ASX Stocks: Top 10 Most Shorted, Plus Today’s Biggest Movers

Did you know short selling makes up a large part of daily trading on the ASX? Every day, millions of dollars are bet on ASX stocks falling instead of rising. That’s what short sellers do: they make money when share prices drop.

At the same time, the ASX also sees big daily movers that rise or fall sharply in just a few hours. These changes often reflect major news, market reactions, or even panic buying and selling.

So why does this matter to investors or traders? Because tracking the most shorted stocks and the biggest daily movers helps spot trends early. It tells where the market is heating up and where caution might be needed. 

Let’s look at the top 10 most shorted ASX stocks and the biggest market movers today. 

What is Short Selling on the ASX?

Short selling is when investors bet that a share price will fall. They borrow shares and sell them now. Later, they buy back the shares. If the price drops, they profit. On the ASX, only designated stocks may be shorted. Brokers or investors report their short sales daily. Those totals are shared publicly with a four‑day delay. The rules aim to keep markets fair. ASIC holds responsibility for aggregating and releasing the data. Small investors often use CFDs or LEPOs instead of direct short selling.

ASX’s Top 10 Most Shorted Stocks 

Here are the ten ASX stocks with the highest short interest, based on the most recent ASIC‑reported data (subject to a four‑day delay):

There was a mild fall in Paladin’s short rate this week, while Pilbara’s rate moved up. Short interest for IEL has edged slightly higher. BOS and MIN saw minor declines. Many of these firms are in mining, energy, or education.

Why Some ASX Stocks are Shorted?

Miner groups like PDN, PLS, MIN, and LTR are tied to commodity prices. When prices fall or slow, investors bet against them. Boss Energy, a uranium company, also draws bearish interest. IDP Education is under pressure due to weaker international student flows. LIC offers real estate investment trusts, and market shifts may hurt its outlook.

Short sellers often expect weak earnings, rising debt, or poor sector trends. In these stocks, sentiment looks cautious. But it also raises the risk of a short squeeze if buying demand returns fast. Traders monitor volume and price spikes for early signals.

ASX Today’s Biggest Gainers & Losers

Here are major gainers from today’s ASX session, per MarketIndex and other sources:

• Synergy Group (IS3) jumped +300%.
• Vanadium Resources (VR8) rose +78%.
• Mad Paws Holdings (MPA) climbed +73%.
• Askari Metals (AS2) added +45%, and others like LMG and BET also surged over 20%.
  These are mostly small‑cap mining or tech plays. Volume was light, so jumps may reflect news or speculative trades. Losers were similar micro‑caps but in reverse.

Link Between Short Interest and Today’s Movers

We found little direct overlap between the most shorted stocks and today’s big gainers. Most of the top shorted names are large‑cap miners or education firms. Meanwhile, today’s leaders are low‑priced, low‑cap micro‑stocks. These often move on very little news or trading volume.

That said, a stock like PLS (Pilbara Minerals), which is high on short interest, did show a modest rise of about +4% today. This may reflect short covering or positive trader interest. No firm under heavy short interest made today’s top ten gainers list.

What Traders & Investors Can Learn?

They can take away several solid lessons:

They need to track both short interest and daily movers. A high short position marks a stock under bearish pressure. If that stock later pops, the move may be driven by short covering or bullish news.

Daily top gainers are often volatile small‑caps. They can spike fast, then reverse. They are not always tied to the shortest names, but they offer trading opportunities.

Using tools like ASIC’s short position reports (T+4), MarketIndex gainers scan, and ShortMan’s data helps us spot shifts in sentiment. We can watch sectors like lithium, uranium, funding‑heavy education firms, and small‑cap tech.

Risks & Caveats

Investors should also keep a few risks in mind:

Short interest data lags by about four trading days, so it may not show yesterday’s changes. Small‑cap gainers often have very low volume and can reverse quickly. High short interest does not always mean the price will fall; it can bounce quickly if sentiment flips. And these figures don’t mean stocks are a buy or sell; they just reflect what traders expect.

Wrap Up

The most shorted ASX stocks often come from mining, energy, or education sectors facing market pressure. In contrast, the top daily gainers are usually small-cap stocks reacting to news or speculation. While these groups rarely overlap, sudden rallies in shorted stocks can signal a shift in sentiment. 

Tracking both helps identify where the market is cautious and where it’s excited. Short interest shows bearish bets, while daily movers reflect real-time momentum. Watching them together offers a clearer view of market trends. It’s a smart way to stay ahead of potential risks and opportunities.

Frequently Asked Questions (FAQ)

Disclaimer:

This is for information only, not financial advice. Always do your research.