5 Stocks That Should Be Making Huge Moves: Research In Motion Limited (USA) (RIMM)

Be forewarned, this article isn’t for the faint of heart. I’m going to be introducing five stocks that could make huge moves during this earnings season.

But whether those moves are up or down is hard to tell. The reason these stocks are liable to make such moves is because they are heavily shorted. Major news announcements usually have an exaggerated effect on heavily shorted stocks, and earnings announcements definitely qualify as a “major announcement.”

I scoured the markets for the most popular shorted stocks twice last year to identify big movers. The first time, my five selections changed price an average of 16% after earnings were announced. The second time, the effect was even more pronounced, with the average stock moving 19%!

I’ll let you know what to look out for this earnings season, and at the end, I’ll offer you access to a special free report on three stocks I’ve put almost 20% of my real-life money behind.

Sources: Finviz.com, E*TRADE. *Earnings date for same period in 2012.