Shoulder 'dislocations' are a classic stretch to help with shoulder inflexibility for squatting - In fact of course the idea isn't to dislocate your shoulder but to stretch so Galt's descriprion of going gradually back is the right thought.
I find the best thing is to start with a very wide grip as then you can go all the way back and then bring at back forwards - Do this a few times and then take a slightly narrower grip and repeat adn keep narrowing gradually until you find the point where you can't get all the way back round - Then hold it at the stick point to stretch.
I'd also advise pec stretches too - ie in the doorway stretch, arm on the wall stretch etc
That reminds me - I should be doing these now my shoulder's almost back to normal
Mind you I don't seem to have too much problems with shoulders on the squat - It's my wrists that hurt
