One potential earnings short-squeeze candidate in the gold and silver complex is NovaGold Resources ( NG), which is set to release numbers on Thursday before the market open. This precious metals company is engaged in the exploration and development of mineral properties in North America. There are currently no Wall Street estimates available for NovaGold Resources. If you're looking for a heavily-shorted beaten-down stock heading into its earnings report, then make sure to take a hard look at shares of NovaGold Resources. This stock has been hammered by the sellers in 2012 with shares dropping by a whopping 30%. The current short interest as a percentage of the float for NovaGold is rather high at 10.8%. That means that out of the 187.35 million shares in the tradable float, 24.27 million shares are sold short by the bears. >>6 Hated Stocks to Stay Away From From a technical perspective, NG is currently below both its 50-day and 200-day moving averages, which is bearish. This stock has been stuck in a massive downtrend for the past six months, with shares sliding lower from over $9 a share to a recent low of $4.98 a share. During that sharp move lower, shares of NG have consistently made lower highs and lower lows, which is bearish technical action. That said, the stock has now formed a double bottom at $4.98 to $5.01 a share, and it's now pushing within range of triggering a near-term breakout trade. If you're bullish on NG, then I would wait until after its report and look for long-biased trades if this stock can manage to trigger a break out above some overhead resistance at $5.87 to $6.24 a share with high-volume. Look for volume on that move that hits near or above its three-month average action of 3,487,700 shares. If we get that action, then NG could possibly re-test and take out its next significant overhead resistance levels at $6.72 to $7.30 a share. Shares of NG could even take out its 200-day moving average of $7.75 if the bulls gain full control of this stock post-earnings. I would avoid NG or look for short-biased trades if after earnings it fails to trigger that breakout, and then drops below some major near-term support at $5.50 a share with high-volume. If we get that move, then NG will likely re-test and possibly take out that double bottom support zone at $5.01 to 4.98 a share post-earnings.