Updated from 10:13 a.m. EDT
Many investors and traders believe that the stock market has hit bottom. If that is true, there are some interesting short-squeeze plays available on heavily shorted stocks.
A short squeeze takes place when a stock's short-sellers cover their positions quickly when good news boosts the price of the stock. This short-covering often drives the stock price even higher. The metric for measuring short-squeeze plays is the short ratio, which represents the number of days it would take a stock's short-sellers to cover their positions based on the stock's recent average daily volume.
Stockpickr has come up with a list of heavily shorted stocks that trade on the
New York Stock Exchange
and compiled the
NYSE Short-Squeeze Plays for August
portfolio, which includes such names as
For the rest of the story, and to see which NYSE-traded stocks could spike, please click here.
A note from James Altucher:
Every weekend I send an email to Jim Cramer and several hedge fund managers about the most interesting portfolios posted on Stockpickr that week. Usually those portfolios not only list stocks according to a theme but also offer significant analysis as to why the stocks are cheap.
Here are some examples:
Here's the challenge: Build a portfolio at Stockpickr.com with great analysis, and send me the link. Each great portfolio (with analysis) will get posted on TheStreet.com
with your byline (as a "Stockpickr Guest Columnist") and will be included in my email I send to Jim and the other hedge fund managers on my list.