Tesla Inc (TSLA)

It has stalled. When it reported a weak quarter last time, people concluded that Tesla is no longer a car company, but a tech one. It needs to demonstrate something different and new. If shares fall further, though, then buy.

Institutions are buying this and Palantir based on momentum--and are likely going higher--but investors shouldn't because they're ridiculously expensive on traditional metrics. This is only a buy, if you can sell them into strength.

Earnings decelerated the last couple of years and have no flattened, but will grow again, she expects by 7%. People are excited by this name for its robotics, AI and self-driving cars. It's not only a car company. She had sold in the $200s the January $400 strike price. Tesla has a beta of 2. Be cautious going into earnings on Jan. 23, because there's some hype in the $400s.  More normal would be the $300s.

Chart shows a nice rounded cup, and then went parabolic. A pullback would be the "handle" to the cup. Pullback might be to the top of the cup, ~$360. It probably won't drop that far, perhaps around $400. And then it will be on its way. Great-looking chart, probably lots of upside.

It;'s enjoyed a post-election run, but you can't justify its fundamentals, trading at record high earnings. Waymo is ahead of Tesla in self-driving cars. It comes down to believing in Elon Musk or not, and who knows what will happen in coming years? Take some profits.

Is there more upside after the post-election rally? Tesla has more self-driving data than Waymo, data that could work in Musk's favour with Trump. Shares are up 85% since the vote (86% this year). Given Musk's relationship with Trump, investors will ignore PE and pay anything for Tesla shares. Also, today, Tesla saw an analyst upgrade.

Their delivery of cars could be up as much as 30% next year but take everything with a grain of salt. The relationship of Musk supporting Trump is part of investors' decision making either way.

Huge base forming for over a year, and we've broken above that. Positive development. Now back to where we were in 2022. When it breaks out, tend to go with it as long as it's rising.

Record highs were in 2021. RSI is a very short-term indicator, comparing today's price to where it's been in the last 14 days; right now, pretty close to the top. Doing well again today, but how long can this be sustained? A very jumpy stock. Could suffer a pretty big pullback to the high $200 level very quickly, about a 20% drop. Support level at $280. Valuations are difficult. 

Be very careful. Don't place big bets, not a candidate for 10% or more of your portfolio. If you think it's going higher, you might consider buying some options, which would reduce your overall risk to some degree.

There are potential substantial tariffs on China under the new administration but he is not convinced they will carry through with them. Tariffs on China would not be good for Tesla because China would retaliate and a lot of Tesla's products are made there. Also every major car company has a slew of EV's so Tesla should trade closer to these companies, which are not great investments in themselves.

It's killing the short-sellers this week. There's probably too much euphoria here. The robotaxi is further there, not ready yet. Sell calls here, because the stock is toppy.

Thrilled with its performance lately (27.5% the past week), but it's run too far, so he will sell calls today.

Trump will reward Musk for his support, likely maybe allowing interstate self-driving cars.

After the monster move this week, you can put on a short-term hedge by selling a Nov. $280 calls and collect $12 for 3 weeks.