Dont know if anyone clicked on the links inside of Hogs link, but here is an interesting part. This is possible to happen to us shortly.
Stocks Unexpected
When short sellers bump into a market that does the unexpected, they may be looking at the same situation as our example.
If share prices rise unexpectedly, especially in a market that was looking like it should keep going down, short sellers may panic and close out their positions.
As short sellers begin buying to cover their shorts, it may push the market and other stocks up creating an even worse situation for the speculators.
Short sellers don’t get a lot of respect on Wall Street – after all, they are betting on failure or at least bad news to win.
I don’t consider them investors because their time horizon is short term.
Short selling is a risky game and not one you should play unless you know what you are doing. Never play it with money you can’t afford to lose.