Okay folks, so as we approach another week in the beautiful stock market, you may be asking just what are the top three stocks for this week? Well, in this video, I'll be discussing just that and the only thing that I ask in return is that you hit that ravishing like button And also don't forget to subscribe either. Okay, so I want to lead with Atra today. This is a short squeeze Momentum stock that has increasingly been showing proof of concept since its August 23rd low at 304 to its rise as of late to 1325. But what makes this play a special little salamander is the fact that despite this being one of the biggest money making stocks for short sellers this year going from 48.99 to as low as 304.

Well, short sellers are hungrier than ever. You think after 90 or so drop they'd be like, you know what, I'm full, I ate too much, but you'd be very, very wrong. Short sellers are hungrier than ever. With 66 estimated short interest reported, short interest is at all time highs and growing despite the fact that this is trading very, very historically low.

And despite the fact that again, even with its recent rally, it's still a remnant of what it was back in February. And of course, when you get rapidly increasing share price at the same time that you have rapidly increasing short interest, what happens? Well, you're on an unsustainable path. a collision course. You quickly get yourself into the situation where you're either going to be explosively right or explosively wrong.

and it's gonna be a huge move. so my projections on which way that's going to be. Well, quite frankly, I'm very surprised at how fast this has rallied up and how consistently it's rallied up, despite not really having that much relative interest in retail communities. I mean, there's tons of retail that like this stock, but it's not at the level of interest that you see with Bbig or Sprt, and you can see that even in the simple search trends, Dvig in Red, Sprt in Yellow and Atar in Blue actor has consistently trailed the other two, despite the fact that Bbig has had a similar rally and Sprt has actually done worse than Attur.

Of course, those two plays I like as well, but when you're talking relative comparison, you can see this isn't the same type of play as those lower retail interest, while also having higher performance indicates that there's a lot more big whales in this, likely institutional. Quite frankly, Atr is increasingly looking like the story of Moby Dick. Very likely that a large part of the bullish presence here is not just retail, but very, very large institutional whales. By digging deeper on Atra's recent 424 B3 filing on the Sec website, they disclose something real interesting: quote: A short squeeze due to a sudden increase in demand for shares of our common stock that largely exceeds supply could lead to extreme price volatility in shares of our common stock.

And then they say investors may purchase shares Of our common stock to hedge existing exposure or to speculate on the price of our common stock. But here's the good part that we all like to hear they say investors with short exposure may have to pay a premium to repurchase shares of our common stock for delivery to lenders of our common stock. Those repurchases covering shorts, baby. Those repurchases may in turn dramatically increase the price of our common stock until additional shares of our common stock are available for trading or borrowing.

This is often referred to as a short squeeze. So why do you disclose something like this? Well, because you're worried about liability on what happens afterwards. If you're a company and you know your stock is being heavily short attacked, you understand that a possible outcome is that a ton of buyers come in, You get a massive squeeze as shorts are forced to cover, and then what happens when the stock goes down dramatically and you don't want to have liability for saying oh, you failed to warn investors that bought at squeeze highs that it could perhaps go down again when there's any sort of trading in a stock that results in a massive massive increase followed by a massive massive decrease whether that be a short squeeze or a catalyst run or whatever it is when it comes back down. Oftentimes the company is sued for negligence, sometimes even by the short sellers themselves.

one of the often overlooked long-term effects of short squeeze stocks is for the most part, your average short squeeze stock that goes up massively as shorts are forced to cover and then dumps massively screwing over people who bought it highs while those companies struggle usually for years after that, a lot of people doubt their valuation, they've had their reputation hurt, and they oftentimes have to deal with a lot of lawsuits saying oh, you misrepresented what the company offers and so we were forced to buy in because it was running. So now I'm gonna sue you because it went down and usually although these claims are completely bogus, but the company gets bogged down with it even though it was short sellers that caused the whole thing in the first place. When that happens, it makes it very, very difficult to secure more capital or be taken seriously. Which kind of makes it a self-fulfilling prophecy because all of a sudden now you have all this extra barrier to actually grow as a company.

And because you have all that extra barrier, it makes you more likely to fail stocks. Try to get ahead of that with these disclosures. But anyways, my thought process is best case scenario. We get a sizeable breath to start off the weekend, a rebound rally later on, and because I do believe that there's a lot of whale energy here, I would argue it's not going to be as fast to fade away even after a breath, but allowing for a pushback and then allowing for it to show you that yes, it's going to rebound from that pushback by giving some strength.

After said pushback says that hey, whales aren't about to pull the rug, Whales are in this and they want this to go higher. If you don't allow it to breathe and you're trying to take a new position in it, what you're saying is hey, Whales take all my money if you decide to pull the rugs. Remember bullish whales and institutional activity is very, very bullish and it helps a uptrend. But when the whales decide, it's time to lock in profits.

Well, it screws everybody else over. so you have to be very, very mindful of that. And in my view, being mindful means waiting to see more proof of concept that they're not done yet. And that means taking a breath and then seeing a rebound rally.

