Dear Trader, As many of you know, Wall Street is on fire and the short squeeze of GameStop ($GME) is now on the desk of the President and the politicians. The White House has announced that they are monitoring the situation and the Senate Banking Committee announced this afternoon that they will be holding a hearing into the matter. What happened? Melvin Capital and Citron Research shorted GameStop (over 120% in short interest) in order to benefit from...

The first step in short selling is for a day trader to advise their broker that they wish to borrow a certain number of shares in a stock. In most situations, a broker will lend those shares. The day trader will in turn almost immediately sell those shares and then very carefully begin to monitor their screens. To be successful in short selling, the day trader must purchase back those shares at a lower price than...