shorters in trouble, trying to cover very fast

I believe the shorters of Lynas are in big trouble in these days. Here are the data and the charts show that they are trying to cover their shorts very fast. They especially covered nearly %6 of their shorts after 15th of Nov. They have been successful to push the price down during that time.

However I don’t think there is no room to short it as Lynas now has the ability to start the operations in LAMP. So, they have to cover their entire shorts in next few days or weeks IMO.

I have made some analysis and saw that the large buy order after the closing on Friday were not only for re-balancing they were covering their shorts.

I checked the buy orders on 23rd of Dec. 2011 last years but I couldn't see the same large re-balancing orders.

I think this stock is due for a big swing upwards. Also the negative divergence on weekly chart is showing that it is also under accumulation (Divergences can signal a coming change in trend or give indication that a change is in progress in the basic supply and demand of a security.Negative Divergence by Trade)

I think you all know Lynas is the 15th most shorted stock in ASX. But It has come to an end now. So we will see more fast short covering in these days.

Here is the link of ASIC web site where you can find Short Position Reports.

I have made the chart below by transferring the data to Excel from the ASIC web site. You can see how the shorters were covering their shorts in last 30 days. But there are questions! See them on the chart below.

And this was what happened (Trades) on last Friday. We saw huge buy orders about 10m shares at 60c), which I believe it was for short covering, executed after the closing.

However 10m shares are not enough to cover 150m shorts (shown on 17th of Dec.) I believe they will try to cover their shorts in next days.