My final earnings short-squeeze play today is Ocean Power Technologies ( OPTT), which is set to release numbers on Friday before the market open. This company develops and is commercializing systems that generate electricity by harnessing the renewable energy of ocean waves. Wall Street analysts, on average, expect Ocean Power Technologies to report revenue of $2 million on a loss of 32 cents per share. This stock is off to a decent start so far in 2012, with shares up by around 20%. >>10 Stock Picks of the Highest-Rated Money Managers The current short interest as a percentage of the float for Ocean Power Technologies is decent at 6.4%. That means that out of the 9.78 million shares in the tradable float, 624,000 shares are sold short by the bears. Any bullish earnings news from OPTT could easily spark a solid short-covering rally post-earnings, since this stock has plenty of shorts and very small float. From a technical perspective, OPTT is currently trading above both its 50-day and 200-day moving averages, which is bullish. This stock has been uptrending strong for the last two months, with shares soaring from $2.30 to its recent high of $3.50 a share. During that large spike higher, shares of OPTT have mostly made higher lows and higher highs, which is bullish technical price action. That move has now pushed OPPT within range of triggering a major breakout trade post-earnings. If you're bullish on OPTT, then I would wait until after its report and look for long-biased trades if this stock manages to break out above some near-term overhead resistance at $3.50 a share with high volume. Look for volume on that move that registers near or above its three-month average action of 108,353 shares. If we get that breakout, then look for OPTT to re-test or possibly take out its next major overhead resistance level at $3.97 to $5.60 a share post-earnings. To see more potential earnings short squeeze plays, check out the Earnings Short Squeeze Plays portfolio on Stockpickr. -- Written by Roberto Pedone in Winderemere, Fla.