Is there really a short squeeze for GME?
Curious to get people's opinions here, because I think WSB is more or less a groupthink orgy. They seem to think a short squeeze is yet to happen, but:
1. They cite S3 Partners and Ortex data as metrics for SI, but these tend to differ dramatically. As of Thursday, Ortex reported 39M short interest - way lower than what S3 reported - and a huge drop from the day before. Even comparing S3 reported SI on January 15 to the actual NYSE reported SI shows that S3 was off by over 10M. But I don't see this being talked about anywhere on WSB
2. I don't think a lot of people there realize that traders delta hedge continuously to cover ITM calls. The majority of the posts on WSB expected a windfall yesterday and the price to spike because every call was ITM, but that didn't happen.
3. There needs to be a trigger to catalyze the short squeeze. The gamma squeeze could have been that, but wasn't due to trading limitations. There aren't many more opportunities for gamma squeezes because the potential ITM call volumes expiring next Friday and the following are way lower than what they were yesterday. Sure, maybe people restricted from RH who move to other brokerages could increase demand, but I doubt that will be enough.
What do you guys think?
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