To The Moon

In my experience the borrow rate of $Gamida Cell Ltd.(GMDA)$ soars after an unusually high volume day. What I think happens is brokers allow more shares to be sold short than they can find, A supply vs. demand problem. they have to raise the borrow rate to try and increase supply and also reduce demand. This sorts itself out in a pump and dump rather quickly. But every now and then the news attracts investors and traders. Traders sell and take profits. Investors buy and hold. I am currently playing 2 of these types of stock plays. LUCY and SATX. I am a lousy trader but that portfolio is up 90% YTD. This appears to be a similar play. So my plan is take a very small position and then wait out the shorts. Sooner or later they cave if its a legitimate company. One that doesn't let shorts off the hook with a low ball secondary offering. The daily volume will drop to almost zero. All sales are at the ask but price doesn't rise. Or it moves in pre and aftermarket as they try to cover quietly.

The difference between this stock and my current ones are borrow fee is only 157% and millions of shares are available to borrow. My two current plays charge 400%-800% which helps my account over the weekends and no shares are showing to be able to borrow. Allows for multiple days of squeezing as they cant afford to pay that high of fee for long but you need investors not traders to pull this off. Will buy a few hundred shares and watch.