Timothy Sykes

And that's when you get these ridiculous run ups.

Yeah, so think about you're betting against a scam.

You're like, this company is a scam.

Their technology or product doesn't work.

It's going to go to zero.

Exactly.

So I don't try and guess total businesses, but with a lot of these payments,

They will fail eventually.

But the problem is, is that they also hype themselves up so much.

So every single press release is like, oh, we're the next Microsoft.

So if you short too soon, meaning you sell shares that you don't own, you bet on a stock price falling and the stock, for whatever reason, keeps going higher and higher.

You have to cover your short to take your loss or sometimes your broker will buy.

you in because you don't have enough money in your account to cover your loss.

So in order to cover your short, you have to buy it back.

And when all the shorts are getting squeezed together, because that's what happens when a stock goes up too quickly, they all buy it back together.

And that's when you get these stocks that go parabolic.

Yeah.

Correct.

And a lot of people don't understand that the stock market is not always logical and these stocks can stay up and go up faster than you ever think possible.

So I've learned to be, you know, I short sell, but I'm very scared.