The article explores how multiunit auctions can lead to short squeezes in the secondary market. It compares uniform and discriminatory auctions, showing that discriminatory auctions result in more short squeezing and higher revenue. As the auction size increases, both auction formats yield similar outcomes. Short sellers tend to bid more aggressively, while most long buyers choose passive strategies. Small long players trying to benefit from a squeeze do not affect the results, but impact revenue in discriminatory auctions.