The S&P 500 and the Down Jones Ind. finished 0.6% higher today despite zero progess made avoiding the 'Fiscal Cliff'.  Four stocks did finish higher today and they are loaded with short interest.  Those names are Zillow Inc. (Z), RadioShack Corp. (RSH), J.C. Penny Company, Inc. (JCP) and wildcard candidate Pandora Media Inc. (P).  If the rally in equities continues the short sellers are going to have to switch course and send those four stocks higher.

Mastery has you covered for the next leg up.If the indices breaks out to more multi-year highs like we think they are going to, these 3 high-interest short stocks should see a squeeze.

What's a Covered Call?

The covered call is a strategy where an investor writes a call option contract (sells an option) while at the same time owning an equivalent number of shares of the underlying stock.If this stock is purchased simultaneously with writing the call contract, the strategy is commonly referred to as a buy-write.

While you may have heard that trading options is risky business, covered calls are actually a very conservative strategy, and most brokerages even allow retirement IRA accounts to write covered calls.

What's a Strong Volume Gainer?

A strong volume gainer is when volume is four times greater than the 20-day SMA and is above yesterday's close.