The short-sellers are making headlines left and right and for more reasons than one. If the news isn’t spotlighting a new short-sell report it’s a major short-squeeze getting the attention. The takeaways for traders are that short-action and the gains that can come with it have never been hotter.

The problem is that it’s very hard to know which stocks to short because shorting is more than just fundamentals or technicals. There is an element of luck, a 6th sense almost, that can’t be denied and not everyone has it. Besides, it takes a lot of guts to go against the grain and short sell a stock. Just because a would-be short-seller sees no value in a highly-valued stock doesn’t mean the market will agree with them when the news leaks out.

Even if you do know which stock to short there’s a new risk in town. Crowd-sourced investment groups are targeting high-short interest stocks and sparking major short-squeezes, the kind that turns billionaires into paupers, and making it very risky if not impossible for average investors to profit from short-selling. That’s why leaving shorting to the professional is a good idea but there are still ways for average investors to profit from the short market.

In the report, Thomas Hughes covers what is short-selling, what is the short-squeeze, and how you can profit from them.