• 4 minutes Projection Of Experts: Oil Prices Expected To Stay Anchored Around $65-70 Through 2023
  • 7 minutes Oil prices forecast
  • 11 minutes Algorithms Taking Over Oil Fields
  • 14 mintues NIGERIAN CRUDE OIL
  • 13 mins Socialists want to exorcise the O&G demon by 2030
  • 2 hours UK, Stay in EU, Says Tusk
  • 15 hours How Is Greenland Dealing With Climate Change?
  • 2 hours German Carmakers Warning: Hard Brexit Would Be "Fatal"
  • 9 hours Venezuela continues to sink in misery
  • 21 hours BofA Sees Oil at $35-70
  • 23 hours China Car Sales Plummet: Can Musk Unshovel His Groundbreaking?
  • 18 hours Regular Gas dropped to $2.21 per gallon today
  • 1 day How Much Oil Does Aramco Have?
  • 18 hours "Peace Agreement" Russia vs Japan: Control Over Islands Not Up For Discussion
  • 4 hours Orphan Wells
  • 18 hours WSJ: Gun Ownership on Rise in Europe After Terror Attacks, Sexual Assaults
  • 5 hours Solid-State Batteries

Logical And Illogical Reasons To Short Tesla

Elon

For me, shorting Tesla (TSLA) is like crack or heroin for some people…I know it is dangerous and I really shouldn’t do it, but at times the urge overtakes me and I lose all power of resistance. I rationalize it by telling myself that this will be the last time, and that it won’t be for long. This is one of those times.

(Click to enlarge)

Firstly, just look at that chart! If that pattern of roaring up, dropping and then stalling when trying to resume the upward move doesn’t scream “sell me!” to you, then you aren’t listening. Appealing as that visual is though, it was just confirmation for me that now was a good time to indulge myself. The real reasons lie in something probably not all that familiar to addicts of other kinds, logic.

First and foremost, there is the belief that stocks in general look vulnerable. The good economic news and strong earnings season are now fully priced in, and what is left is a lot of fear about an unstable geopolitical situation and confusion about the possible political implications of a Republican President who now looks more at home with Democratic leaders than he ever has with those in his own party. I don’t have a crystal ball, so cannot accurately say what will cause a nervous drop, but from a fully valued position that looks more likely than another surge, especially to those who are following the drop in both Treasury yields and the dollar.

(Click to…

To read the full article

Please sign up and become a premium OilPrice.com member to gain access to read the full article.

RegisterLogin



Oilprice - The No. 1 Source for Oil & Energy News