Frequently Asked Questions

  1. Who should NOT use this service?

If you are a beginner and have no experience with short squeezes, DO NOT USE this service. Short squeezes can end at any time and catch you unaware. Shorting is not a good idea either. Even the best of the best only break even in the long run shorting. In bull markets, things can get out of control and stocks can be irrational.

2. How do you calculate short pain?

We approximate short pain by taking the most recent short interest data from IEX and multiply it by the daily change according to IEX again and we adjust it to the short perspective. In the same vein, we calculate short’s year-to-date losses, and other time frame losses by reversing IEX’s year-to-date returns, etc. Please note, we do not factor in borrowing costs for shorts, options, convertible positions, etc.

If you are a long term investor, you should do your due-diligence, pay attention to fundamentals, and see how shorts have done on a longer timeline as that might be more relevant than short term returns.

Moreover, please note that we do not factor in where shorts may have initiated their position as well. If a short initiated a short at 40 and the stock retreated to 10, and that stock doubled in one day, the bearish investor would not be feeling as much pain as a short that initiated his position at 10.

3. What does the daily short pain indicator mean?

The indicator has two settings, ‘Neutral’ and ‘Short Squeeze Either Occurring or Squeeze Potential Rising – Pay More Attention to Catalysts and Fundamentals’. If it’s the latter, it means that a short squeeze is likely occurring or the probability of a short squeeze is greater than before on a daily basis, and investors should do more research into potential catalysts and the company’s fundamentals. It does not mean the stock is likely to go higher, as short squeezes could dissipate at any time. Again we do not recommend shorting either.

4. What do the [last 15 min] and [daily] signs mean?

The 15 minute time range means how much the stock has moved in the last 15 minutes. The daily time range is how much the stock has moved since the last trading day’s close.

5. Why do some stocks show massive moves when they haven’t moved much at all according to Google Finance?

We get our data from IEX, which doesn’t adjust for stock splits. Occasionally, there will be stocks that reverse split, and that causes their stock to go up substantially in unadjusted terms. That in turn causes the stock to show up in our scanner.

6. What is BMO, FMC for the earnings calendar, and why don’t some dates have those two words associated with them?

BMO is before market open, FMC is following market close. Some dates don’t have before market open or following market close associated with them because IEX doesn’t provide that info.

7.Why do some stocks show 100% or higher short interest?

We get our data from IEX, which in turn gets stock data from various fundamental providers. It seems that for some stocks, their short interest data to float is 100% or higher, and we cap that number at 100% for the scanners to avoid any major confusion. For the search pages, the short interest could be higher than 100% to show that we capped it.

8. What does ‘no info on the stock’ mean?

IEX doesn’t have fundamental info for the stock, so we put ‘no info on the stock’ for the market cap and a 0 by the short interest to make it clear in the scanners. Because IEX has pricing data, we still show it.

9. Love the service, how do I give the thumbs up?

Tell your friends, but make sure they aren’t beginners. If they don’t have experience with short squeezes don’t tell them about the site. If you want to subscribe, you can do that too.

10. How do I cancel my subscription?

If you want to cancel, email shortpainbot@gmail.com with your paypal email address and tell us you’d like to cancel and we will do it for you.