It is smart of you to close out your short position before you get squeezed. I cannot understand why anyone wants to short a company that just tripled its earning but is still only trading at trailing PE 15, and forward PE 10.
This stock is very cheap, and from listening to the conference call, the management apparently believed the earning could still go up with further margin improvements in the coming quarter.
With strong fundamental like that, this company is worth a lot more than its current stock price level.
It is a stock for you to buy and be a long, not a stock for you to short.