get things done. Cryptide, Inc. Brian McFadden, President and CEO of the company, explained, “We are focused on executing on our vision of becoming a leader in the Blockchain and Web3 space. We are actively pursuing growth opportunities and partnering with partners. We look forward to collaborating with those who can enhance our future offerings while striving to develop a world class organization for our stakeholders.
Is BBIG a Short Squeeze Penny Stock?
There has also been a lot of interest with this news. What’s more, those looking for penny stocks with high short interest has also turned its attention to BBIG stock. According to data from Fintel, the current short float percentage is around 31.3%.
Short and Short Squeeze Basics
Why do traders see “short squeezes”? When someone shorts a stock, they bet that it will fall. To take advantage of this expected drop, a trader will short the stock by borrowing shares from a broker, selling the shares, then repurchasing the shares at a lower price when the stock falls. The money is made from the ability to repurchase borrowed shares for less than they sold.
But if a stock increases in price instead of decreasing, the short seller will still have to repurchase the shares. In this case, they would take a loss, and their buying activity would increase the already bullish environment, thus potentially increasing market momentum. This is where you see small squeeze triggers, and volatile breakouts can occur.
Remember that just because a stock has less interest does not warrant a squeeze. In fact, it could be a harbinger of a much bigger step down. In any case, the first step in finding a short squeeze stock is identifying the metrics and the short float percentage is one of them.
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