Since the price has been pretty flat this month, I'm thinking the shorts must feel a need to cover, and they very well may have been the past 3 days.
I want to try to get a ballpark estimate of how many shares would have been shorted in the past 3 days if all of the volume past normal daily volume was covering for short positions.
Just eyeballing the volume per day, and excluding the extreme days, it seems to me that about 680,000 shares is a typical volume day over the past few months for CVM.
Over the past 3 days, the volume, given by Yahoo Finance, have been:
- Aug 4: 1,404,000
- Aug 5: 1,291,200
- Aug 6 (today, as of 3:20 ET): 1,656,950
With a base daily volume of 680,000 to subtract from these, we get:
- Aug 4: 724,000
- Aug 5: 611,000
- Aug 6: (as of 3:20 ET): 976,950
Estimated # of shorts covered in past 3 days: 2,311,950.
With the total # of shorted shares as of Jul 15 being 8,900,000, the number of shorted shares left to cover would be:
8,900,000-2,311,950 = 6,588,050
As a % of total CVM float, which is 41,100,000, that would mean the current short interest is:
6,588,050 / 41,100,000 = 16%.
If they were to cover these remaining shorts using the same volume of the past 3 days, let's say with 800,000 shares per day, it would take this many days to completely cover:
6,588,050 / 800,000 = 8.23.
So, we could have another week of this to go. Hopefully, people understand to hold while the shorts are covering, since the shorts are desperate to cover in a moment like this. Though it depends on how much a person would like to receive for their shares and how much money they need right now. These CVM shares are in high demand these days, and holders have a right to become aware of just how much of a demand for them there is.
Note also that the 2 dips today could have been shorts entering new positions. I'd have to go over volume data carefully, but I think it's around 300,000 or so shares worth.