Gold Shorts Cover At Fastest Pace In 13 Years

For those who don't know what a short squeeze is, imagine that you're a male and someone takes a pair of pliers and squeezes your testicles with them.  That's what happens when you sell short an asset and the price moves against your position--in this case, up.  So now you have to buy that asset back to cover your short (go "long"), competing against other buyers, which drives prices up even further.  In other words, the pliers are getting tighter.

Between the frenzy of shorts covering and the buyers buying, prices could go stratospheric.

That's today's finance class mixed in with human anatomy.  Carry on.

http://www.zerohedge.com/news/2013-08-12/gold-shorts-cover-fastest-pace-13-years