Chevron Corporation (CVX) and Exxon
Mobil Corp. (XOM) are the two biggest names in the Oil, Gas &
Consumable Fuels industry. Their short ratios are currently higher than
that of their competitors, and they are the 9th and 11th most heavily shorted stocks in the Dow Jones Industrial respectively.
When a short position in a particular
stock is assumed, it implies borrowing a share and anticipating that its
price will decrease. Short interest ratio is used to identify the
number of days it takes to cover that short position and is calculated
by dividing the short interest with the average daily trading volume.
When stock prices go up, investors with
short positions in that stock need to cover their positions by
purchasing the amount of stocks they shorted. Read more XOM.
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