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Do you like investing with a stock's momentum during earnings season? On ideas on how to start your search, we ran a search on companies in the S&P 500 index reporting earnings in January.

We then screened these names for those with bullish trends in shares shorted, with significant decreases in shares shorted month-over-month.

We highlighted this list because the S&P largely index is the most watched stock list on the market, so it is arguably the most voted on share price as far as trading volume goes. Short covering signals that a very significant pool of investors are optimistic about these names. We feel Main Street investors would be wise to add these stocks to their watchlist for continued upside.

Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the stocks mentioned below. Analyst ratings sourced from Zacks Investment Research.

Do you think these stocks will outperform like short sellers expect? Use this list as a starting point for your own analysis.

1. Advanced Micro Devices, Inc. (NYSE:AMD): Operates as a semiconductor company in the United States, Japan, China, and Europe. Market cap at $1.91B, most recent closing price at $2.68. Shares shorted have decreased from 105.62M to 99.53M over the last month, a decrease which represents about 1.23% of the company's float of 496.27M shares. Days to cover ratio at 3.78 days. The company is expected to report earnings on January 22nd, 2013.

2. BMC Software Inc. (NASDAQ:BMC): Develops software that provides system and service management solutions for enterprises in the United States and internationally. Market cap at $6.61B, most recent closing price at $42.65. Shares shorted have decreased from 16.03M to 13.46M over the last month, a decrease which represents about 1.82% of the company's float of 141.15M shares. Days to cover ratio at 9.85 days. The company is expected to report earnings on January 28th, 2013.

3. Citigroup, Inc. (NYSE:C): Provides consumers, corporations, governments, and institutions with a range of financial products and services. Market cap at $124.84B, most recent closing price at $42.57. Shares shorted have decreased from 65.67M to 26.25M over the last month, a decrease which represents about 1.35% of the company's float of 2.93B shares. Days to cover ratio at 1.66 days. The company is expected to report earnings on January 17th, 2013.

4. Ford Motor Co. (NYSE:F): Develops, manufactures, distributes, and services vehicles and parts worldwide. Market cap at $53.51B, most recent closing price at $14.30. Shares shorted have decreased from 180.80M to 139.30M over the last month, a decrease which represents about 1.21% of the company's float of 3.43B shares. Days to cover ratio at 3.41 days. The company is expected to report earnings on January 22nd, 2013.

5. International Game Technology (NYSE:IGT): Designs, manufactures, and markets electronic gaming equipment and systems worldwide. Market cap at $4.04B, most recent closing price at $15.17. Shares shorted have decreased from 8.52M to 5.56M over the last month, a decrease which represents about 1.12% of the company's float of 265.28M shares. Days to cover ratio at 2.1 days. The company is expected to report earnings on January 22nd, 2013.

6. Netflix, Inc. (NASDAQ:NFLX): Provides subscription based Internet services for TV shows and movies in the United States and internationally. Market cap at $5.65B, most recent closing price at $101.69. Shares shorted have decreased from 14.14M to 13.16M over the last month, a decrease which represents about 2.01% of the company's float of 48.74M shares. Days to cover ratio at 2.95 days. The company is expected to report earnings on January 23rd, 2013.

7. Seagate Technology PLC (NASDAQ:STX): Designs, manufactures, markets, and sells hard disk drives for the enterprise, client compute, and client non-compute market applications in the United States and internationally. Market cap at $13.01B, most recent closing price at $34.46. Shares shorted have decreased from 48.52M to 44.88M over the last month, a decrease which represents about 1.11% of the company's float of 328.31M shares. Days to cover ratio at 5.09 days. The company is expected to report earnings on January 28th, 2013.

*Short data sourced from Yahoo Finance; all other data sourced from Finviz.

Source: 7 S&P 500 Stocks Reporting Earnings In January With Bullish Short Trends