Jump to content

Tesla short vs long


tesla101

Recommended Posts

I notice on IG that 64% are short on Tesla.

As Tesla has been rising $100 over the last 15 trading days this to me does not make much sense.

Would not the shorts been stopped out long ago in this rise?

I have done very well out of this rise!!!!!

 

Thanks in advance

Bob

Link to comment

Sounds like CFDs would actually be better for retail clients, since most of them lose money they would benefit from the tax offset. 

CFDs are made to sound like a 'real' investment vehicle for professionals, while 'spread betting' for the little fish and the punters.  But in reality it's all the same.

  • Like 1
Link to comment

Apropos of stocks - if you're bullish, go for call options.  None of this fannying about with getting stopped out when 'news' is released of new share issues or new debt being issued by the company, which insiders knew of long before you and manipulated to their own advantage, and is manifested is crazy gapping spikes up and down before settling down again.

 

Link to comment
On 28/12/2019 at 22:54, tesla101 said:

I notice on IG that 64% are short on Tesla.

As Tesla has been rising $100 over the last 15 trading days this to me does not make much sense.

Would not the shorts been stopped out long ago in this rise?

I have done very well out of this rise!!!!!

 

Thanks in advance

Bob

An older article on this: 

Tesla share price zooms past US$420. More gains coming?

Tesla is now up at around $430.. will it reach the $500 mark??

The Favourable conditions section is the part I found most useful. 

Link to comment
32 minutes ago, TrendFollower said:

@CharlotteIG,

The problem with trading Tesla is that even though the fundamentals of the company may be getting stronger if there is a sell off in US equities as institutional investors and institutional funds take profits then Tesla will be caught in the sell off. 

This is why I think investing in Tesla for the long term is one thing but trading it on technicals is more difficult as even though one may be tempted to go long there could be a sell off or correction in US equities (indices) soon which could cause a large drop. I would be tempted to wait for the next big drop on Tesla before going long as I think the longer term trend manifestation will continue upwards with Tesla and there may be a better entry point ahead. Of course it could easily continue going up in which case the current entry point would have been attractive. These are the tricky decisions traders have to make and a lot will depend on their trading style and trading strategy. 

For me I am content with investing in Tesla rather than trying to trade it. 

Do you have a low price in mind or just waiting for the bearish movement then when it turns bullish, buy back in?

 

Link to comment
5 hours ago, CharlotteIG said:

Jeremy Naylor has also done a short video on TA for Tesla. Let me know what you think. 

It's okay, he didn't really talk about waiting for a dip and then buying back in.  You don't want to be basing your decisions purely off the daily chart either.  Start with weekly and home in.

I think SB on stocks is just plain dumb, if you think the value will increase buy a call option and you won't get stopped out by the 'crazy spikes' that suspiciously appear now and then, almost as if it is some sort of mechanism to shake out stale longs and force people to buy back in (hence generating more revenue for SB provider in the form of another juicy spread).

Edited by dmedin
  • Like 1
Link to comment
  • 2 weeks later...

I am glad to contact all of you. Could I ask u to teach me for selling CFD stocks as follows;

1.

Do I have to pay another extra charge to sell besides risk premium min. USD15.- each.

2.

Approximately how many percent % do I have to pay in case of overnight for next day. Your just riugh idea woukd be ok for my understanding.

 

Your kind information woukd be very helpful for me.

 

 

Link to comment
4 hours ago, Yoo said:

I am glad to contact all of you. Could I ask u to teach me for selling CFD stocks as follows;

1.

Do I have to pay another extra charge to sell besides risk premium min. USD15.- each.

2.

Approximately how many percent % do I have to pay in case of overnight for next day. Your just riugh idea woukd be ok for my understanding.

 

Your kind information woukd be very helpful for me.

 

 

The Tesla chart is looking good with a super candle yesterday. Note the Forward (Futures) options to trade if you are looking to hold for the longer tern and avoid paying any over night charges, may have missed the boat this time round though, may want to wait for the next dip.

image.thumb.png.6de1a5794ccf081327ab54b4f46c733c.png

  • Like 1
Link to comment

Quick read on what you need to know. In the news and analysis section of the platform but thought it would be good to post it here too: 

By Monte Safieddine

Stock market value tops that of GM and Ford combined

1578557237392.jpg

Tesla Overview

It’s been a volatile session (to say the least) for Tesla’s stock price, surging to fresh record high after fresh record high, and in the process taking its market capitalization to higher than that of car giants GM and Ford combined.

Although there are plenty of catalysts including a third-quarter profit that surprised analysts, its Chinese factory online and delivering to the world’s largest car market, and global deliveries that beat expectations, the justification of current price levels are startling analysts as the company struggles to turn a consistent profit, and where its deliveries dwarf that of the competition by a significant margin.

Tesla delivered over 367,000 vehicles for 2019 – about a third of that in the last quarter as deliveries picked up – but stands in significant contrast with GM and Ford’s deliveries at more than 2m each.

This is occurring at a time when car companies are struggling globally and car sales are dropping, and where established automakers attempt to shift to electric vehicles to diversify their lineup ahead of changing regulations.

And then there’s the tech factor, as it’s no surprise that tech stocks have been outperforming as of late and with the Nasdaq at fresh record highs buoyed by Tesla which amongst the tech index’s components was at the top of the performance chart yesterday. Viewing Tesla as a tech company instead of a car company has certainly aided the hype, even as the company struggles to consistently deliver when it comes to profit and cash flow, and where the orders consist largely of low profit margin Model 3’s instead of its Model S and X where the profit margins are significantly higher.

Tesla Technical analysis, overview, strategies, and levels

From a technical standpoint, all its main technical indicators are flashing green, with its price above all its main moving averages, a positive DMI (Directional Movement Index), and a trending ADX (Average Directional Index). And the same holds true when shifting to a longer-term weekly overview.

However, with the gains this sizeable and bullish movements occurring intraday as well, that translates into pivot points at greater risk of breaking than holding.

A volatile technical overview then that supersedes a bull trend, and in turn means breakout strategies on its main pivot points for limited profit-taking may be more conformist to its current technical overview than contrarian reversals that may be at risk of getting more easily stopped out, especially if the short squeeze continues.

1578554303428.jpg

IG client sentiment and Nasdaq short interest for Tesla

In terms of sentiment, retail traders are holding a bias opposite the recent bullish moves at a majority short 65% as per IG’s client sentiment.

And if other traders have been basing their positioning on analysts’ opinions, they are likely holding a bias closer to the middle given the contrasting opinions of where the stock price ought to go with nearly a third holding a buy view, a third holding a sell view, and a third on hold.

As for Nasdaq.com’s latest short interest figures, as of mid-December they have reduced it to levels unseen since February of last year, as during the bullish surge they upped their short positions from about 26m at the start of last year to a peak of 41m by the end of July before reducing it back down again as the pain of price increases forces shorts to unwind.

Link to comment
  • 2 weeks later...
Quote

Many of the complaints report sudden acceleration incidents when attempting to park vehicles in a garage or at a curb. Others claimed the sudden acceleration happened while in traffic or when using driver assistance systems and led to crashes.

 

In one complaint, a driver said a 2015 Tesla Model S 85D in California was closed and locked when he claimed “a few moments later the vehicle started accelerating forward towards the street and crashed into a parked car.”

A Tesla driver in Avondale, Pennsylvania, was pulling into a parking spot at an elementary school when the vehicle accelerated on its own, the complaint said adding: “It went over a curb and into a chain link fence.”

https://uk.reuters.com/article/uk-tesla-probe/u-s-will-look-at-sudden-acceleration-complaints-involving-500000-tesla-vehicles-idUKKBN1ZG1IW?il=0

Link to comment
  • 3 weeks later...

The very definition if a melt up.  Got a little more to go though if the 1H chart is anything to go by.  Need to see a NMD of a higher high.  Not something worth trading for me but interesting as it related to the over exuberance always seen at the end of a cycle.  When this one collapses that will be a signal...

TSLA-Quarterly.thumb.png.c5174217b059085885016c74718f1c0a.pngTSLA-1-hour.thumb.png.4cdb015941c3592437afd3d9740bd3ca.png

 

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • General Statistics

    • Total Topics
      20,083
    • Total Posts
      88,141
    • Total Members
      69,070
    • Most Online
      7,522
      10/06/21 11:53

    Newest Member
    GarethHG
    Joined 03/10/22 13:43
  • Posts

    • JPY Q4 2022 Fundamental Forecast: Japanese Yen Susceptible to Bank of Japan (BoJ) Policy The Japanese Yen may continue to underperform against its US counterpart as the Bank of Japan (BoJ) votes unanimously to maintain its easing program.   JPY Q4 2022 Technical Forecast: Yen at the Mercy of BoJ and FX Intervention as Fed Remains Hawkish Not much has changed from Q3 with the Japanese Yen extending its weakness against the U.S. dollar as the Bank of Japan (BoJ) continues its dovish stance on monetary policy to stimulate economic growth.    
    • AUD Q4 2022 Fundamental Forecast: Australian Dollar Outlook Sees the Fed Running Harder and Faster than the RBA The Australian Dollar appears vulnerable going into the end of the year with the rate paths of the RBA and the Federal Reserve set to diverge. Will monetary policy drive AUD/USD?   AUD Q4 2022 Technical Forecast: AUD/USD Falling Wedge and Inverse H&S in Focus Despite a strong start in July, the Australian Dollar fell against the US Dollar in August and September, extending the downward trend established in April when prices hit the highest level since June 2021 before selling off.  
    • GBP Q4 2022 Fundamental Forecast: A Whole Heap of Problems for the New Prime Minister The cost of covid, soaring energy prices, rampant inflation, insipid growth and the ongoing Brexit rancour are just some of the problems the new PM must solve quickly.   GBP Q4 2022 Technical Forecast: Still Bearish GBP Downside pressure remains, parity to the US Dollar still in play.  
×
×
  • Create New...