The Data Gap
Official short interest data, as reported by FINRA in the US, is published twice monthly with an approximate 8-business-day lag. This delay often renders the data stale in fast-moving markets. Ortex fills this void by providing daily and intraday estimates of short interest, utilization, and cost-to-borrow (borrow fees).
Key Metrics for Analysis
When evaluating short-selling activity, analysts should focus on three primary Ortex metrics:
- Utilization %: A reading near 100% indicates that almost all available shares for lending have been borrowed, signaling a potential 'hard-to-borrow' environment.
- Days to Cover: Calculated by dividing short interest by average daily trading volume, this metric estimates the time required for short sellers to exit their positions.
- Borrow Fee: The cost to maintain a short position, which often spikes when supply is constrained. By combining these real-time estimates with official exchange reports, traders can better gauge the true level of bearish conviction in a stock.
Signal data sourced from Ortex. This post is an original analysis prepared by The Forensic Ledger from publicly available data. Not investment advice.
Not investment advice. This is original reporting and analysis prepared by The Forensic Ledger from publicly available data. Nothing here is a recommendation to buy, sell, or hold any security. Always consult the original source and a licensed professional. See our full disclaimer and source-citation policy.