The Similarities Between Tesla and the Man Behind the Smoke and Mirrors It looks like Tesla traders still believe the man behind the smoke and mirrors. With over 31% of shares sitting on the short side the “big squeeze” continues to play out. I will give credit to traders that being of right mind and not believing that Tesla is fairly valued at $167. However, having a short position liquidated by your clearing firm is reminiscent of trying to support a sinking ship with a pail after the abandon ship has been declared. It can be very hazardous to the health of your P&L. As I have discussed previously, even with hedged trades positions can and will turn negative when the underlying moves faster than the ability to get out of positions. So being long or short premium is not the road to riches. Tesla Motors being up for much of today’s session garners in my mind the Biggest Looser award. My sympathy goes out to those who may have had no choice in covering a short
http://www.indicatorwarehouse.com/96264/pay-no-attention-to-the-man-behind-the-smoke-and-mirrors/
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