Thinking the bulls are going FSD mode in Tesla ($TSLA) tomorrow? Watch this video before you buy. (July 26, 2021)
TSLA
I want to talk about Tesla ( NASDAQ: TSLA ), why? Well, because everybody else is. They reported numbers, traders liked them, kind of. Do I know what they were? No, in this case, all I care about is what the stock is doing. I will let other people tell you whether they are good numbers, bad numbers, this or that or the other thing. All I care about is what the traders, the people that are actually throwing their money around think about the numbers and think about the future prospects of the stock.
This is why I am going into this, because I have seen this happen before, in this stock as well as several others. The company reports earnings and the stock pops, pre-market, post-market, whatever, it pops. And then traders get all lathered up because they want to get in on the stock. They want to get in on the good news before everybody else does. What they are not realizing is, this is not like the days of delayed quotes on your software on CNBC.
Everybody knows exactly what the price is now. There is no getting in on the action before somebody else. How many people can trade after hours? Well, pretty much anybody with a trading account. How many people can trade before the open tomorrow? Pretty much anybody with a trading account. So you can look and see about when the stock started to get jumpy here, right about there. And since that time the stock has basically just drifted sideways.
And so as I look at this the earnings are kind of a nothing event for the stock. There was this volatility squeeze back here. The stock broke out and pulled back. Ever since that time, you see this is a box that is designed to encompass only the prices within the box. Watch what happens to the bottom of the box when I pull it over one more, see how it shrinks? So now we are back there. And then as I pull this all of the way over nothing changes. So this stock is still in the same box that it was a month ago.
And so the only time I would be interested, and even then this would be just kind of remotely interested, the only time I would be interested in buying this stock is if it breaks out above 700.00. Because if it breaks out above 700.00 then this could be a nice run-up to 800.00. That’s the way I see it. But for now, this is one of those where you just look at it and go, well that’s interesting but I don’t think I am going to trade it.
Now Roku ( NASDAQ: ROKU ) is a different story. I have talked about that recently a few different times here on the Free Chart stuff. I still like that stock a lot, I’m not going to go into detail here because this is Tesla ( NASDAQ: TSLA ) not Roku ( NASDAQ: ROKU ).
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