Tesla could see a 23% (Facebook Style Dump) after hours tomorrow.

Tesla, the highly-volatile stock trade where no one can make up their minds whether to short it, or go long. Even high profile shorters coming out today switching their positions. The buzz today being about how the model 3 is having huge sales and that Tesla will be profitable. Here's my response: Who the F cares? Tesla has a billion dollars in debit coming due in March, 250 Million coming due in November, 10 billion in total debit, only two or three quarters in history of profitability, Elon Musk can possibly get margined called if the stock falls below $240, you have rising interest rates (good luck selling cars), a strengthening dollar, an accelerating poor auto market, rising material and labor costs, a crash going on in China, huge competition in Europe, trade-war, and ultimately as a result of the aforementioned - the high likely-hood of a stock dilution to make debit payments and other commitments. The writing is on the wall. Elon is so afraid of the stock going lower that he moved the earnings call up a week knowing he would create a short squeeze. He is so afraid of the stock going lower that he flat out lied and claimed that he secured funding for $420 per share. The fact that he called earnings a week early is actually a HUGE sign of weakness, because if he was confident with his cash position he would have just waited. This is a rolling bear market and Tesla's weakness will be further exposed. Look out for a 23% crash tomorrow after hours.

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Edit: Additionally, Andrew Left of Citron Research could of had two motives for coming onto television today to reveal his change in position against Tesla. 1.) Being that he saw a potential for a short squeeze and; 2.) (More importantly) Revealing that he 'Switched" positions to long from short thinking it would give his lawsuit against Musk and Tesla for damages more merit because even though Tesla rallied after the infamous $420 tweet it ultimately sold off lower, and if you were a short seller for such a long time of Tesla then net-effectively you would not have been damaged after 3 weeks had you stayed the course. However, now Andrew can claim that if his tweet was never issued that he would have soon changed his position. Very strategic, manipulative, and ultimately completely full of BS, and the market ate it up and drank the Kool-aid. I'd really like to see if Andrew was still actually long after todays 12% move. I highly doubt it.

Submitted October 24, 2018 at 12:41AM by largenutz https://ift.tt/2R7nGS3