{"id":4597,"date":"2009-08-13T14:30:41","date_gmt":"2009-08-13T18:30:41","guid":{"rendered":"http:\/\/www.thedisciplinedinvestor.com\/blog\/?p=4597"},"modified":"2016-09-20T04:55:28","modified_gmt":"2016-09-20T08:55:28","slug":"short-interest-ratio-drops","status":"publish","type":"post","link":"https:\/\/thedisciplinedinvestor.com\/blog\/2009\/08\/13\/short-interest-ratio-drops\/","title":{"rendered":"Short Interest Ratio Drops"},"content":{"rendered":"<p>Short interest on the S&amp;P 500 dropped in the last reading. This is consistent with the major market averages moving quickly higher, part fueled by the bull argument of a quick and painless recovery and part by the bears running for their caves.<\/p>\n<p>The chart below illustrates the short-interest ratio for the S&amp;P 500 stocks. Notice that major drops usually are a sign of a market coming into a &#8220;topping&#8221; formation. In other words, heavy short interest <!--more-->helps to propel stocks higher when sentiment changes and visa-versa. So much for the idea of stopping short-selling as it is one of the key drivers that helps to provide liquidity and yes&#8230;..BUYS. SEC are you listening?<\/p>\n<p><em>(Click charts to enlarge)<\/em><\/p>\n<p><a href=\"https:\/\/thedisciplinedinvestor.com\/blog\/wp-content\/uploads\/2009\/08\/sitrend-1.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-4596\" title=\"sitrend\" src=\"https:\/\/thedisciplinedinvestor.com\/blog\/wp-content\/uploads\/2009\/08\/sitrend-1.jpg\" alt=\"sitrend\" width=\"524\" height=\"380\" \/><\/a><\/p>\n<p>Below are the the trends per sector that may be of interest.<\/p>\n<p><a href=\"https:\/\/thedisciplinedinvestor.com\/blog\/wp-content\/uploads\/2009\/08\/sitrend3-1.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-4595\" title=\"sitrend3\" src=\"https:\/\/thedisciplinedinvestor.com\/blog\/wp-content\/uploads\/2009\/08\/sitrend3-1.jpg\" alt=\"sitrend3\" width=\"504\" height=\"211\" \/><\/a><\/p>\n<p><a href=\"https:\/\/thedisciplinedinvestor.com\/blog\/wp-content\/uploads\/2009\/08\/sitrend4-1.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-4594\" title=\"sitrend4\" src=\"https:\/\/thedisciplinedinvestor.com\/blog\/wp-content\/uploads\/2009\/08\/sitrend4-1.jpg\" alt=\"sitrend4\" width=\"505\" height=\"212\" \/><\/a><\/p>\n<p>Disclosure: <a title=\"Horowitz &amp; Company\" href=\"http:\/\/www.horowitzandcompany.com\">Horowitz &amp; Company<\/a> clients may hold positions of securities mentioned as of the date published.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Short interest on the S&amp;P 500 dropped in the last reading. This is consistent with the major market averages moving quickly higher, part fueled by the bull argument of a quick and painless recovery and part by the bears running for their caves. The chart below illustrates the short-interest ratio for the S&amp;P 500 stocks. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[12],"tags":[],"class_list":["post-4597","post","type-post","status-publish","format-standard","hentry","category-markets","et-doesnt-have-format-content","et_post_format-et-post-format-standard"],"acf":[],"_links":{"self":[{"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/posts\/4597","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/comments?post=4597"}],"version-history":[{"count":0,"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/posts\/4597\/revisions"}],"wp:attachment":[{"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/media?parent=4597"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/categories?post=4597"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/tags?post=4597"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}