I've been looking at the $SELLAS Life Sciences Group Inc.(SLS)$ supply/demand setup and it's getting pretty extreme.
Institutions are loading up — State Street with 12.99M shares, Vanguard with 9.67M shares. Open interest on options sits at 947.44K contracts. Meanwhile, reported short interest is at 55,280,869 shares, and borrowable shares are basically at zero again. Only about 9.4M warrants left, and it looks like long-term retail holders aren't letting go.
Those 947K contracts represent significant notional share exposure, though actual dealer hedging depends on delta and positioning. The real question isn't whether every single share is literally gone — it's how small the actual liquid float is at this point.
If institutions and retail keep locking up supply while 55M+ reported shorts eventually need shares, where exactly are those shares supposed to come from?
$Spdr S&P Biotech Etf(XBI)$ $SPDR S&P 500 ETF Trust(SPY)$ $Invesco QQQ(QQQ)$
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