Updated from 6:59 a.m. EDTBank stocks have been dropping substantially over the last year. In the last couple of weeks, they had a really big drop, especially money center banks, creating a short-squeeze opportunity. 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. With this in mind, here at Stockpickr we've compiled a portfolio of the top money center bank stock short-squeeze plays, including Scotiabank ( BNS - Get Report), TCF Financial ( TCF) and Toronto Dominion ( TD) To read the rest of the story, 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 atheme but also offer significant analysis as to why the stocks are cheap.Here are some examples: