Jun. 29 at 11:33 AM
$LCID when this closed on Friday there wee 0 shares to short.
In premarket that went up to 2 million. Indicator increasing supply (which primarily comes from the company through a proxy
$BAC)
This is significant because tbe shares possessed by
$BAC act as a shock absorber and price control mechanism that is cyclical. Normally if a company wants price to drop they print shares.
Lucid if different. It printed 35 million and sold them for 8$ a couple months ago to Bank of America
They can short, lend and sell calls on the shares walking it down easily after terrible guidance but they can also eliminate lendable shares, stop shorting, and price will rise.
Their financial engine is sell calls and borrow out shares at a rate high enough to sink price to where calls expire.
However there is bottom, and at some point then will reverse this, that will require 0 shares available.
$BAC Will eliminate all lending. Price will jettison.
See pics of last 24 hours share availability on IBKR
