Avis Budget Group Inc. (NASDAQ:CAR), the parent of Avis and Budget rental car brands, is in the middle of a violent short-squeeze rally that has sent its stock to record territory despite deeply challenged fundamentals. 

CAR stock is soaring. See the chart and price action here. 

Pedal to the Metal 

Avis shares traded around $250 on Tuesday, up roughly 19% on the day and 160% over the past month, with volume several times its daily average as traders pile into the move.

The surge is being driven primarily by technicals rather than an earnings turnaround. 

Short interest in Avis is very high at 48.28%, per Benzinga Pro data, creating ample fuel for a squeeze as the stock breaks out to new highs. 

Retail chatter on social platforms has turned "extremely bullish," with message volume spiking, helping to pull in momentum traders and options players who ...