@Cris D, you are correct, the short seller has to borrow the...

@Cris D, you are correct, the short seller has to borrow the shares from a lender to short them. They pay the lender (say MFUG) a fee to do so. No shorting can take place unless there is a lender who owns the shares you want to short.

There could be numerous reasons you could want to see shares shorted. You may have a long term view and are happy to earn the additional fee in the short term. You may short a stock to take advantage of an obvious short term drop in share value. Negative events, slowing growth, troubling earnings reports and poor forecasts commonly cause a stock to lose value. You may short a stock to hedge against the risks of investing in another. You might invest in one stock you expect to grow and find another company in the same sector that is in worse condition to short.

Anyway, I am not saying MFUG are shorting or even lending to the shorters however the perfect timing was my observation.

The shorts are continuing to attack, on 6/1 there were 614,730 shorts or 20.8% for the day.



On 7/1 there were 1,098,913 shorts or 21.1% for the day.



And as you can see the high volume of ongoing shorting continues. Once they start to cover thee positions (buy back) than there will hopefully be an opportunity to buy in at value. GLTA.