Can someone help me with this question: I use moomoo to monitor stock prices. More often than not, I see a stock shows net inflow of capital but the stock price goes down. The platform gives this note: “prices fall & capital flows in. Some capital is entering or short position s are being covered”.
My questions are:
1. How is it possible that capital flows in when the SP stays below the close price of the day prior?
2. For a stock that consistently has this notice of capital net inflow for 2 weeks (presumbly partially due to short covering), why the biweekly short interest can still show a large jump that contradicts this?
Please help me understand. Thanks!
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