I watched with fun and delight the price action yesterday. No, I am not a bear quite the opposite but what I have seen is a confirmation to me in a positive change of sentiment where attempts to create fear to press the SP down is loosing its appeal.
The
consolidation we experience on the current levels are extremely healthy for a next move near to ATH or above. There may be likely not even a compelling reason for it as long as the down risk does diminish or is at least reduced.
Its also fun because it's so darn obvious how they manipulate to get stay right below $900 with their yesterday attempt and I predict they will try the same today as today counts for them. For me it does not at all therefore my day is quite relaxed. If they achieve their goal today I expect an even stronger counter move Monday.
In the last about 7 weeks depending how you count we have seen $100 step moves including short consolidation at the week end and I really love that. Its much better than every short squeeze scenario I can imagine. Who likes it to shoot up above $1k just to fall down heavily again? Its not me.
The peak we have seen at $969 was manipulated down successfully only to be nullified in the time after. Thats a strong sign of strength on a very high level. I have no doubts that $969 will be tested soon again and may even break but I could imagine that $1,000 will be an emotional resistance for many to buy in and a level others will sell simply because its just a very round number. Stupid but thats how investors work.
My last buy has been at $192 kind of 8 months ago but who cares - it does not matter. What matters is where the true value of the stock is versus how Wall Street does value it today.
The true step change is still in front of us with a NPS gain in the Trillions. Everything between we see today is nice to have but is just because of Tesla valued as an auto manufacturers but in a few years time people will see it as a service provider.
Sounds crazy and unrealistic?
Maybe but read this:
Autonomous Ridehailing Could Be More Profitable Than We Had Modeled