Jul. 15 at 11:16 PM
$JEM
It’s crazy to me that shorts are paying borrow fees this high.
I’d understand it if this thing had already gone parabolic and there was a clear downside gap to fill. That’s not the setup I’m looking at.
This is a fresh RS Hong Kong ticker with a float of around 600K shares.
If you’ve traded Hong Kong low-float names before, you know they can make extremely volatile moves once momentum kicks in.
Look at examples like
$DSY, or more recently
$VEEE. I got into
$VEEE in the high
$5S, watched it drop into the low
$4S, sold around
$10, and it eventually traded as high as
$51.
Does that mean
$JEM will do the same? No. Every trade is different.
What has my attention is the combination of high borrow costs, a low float, and the potential for momentum if buyers step in. That’s why I’m watching it closely.
