Just wanted to keep people up to date with my TSLA thoughts. I just posted this this morning,
DaveT on Chatstarter: "Has Andrew Left just started a mass exodus of..." .
Has Andrew Left just started a mass exodus of TSLA shorts?
https://citronresearch.com/wp-conte...opinion-on-Tesla-too-compelling-to-ignore.pdf
Here’s the thing about Citron and Andrew Left. This is one of the biggest defections we have ever had in the TSLA short world. He’s not just a TSLA short who’s become a TSLA long. Rather, he’s an ideological TSLA short with a large following who’s become a TSLA long. This is important to note, because it is exactly this kind of defection that is needed to mental the shorts. In a way, one of their leaders need to jump ship to the other side in order for the others to do the same.
In war language, this is one of the top generals of the enemy who didn’t decide to commit suicide, but rather he decided to join the other side because he says the other side is going to win and it’s obvious.
This could be the catalyst that TSLA needs to really lift off out of the 250-380 range it’s been stuck in for years.
TSLA needs to have a shift in momentum and investor sentiment, and Andrew Left of Citron has provided what could be that pivotal moment.
Now I know there are some people who don’t think the world of Andrew Left. He’s been an ardent TSLA bear and short for many years. And there are many TSLA bulls who cringe just at the thought of his name or Citron. Some of the fear and FUD that he and others spread about TSLA were exaggerated and turned out to be largely untrue. Thus, I’m not going to defend Andrew Left’s past. But, in the larger scheme of things, if TSLA is going to have the “short burn” that many TSLA bulls have been waiting for, there needs to be a covering of the shorts.
That “short covering” has been eluding TSLA investors for years. And even with reaching 5000 Model 3s a week, Tesla was stuck in the 250s.
In recent weeks, TSLA shorts have been spreading a narrative that Q3 and Q4 results will be one-off good results but after that demand will crash and Tesla will be in trouble.
What Andrew Left’s report does is it brings doubt to shorts regarding their own narrative. Andrew Left’s position is that Q3 and Q4 is actually a start of many good quarters to come, and also of the beginning of a huge run in the stock price.
Shorts can counter and claim that Andrew Left is spreading FUD against the shorts and just wants to ride a pump and dump. Regardless, the shorts have seen one of their ideological leaders not only jump ship but join the other side, and this has the potential to start a mass exodus of TSLA shorts to join him.
Tomorrow Tesla reports Q3 earnings and has given people less than 48 hours notice. I think this has given less time for market makers to sell calls/puts for earnings, thus there will be less price manipulation with earnings price action.
Good luck to all TSLA longs.