GEO Group Stock Soars On Short Squeeze

Shares of The GEO Group, Inc. GEO are soaring Wednesday morning and many believe Reddit traders are driving the rally.

They have targeted it because it has a short interest of almost 50%. As these shorts buy their shares back, it could drive the price higher and that’s what appears to be happening here.

There’s a good chance the stock runs into resistance if it gets to the $8.25 level. Back in March, when shares reached this level, they ran into a wall of sellers.

Sometimes a particular level may be important for extended periods. That’s why people say markets have memories. There may still be a large concentration of sellers at the $8.25 level.