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June 4, 2019 | Almost a Heckuva a Short Squeeze

Rick Ackerman

Rick Ackerman is the editor of Rick’s Picks, an online service geared to traders of stocks, options, index futures and commodities. His detailed trading strategies have appeared since the early 1990s in Black Box Forecasts, a newsletter he founded that originally was geared to professional option traders. Barron’s once labeled him an “intrepid trader” in a headline that alluded to his key role in solving a notorious pill-tampering case. He received a $200,000 reward when a conviction resulted, and the story was retold on TV’s FBI: The Untold Story. His professional background includes 12 years as a market maker in the pits of the Pacific Coast Exchange, three as an investigator with renowned San Francisco private eye Hal Lipset, seven as a reporter and newspaper editor, three as a columnist for the Sunday San Francisco Examiner, and two decades as a contributor to publications ranging from Barron’s to The Antiquarian Bookman to Fleet Street Letter and Utne Reader.

Every dog has its day, and Tuesday’s vicious short squeeze was a pooch-lover’s delight. DaBoyz even managed to goose Tesla for a 9% gain. Although that won’t be nearly enough to reverse the death spiral in the automaker’s shares, it will suffice to spook traders who have been shorting the stock with impunity for the last couple of months. Scandal-plagued Boeing was a relatively modest gainer among the institutionally rigged stocks, tacking on 1.67%. But Netflix, a global powerhouse in TV, was up nearly 6%, while would-be competitor AAPL rose 4.11% for its best one-day gain in more than a month. Lyft and Uber, two dead ducks, went their separate ways, with the former shedding 0.66%, the latter gaining 3.15%. Go figure! To borrow a line from the late Sen. Everett Dirksen, a few points here, a few points there, and pretty soon you’re talking about a real rally. This is not one yet, not by a longshot, but if the vise grip on shorts’ cahones gets any tighter, it could be one heckuva short squeeze by week’s end.

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June 4th, 2019

Posted In: Rick's Picks

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