Can retail carry this if it gets enough attention this week? Certainly. But we need to see more proof of concept of that. So I would say hey, this has been a very, very fun place so far. Let's not turn that into a disaster by being overconfident here.

Okay, next, Clove. Clovey Cloverston. So every time clove has broke below a 750 support for the last three months or a seven dollar support for the last eight months, it has gone on to retake that rebound and provide lots of profity profits usually induced by a momentum meme rally because of the large backlash when it comes to the heavy short selling in this. why is this relevant? Well, you guessed it, because we are quickly dying off from the last retail rally, and if one can scout out an entry at historically good prices, then they'll be set to enjoy the next meme rally.

And if that doesn't happen, well, that'll be the first time it didn't happen in eight months. And even if this is the unlucky time that that pattern breaks, Well, hey, this is still a very, very interesting long-term play. And short interest wise, you are looking at what seems humble at 13 estimated short interest. which it does seem humble relative to the other stocks that we've covered.

But remember, 13 is huge, That's very, very aggressive, and this is just the public short interest. A lot of you are used to seeing 60, 70, or 80 short interest percentages. but remember, this is a multi-billion dollar company. which means that while Shorts may not be indices heavily in terms of a percentage, there's a lot more capital on the line.

Thirteen percent of four billion dollars is a lot more than twenty percent of a hundred million dollars or five hundred million dollars. It's also true that with large swaths of institutions that own clove, there's a lot of that free float that is effectively locked up, which makes the actual effect of short interest much higher in my view, maybe 25 30 percent. But anyways, back to the price. So technically, 859 is still not historically cheap.

We haven't gotten to that historical level yet, but we're getting there. In my view and in the historical context here, the reasonably decent entry prices would be near that three-month support, and the extra mile lower risk entry prices would be at that eight-month support, which is even lower. Of course, the less you pay, the less risk you take in the position when waiting for the next meme rally. Okay, lastly, Ford.

Now I get it. Not a super exciting stock. This isn't going to be the next meme squeeze stock. It's not going to go up three four hundred percent.

but it's definitely a very, very interesting long-term conviction play. Like we've said all year, Ford has aggressively and continuously made more and more progress into the Eevee space with some of the most competitive metrics for batteries, charging, and overall performance with their unexpected success of the Machi Electric Mustang, which I thought was fugly. But I guess a lot of people like it. With the high demand for and upcoming production of the Electric F-150 and overall the massive massive investments that Ford has made in the Ev space, Ford is set to be a massive player and they are slightly yanking away talent from other companies to Visa.

But what is interesting is that the Democrats just proposed an expanded Ev credit which reaches up to 12 500 per vehicle a gigantic rebate. But here's the big thing. It'll remove the 200 000 vehicle cap which limits the amount of rebates on the biggest Ev companies who can do higher volumes than that which benefits Ford. But these proposals also put scale manufacturers like say, Tesla at a disadvantage because in the stipulations here, in order to qualify for the last 4 500 of that credit, the electric vehicle must be assembled at Union factories, which Tesla does not do, but for does, it also creates price limits as a part of this proposal, for what's eligible and what isn't sedan's under 55, 000, Suvs under 69, 000, pickup trucks under 74 000, and vans under 54 000..

this, of course, rips away Ev credits from a lot of Tesla's model lineup. Only the lower price models with lower option levels are going to qualify now for these Ev credits. Now, Tesla is increasingly expanding into that market, but still, this does exclude some of Tesla's model lineup, while at the same time favoring Ford dramatically whose current and future vehicle lineup almost unanimously falls within these guidelines. And if this new proposal is passed, Ford will be one of the biggest benefactors of it.

Tesla largely built its edge on the backs of these Ev credits, which lowered the entry price into its cars at a time when the industry was struggling to get off its feet. And this time around, these incentives are largely going to be directed at Fort. I would argue that if this goes through, this is going to be hugely bullish for Ford. and I'm already very, very bullish on Ford.

And you could say, charlie. But yeah, you know there's a material shortage. There's a chip to the labor shortages. We don't need to be talking about car manufacturers right now, but when you want to talk about them when you want to really look into them, is when you're at these stages, when you're having more and more fear because these chip shortages.

While they have been here for a while and, well, they're probably not going to go away for a while. Eventually, they are going to go away, and these companies are going to have a lot of vehicles rolling off the lawn, and Ford is going to grow into this industry that it's never been in before, and it's going to be helped by regulatory tailwinds. Another major benefactor of these proposals. perhaps even more so in the short run than Ford is Gm, and I may be making an argument for them soon too.

But at this point I do see that Ford is priced a lot less in, and Ford has a lot of big catalysts on the horizon. We'll see what happens, but very, very interesting time to be an Ev player. Anyways, folks that caps off the video. If you have any questions, feel free to reach out to us below or join us on Zip Trader Circle.

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Anyways, that caps off the video. have a good one and I'll see you in the next one.