Over the past few weeks, CAR didn’t just go up… it exploded.

We’re talking about a move of 500% to 700% in a very short period, pushing the stock to extreme levels.

Moves like this feel exciting when you’re watching them live. It looks like easy money. It feels like you’re missing out if you’re not in it.

But here’s the reality most people don’t understand:

When a stock moves too fast, too vertically, it’s usually not sustainable.

In fact, that kind of move often signals that the stock is entering its most dangerous phase, not its safest one.

The main driver behind the move wasn’t business growth. It wasn’t strong earnings.

It was a short squeeze.

A large number of investors were betting against the stock. When the price started rising, those short sellers were forced to buy back shares to limit their losses.

That buying pushed the price even higher, which forced more short sellers to cover.It becomes a loop.

More buying → higher price → more forced buying.

That’s how you get extreme moves like this. At one point, short sellers lost billions of dollars as the squeeze accelerated.

But here’s the key:

A short squeeze creates temporary demand, not real value.

What goes up fast, can come down even faster. Once the short squeeze started to slow, the artificial demand disappeared. At the same time, new concerns started to show up.

Investors began worrying about things like:

And just like that, momentum flipped. The stock dropped around 70% in just a couple of days after hitting its peak. That’s what makes these setups dangerous.

There’s no support underneath because the move wasn’t built on anything stable.

This type of move is not new.

It’s the same pattern you see in:

The setup is always similar. A stock with limited supply gets heavy attention. Momentum builds. Everyone piles in. Price goes vertical. Then the moment buying slows, everything reverses. Not slowly. But aggressively.

That’s why experienced traders don’t just look at how fast a stock is going up. They ask:

Why is it going up? Because that tells you whether the move can actually last.

The lesson here is simple, but most people ignore it. Not all price moves are equal. Some are built on real growth, earnings, and long-term trends. Others are driven by positioning, emotion, and short-term pressure. CAR was the second type. And those moves always feel the best right before they reverse.

If you understand that, you stop chasing the move… and start understanding it.

With 20 years of investment expertise, Caleb Gan is a seasoned professional in stock trading. The hard work and dedication were recognized when his partner and him were featured on Singapore TV Channel 9's MoneyWeek, a prominent financial program. He's also had the privildge to share insights on radio stations like 93.8Live, Capital 95.8FM, and 96.3FM through live interviews about stock market investments. Beyond that, he's also the co-founder of NDU System, where he continues to help others navigate the world of trading.

If you’re serious about improving your results, the difference usually isn’t effort—it’s guidance and structure. Opening an account with us isn’t just about access, it’s about stepping into a system that helps you see the market with more clarity, avoid common mistakes, and make more confident decisions. Instead of guessing what to buy or when to act, you’ll start understanding why things move, and how to position yourself ahead of it. If you’ve been feeling stuck, inconsistent, or unsure… this is where that changes.

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Until next time,

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