Guide 9.5
Beginner, 5 min read. Checked with Scalpel 1.12.8 on .
In short
Scalpel's intel chips are three reads in a word or two. Dilution chips (red Selling and Warrants near, amber Dilution, grey Can dilute) say whether the company can sell stock into your move. Catalyst chips (FDA 4m, Deal 2h, Fluff PR 16h, red Offering 5m) say why it is moving and how good the news is. Violet borrow chips (Can't short, Short fee 85%, Hard to short) say whether shorts are trapped. Hover any chip for what it means for a long trade and the facts behind it.
Chips sit in the INTEL column of every scan panel and in the intel strip under a desk's header. They are deliberately short, so you can read three of them in the time it takes a stock to tick. This page lists every chip, what it means for a long trade, and where to read more.
Before you start
Is the company about to sell stock into your move? Details in guide 9.2.
| Chip | Colour | When | What it means for a long |
|---|---|---|---|
| Selling 21h | Red | A financing filing in the last 7 days. The time is its age | The company filed to sell stock 21 hours ago. Expect a seller on every spike; breakouts tend to fail |
| Warrants near | Red | Warrants or convertible notes can be cashed in at, below or within 10% above the price (needs an OpenAI key to find the prices) | Severe dilution risk without a fresh filing: holders can cash in and sell |
| Dilution | Amber | High risk: a financing 8 to 30 days ago, or a shelf with little cash or frequent sales | It can sell stock any time and probably needs to. Spikes can get sold into |
| Can dilute | Grey | Medium risk: a shelf, under a year of cash, fast share growth or a recent sale | It is set up to sell stock if the price runs. Watch for a new filing |
Why is it moving, and is the reason any good? The chip is the kind of news and its age. Details in guide 9.4.
| Chip | Colour | When | What it means for a long |
|---|---|---|---|
| FDA 4m, Trial data 9m, M&A 1h | Green | Strong or explosive news (a grade of 3 or more) | Real news that can bring in buyers. The best runners have this |
| Deal 2h, Earnings 3h, Analyst 5h | Blue | Decent news (a grade of 2 to 3) | Can move it, but it needs volume to follow through |
| Fluff PR 16h, Hype 1h, News 40m | Grey | Weak news (under 2) | Little real news. The move is mostly momentum or hype |
| Offering 5m | Red | An offering headline. It always leads, whatever else came out | The company is selling stock. Usually bad for longs: expect sellers into strength |
The colour follows the strength, not the kind: a Hype headline can be blue or grey, and a minor FDA designation can be blue. Only headlines from the last 24 hours make a chip.
Can shorts still add, and what does it cost them? All violet. Details in guide 9.3.
| Chip | When | What it means for a long |
|---|---|---|
| Can't short | No shares left to borrow | Shorts are trapped. A push through VWAP or the high can force them to buy (squeeze) |
| Short fee 85% | A borrow fee of 20% a year or more | Shorting costs 85% a year. Squeeze fuel |
| Hard to short | Few shares left to borrow (locate needed) | Some squeeze fuel |
The hover card's verdict scales with the borrow pressure score: Shorts trapped from 60, Squeeze fuel building from 30, Shorts not trapped below.
Every chip opens the same kind of hover card, wherever it is: the verdict in the chip's colour, a line on what it means for a long trade, then the facts.
A few other marks share the scan rows: