TSLA Investor Discussions

[Iamthecaliflower]

I remember someone mentioning to me that covering of shorts causes momentary selling pressure, resulting in this type of thing. Is that true?

 

[ckessel]

For all of califlower's emotional response, I am curious what's prompted the giant drop today. The market is down, but nothing like TSLA and this is a big variation even for TSLA.

 

[gg_got_a_tesla]

Just paid $29.82 for some.

Some here at $29.81

 

[dmckinstry]

Well, the good news is for my local investment club. They had a buy order at $30.02. They got it today.

I think the drop is a general process of people panicking. An overreaction to the general drop in the market.

 

[Iamthecaliflower]

For what it's worth, it did find resistance at it's final resistance point, implying technical traders are sweeping in now. However, this type of volatility is not normal - even for Tesla.

Stocks, TSLA, TESLA MOTORS, pivot point, NASDAQ Stock Exchange, TSLA stock, TSLA shares, support, resistance

 

[Citizen-T]

I remember someone mentioning to me that covering of shorts causes momentary selling pressure, resulting in this type of thing. Is that true?

You've got it backwards. Short covering causes a short term rise in price because in order to cover a short the individual needs to buy shares. This is not what caused this to happen, but will contribute to pulling us out of the nose dive.

 

[onlinespending]

My bum the market is falling. Tesla hasn't fallen 5-6% on no news with this type of volume since the 2 execs left. What gives? Earnings is tomorrow, and the RAV 4 unveil was yesterday. I don't think it's a coincidence this is happening today. What happened?

No news? The news is that they're releasing earnings tomorrow. That's all the news you need. As a company gets closer to its earnings announcement, especially one that is already heavily shorted and volatile, uncertainty creeps in and volatility of the stock only increases further. The fact is, there's a lot of uncertainty heading into this call so it's not surprising that you'd see both sides (shorts and longs) close their positions so as to not take on the risk of how the stock will move after earnings. Today it appears it's the longs that are risk-off. Could easily change tomorrow before market close, when they announce.

 

[ggr]

Apple being down 13-14% is normal trading. It's simply touching its prior low before rocketing to new highs. Normal volume on Normal movement. This movement is not normal. What was announced or is going to be announced after the close that would prompt this nonsense?

There's a speculator saying: "Buy on the rumor, sell on the news". I think SOME of the movement is that the people who were waiting for the RAV4 news to take their profit have now done so. Some people (even here, including me) take the RAV4 press release as a disappointment: it's pretty clearly a limited production "compliance car", whereas we were hoping for something that would energize the world from the company that brought us the Prius. And lastly, the market as a whole, and the fact that a volatile stock amplifies the overall market's movement.

So, I've tried to give you a reasoned response to your question. These are hard lessons to learn. The main lesson is, keep cool.

 

[ggr]

I don't think Greece has anything to do with this. Elon Musk, Defend your company!!!! You better give us some good news, otherwise I'm selling 100% Thursday morning. I'm sick and tired of this waiting game!!!! Still sticking to this 200dma nonsense. Why did it pick today of all days to complete reverse? I am seriously crying!!!!

So you're going to lock in your loss? This is not a winning strategy... it's an emotional reaction. I can pretty much predict that you'll regret it.

 

[bonnie]

Just put in a new buy order, just under $30. I think I'm done now.

 

[rolosrevenge]

I hope it keeps falling. I can already buy back in more shares than I sold but I would like to do even better. Peterson bring out more FUD!

 

[Fr23shjive]

haha. Monthly meltdowns by Cali are always entertaining.

 

[Iamthecaliflower]

I hate you guys :cursing:

http://www.youtube.com/watch?v=u9u_u7sz4to&noredirect=1

 

[JRP3]

I don't think Greece has anything to do with this. Elon Musk, Defend your company!!!! You better give us some good news, otherwise I'm selling 100% Thursday morning. I'm sick and tired of this waiting game!!!!

Smartest thing you've ever posted. Sell all your shares and get out, you have no business investing in the stock market at all. I'm not sure you're even stable enough to walk around in public on your own.

 

[Iamthecaliflower]

If you knew what I was dealing with at the moment, you wouldn't be saying that :cursing:
And no, I'm not talking about the stock. That's just icing on the cake.

 

[BYT_P1837]

With all due respect (everyone says that before saying something insulting) but if the market can rattle you that much, then maybe investing in stocks isn't for you? You have to take the emotions out if it or else it will rule you. You will never be in control of your money if it's controlling you. Market fluctuations are a part of the game and YES, the stock market is a nasty game and a heartless bitch. If you can't work with her, she will own you. Now, I from what I read about what Toyota released, frankly, I took it as bad news, yes, I said it, BAD NEWS!

Here is why: The Rav4 is too expensive ($50k before tax breaks, like others I was thinking $40k before tax breaks was more in line) for what it is, a 100 mile range pure electric with OK performance and not what you come to expect from a Tesla Powertrain (but not Tesla's fault). And then compound that with the fact that they announced they will only produce 2,600 over the next 3 years and will only sell it in 4 California markets. It's pretty awful to put it mildly.

Then don't forget, Tesla Motors has a lot of people who want to see it fail and put money behind shorting it. If you are Long on Tesla then stop watching it everyday unless you are looking to add to your position. Otherwise, if you can't take the heat, stay out of the kitchen!

 

[Iamthecaliflower]

I'm forced to disagree. Also, for me to sell any position at this moment would be stupid. It is $1 from it's absolute (The execs are leaving and the company is falling apart bottom). I bought @ 34. I'm not selling until after earnings , at the very least. This is still pissing me off. We lost 28% from the top for absolutely no reason.

 

[Citizen-T]

Or, perhaps we got to $39 for absolutely no reason, and the price is just returning to a more reasonable level.

Actually, I think we have probably overshot the reasonable level now and are too low. I don't pretend to know for sure, but that's what it looks like from my perspective. This is why I sold at $39 and why I'm buying now.

 

[BYT_P1837]

I'm forced to disagree. Also, for me to sell any position at this moment would be stupid. It is $1 from it's absolute (The execs are leaving and the company is falling apart bottom). I bought @ 34. I'm not selling until after earnings , at the very least. This is still pissing me off. We lost 28% from the top for absolutely no reason.

Well, your going to stress yourself out and get sick if you don't learn to reel back those emotions. Just trying to look out for your long term well being...

 

[Norbert]

I suppose the financial numbers from Tesla, by themselves, might not look very good on paper this quarter since there probably have been larger investments for the upcoming Model S production, and fewer Roadster/powertrain sales, than usual. Which would be as expected, but the market often responds to such short-term changes nevertheless.