By Barrie Einarson

When you’re trading momentum names with high short interest, you have to stay nimble and open to second—and even third—chances. iRobot (IRBT) delivered exactly that today, giving traders several clean opportunities to capitalize on the move. To Subscribe to Trade Ideas: https://go.trade-ideas.com/SHQ
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The Initial Alert: 2:45 Long from RAI

At 2:45 PM, RAI flagged IRBT for a long entry. From that point, the stock wasted no time:

• Initial push: from the alert to $2.75 before any real pullback
• Strong continuation despite early volatility

If you missed the first move? No problem—IRBT wasn’t done offering setups.

The Second and Third Chances

What made IRBT exceptional today was the repeatability of the trade:

• Price pulled back, reset, and offered a second push to $2.93
• Another pullback created a third opportunity, and this one was explosive:
  • From the $2.45 zone straight to $3.49 before the first meaningful retracement

That type of behavior—multiple reclaim-and-go sequences—often shows up in high short-float runners, and IRBT fits that profile perfectly.

Watching VWAP for Reversal or Continuation

As the stock finally began to pull back, VWAP became the key level to watch:

• Hold above VWAP → continuation possible
• Lose VWAP → momentum likely fading

These intraday rhythm shifts are what define a great trade: structure, repeat setups, and well-respected levels.

Daily Chart Context: A Multi-Day Move

IRBT isn’t just an intraday runner—it’s been building energy for three straight days.

• Strong multi-day momentum
• High short float
• Expanding range
• Clear signs of short-covering pressure

This type of daily chart backdrop often fuels the kind of intraday surges we saw today.

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Why This Trade Was Great

• Multiple structured entries for traders at different skill levels
• High short float + multi-day move → prime momentum environment
• VWAP behavior gave clean confirmation levels
• RAI alert nailed the early signal
• Clear trend continuation visible on both the intraday and daily charts

When a stock offers this many quality setups, it becomes a perfect educational example—not just a winning trade.

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If you’d like, I can also generate a social media version, a YouTube script, or a Trade Ideas newsletter snippet based on this trade.