Short Squeeze Candidate #3: Teradyne (TER)
Click to Enlarge Technology shares have been seeing some shorts lately as traders are betting on a fade in the trend of technology leadership. Among the names on our short list for squeezes is Teradyne (TER).
This semiconductor equipment provider is benefiting from stronger demand for chips in a myriad of electronic devices — the same fundamentals that have Intel (INTC) on our short list of technology names to buy.
TER stock recently consolidated at the $17 as three technical trendlines — the 20-, 50- and 200-day moving averages — are all settling in around $17. Teradyne is likely to benefit from the confluence of support from the technicals and use $17 as a launching pad for another rally. That would trigger a short squeeze and add to the buying power for TER.
As of this writing, Johnson Research Group did not hold a position in any of the aforementioned securities.