Float Short Percentage

Discussion in 'Trading' started by Robby Luca, Aug 1, 2017.

  1. If a Float Short has a high percentage, does this mean the stock has a low Float?
    Or a low percentage means low Float?

    I use Finviz for screening stocks and the Float Short is in percentage. If I want stocks with low Floats, what percentage am I looking for?
     
  2. @beerntrading Ya, I read the definition but didn't really explain percentages. From my understanding a higher percentage is better for people going long, or am I completely wrong?
     
  3. It's not inherently a good or bad thing. Higher percentage means you're going to have to pay hard to borrow rates (which can be crippling). Obviously, something with a strong balance sheet and history of innovation (AAPL) is a good buy--remember those percentages are delayed--and has a tiny short percentage. SNAP has a high one, and it would be a good short but for the hard to borrow rate (it sucks when you win on dozens of trades on price, but lose on borrow rate).

    But, a high percentage short can also turn around in a hurry when there's a short squeeze and everyone has to buy back.