Tesla cars are so fricken cool!!! Prices for the cult stock Tesla tanked again this week. Tesla this week reported a better than expected Q3 earnings report, so why did the stock tank? Essentially Tesla has become so hyped that anything better than perfect will cause turmoil for this stock. So much performance is expected form the company that to not perform to that expectation will effect the stock price. In this quarter Tesla outperformed their own goals of selling 5000 new model S cars, however investors were expecting no less than 5850 cars. Tesla delivered around 5500 new models. Now the problem is not that there is not demand for the car. Tesla actually can not keep up with their demand, and this is not their fault. Currently they are having shortage of batteries which is slowing down sales. Even though this set back is not Tesla's fault it still had a negative affect on stock price because of the unreasonable expectation set for the company. The result of this set back send stocks plunging yesterday dropping from $176 to $142 where it sits today. The fall was so rapid yesterday it triggered the exchanges short sale circuit breaker (this does not happen often). This breaker temporarily stops sales of borrowed shares. Analysts estimate the stocks actual value is somewhere around 141$. However with the amount of hype and attention the company is getting, this stock will likely still see a lot of dynamic change. Rising on minor achievements and crashing on small setbacks.
A fine run through the woods
Thailand: Uprooting Wall Street’s Proxy Regime
Unprecedented protests have taken to the streets in Bangkok, now for weeks, where at times,…
View Post
Master 1,775 S&P Level Tagged: Market Bounces Perfectly $$$
Last week closed on an interesting note on the financial markets: Hungary had a record-breaking sale of Treasury bills and then Standard and Poor’s downgraded Hungary’s credit rating.
In a peculiar move, Standard and Poor’s announced on Friday that it has lowered Hungary’s credit rating to two...
Remembering Nelson Mandela’s 1993 visit to Chicago:
“It was emotional for all of us. To be in the presence of someone so committed to a cause, you rarely meet people in your life like that.” Via Crain’s Chicago Business
BofAML: Buy Any Dip In Treasuries; Stock Bulls “Watch-Out”
View Post
Until recently, I have not used the term
Until recently, I have not used the term “stock market crash”. I do not take using this term lightly. It brings with it major repercussions. I am now breaking out this phrase because of the current state of the stock market. This stock market crash will occur within the next 6 months from today, October 24th, 2013. The markets will fall within a combined day/few days a total of at least 20%. Bookmark this article. Poor earnings continue to hammer individual names in almost all regions of the stock market. The U.S government continues to bicker over the debt ceiling and spending. The global picture is showing another real estate bubble in China and Europe is still an absolute mess, contrary to what the big players are saying to the public. All these negatives have meant nothing as the Federal Reserve continues to and will continue to print tens of billions of Dollars a month, inflating the stock market. Recently, word has now come out that the Federal Reserve feels like they have the power to print unlimited amounts of money. In other words, ‘whatever it takes’ to bring the dual mandate in line. A reckoning day will happen and for the first time in years I am seeing the epic signals clearly. I call this technical signal the Devil Tail Formation. It is something I have not seen in the charts since 2007. The likely scenario would be for it to happen in 2014 but there is a small chance it happens prior. The house of cards will unfortunately fall as the biggest bubble ever created crumbles. Let’s be clear about bubbles. They are all Federal Reserve induced. Every one in the history of the stock market has been a manipulation technique headed by the biggest bankers in the world. My other prediction for the future will be that at some point years out, there will be talk of bringing federal charges against the top Federal Reserve officials as the people demand it. I have said my piece. Have a wonderful and happy evening! Gareth Soloway InTheMoneyStocks.com