
Appearance
Cap: 3-11 cm; convex, becoming broadly convex or broadly bell-shaped; usually sticky; whitish underneath conspicuous tawny scales.Gills: Attached to the stem or beginning to run down it; close or crowded; whitish, becoming rusty brown; at first covered by a partial veil.
Stem: 4-10 cm long; up to 1.5 cm thick; dry; with an ephemeral ring or ring zone; whitish, sometimes becoming reddish brown near the base; covered with conspicuous tawny scales.
Flesh: Whitish.
Odor and Taste: Odor not distinctive or somewhat fragrant; taste not distinctive.
Chemical Reactions: KOH negative on cap surface.
Spore Print: Cinnamon brown.

Habitat
Saprobic and possibly parasitic; growing in clusters (rarely alone or scattered) on the wood of hardwoods.References:
Some text fragments are auto parsed from Wikipedia.
http://www.mushroomexpert.com/pholiota_squarrosoides.html