Synonymous to the situation or objects "stinking." Generally a bad situation.
Your feet smell like "squid juice." Or, when the wrong food gets delivered when one is starving, one can say "oh, that's squid juice, alright."
When a combination of blood, semen and feces is pushed out of the anus after a large amount of rough first time anal sex.
"I didn't know it was his/her first time having anal sex, he/she sprayed squid juice all over me!"