Cramer: Why big shorts are covering
Jim Cramer | [email protected]
Some of this might be related to a huge short, Hewlett-Packard, which surprised nicely in its quarterly numbers and is bringing up Cisco, another heavily shorted name.
The endless lies that are being told about the end of Facebook have driven that stock down to levels where people fear something positive.
Finally, a stock that I believe has been ridiculously over-punished, ADT, is rallying. Again, I think that is the short-sellers' register ringing.
These kinds of situations are business as usual, as the shorts know not to press their luck, so they aren't taking chances.
Disclosures: Cramer's charitable trust is long ADT, CSCO, and FB.