by Gavin M.
We all learned pretty quickly last week that the Cult of Tesla is a strong one. Each time the chart looks like it's weakening, buyers stepped in with the help of institutions upgrading or reaffirming their price targets. It is amazing really the non-stop onslaught of bulls against the bears in TSLA. So what do you do when you are bearish on this stock? Well, you go find something else to short. At this point it looks to retest ATHs based on nothing but pure faith. You do not even want to look at the fundamentals on this stock because it has a huge debt load. Underneath it all, it is also surviving on a huge government subsidy. Much of Tesla's current price is based on the future success of a more affordable Model S whereby the middle class can afford it. I want to be pragmatic on Tesla and not make any predictions on their future products. But for now, price wants higher and you either go Long or go home.
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by Gavin M.
I know I can be harsh on Twitter but it isn't directed to anyone in particular. If you lost money on Lumber Liquidators or Blackberry or Netflix this week - perhaps it isn't the market, it's really YOU? A trade is only good as far as the trend agrees to sustain the ongoing thesis. Once that thesis is done, kaput, you are on your own. Approach your losses positively. This can sound a little weird but it is true. By being proactive in analyzing your losing trades, you can figure out what truly went wrong or better yet, what you may have missed. Time and time again I always say that losses are inherent in trading. Failure to accept this leads to further demise in your trading endeavors. You can improve by learning how to better trade. I am not saying learn from us but use whatever resources your have at your disposal to learn how to better read the markets. We do have a summer sale ongoing right now. Remember, failing to prepare is just the same as preparing to fail. |
Multiple AuthorsTraders from Equity Sense will be writing on this blog on positions and other market-related things. Archives
May 2018
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