The longing of the shorts

Citi surveyed Christmas retail and concluded MYR and JB HiFi were the standout performers.

The detail is hazy, though.  The article says, "Myer could come in 3.8 per cent ahead of Citi's expectations..."  Those expectations may have been very low indeed.

http://www.copyright link/business/...as-according-to-citi-analysts-20170105-gtmfwo

Welcome news for MYR holders and poison for short sellers.   

Despite MYR being the most shorted stock on the ASX at over 16%, the hammer blows of selling have been topped by an army of retirees who can smell a fully-franked dividend from a mile away. The SP is up over 30% since Nov 17. The rise is NOT due to shorts closing out - that price pressure is still to come.

MYR half year comes out around 17 March and will be a very interesting read.  Expect a flood of activity between now and then as the shorts reposition themselves - remember, they have a time/cost meter ticking away in the background and capitulation now will likely be cheaper than forced close-out later.

I anticipate an elevator ride.  Hold tight and get ready to deny the shorts your stock - they will be obliged to make eye-watering offers for it. You don't want to miss this one.

Ash