1. SOUN's short interest at 24% indicates potential for a short squeeze. 2. Butterfly trade setup suggests limited risk with significant profit upside. 3. Resistance is around $7.80 while support is at $4.20.
FAQ
Why Bullish?
High short interest may lead to a rapid price increase if short sellers cover. Similar situations in other stocks often led to substantial gains due to short squeezes.
How important is it?
The article discusses strategies directly tied to SOUN's market behavior, indicating potential for trading gains.
Why Short Term?
Short interest dynamics can quickly impact price movements in the near term. Historically, stocks with high short interest have experienced volatility.