Hot Undervalued Companies For 2014
Tesla Motors Inc (NASDAQ: TSLA) is dropping fast. This is a direct result of window dressing at the end of the third quarter pushing the stock up far too high and far too fast. I wrote an article a few days ago explaining this very thing and why TSLA was jumping higher and also why you should expect a collapse after the start of the new quarter.
The bottom line is this simple fact. Fund managers buy the best stocks at the end of the quarter so they can fool their investors into thinking they owned them all quarter. This causes a big pop in stocks like Tesla and other best performers. The issue comes into play with this is excessive buying which will cease at the onset of the new quarter. When that new quarter starts, the stock has no more bidders and will fall quickly. This can be seen today on Tesla. The stock is trading at $185.65, -7.35 (-3.81%).
Use this to your advantage in the future. Short the biggest movers at the start of the new quarter. Look for a solid pull back and profit.
Gareth Soloway
InTheMoneystocks.com
The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.
inthemoneystocks The Leader In Market Technical Guidance www.InTheMoneyStocks.com Follow our Pro Traders Rant & Rave Blog and look over the shoulder of real pro traders! https://www.inthemoneystocks.com/n_rant_and_rave_blog.phpPosted-In: Markets Tech Trading Ideas
Around the Web, We're Loving... Petition urges Wal-Mart, McDonald's to pay more Obama's Syria Waffle Huge Blow to US Credibility in Mideast Microsoft Buys Nokia Phone Unit for $7.2B - And CEO? What Should You Know About AMZN? Most Popular Leaked iPad 5 Video Draws 450,000 Viewers (AAPL) Carl Icahn's Top Six Positions Four Apple Headlines From Monday You Might Have Missed (AAPL) Rockwell Medical Says Phase 3 CRUISE Data Accepted as Late-Breaking Trial Abstract Weatherford, Copart And Others Insiders Have Been Buying (AYR, CPRT, OPK, WFT) Windows Phone Sales Near Double Digits In Key European Markets (MSFT) Related Articles (TSLA) Five-Star Safety For Tesla Shareholders Tesla Motors Inc Tanks As Window Dressing Over Market Wrap For October 2: Dollar Moves As Shutdown Continues Mid-Afternoon Market Update: Tesla Drops on Baird Downgrade and YouTube Video Tesla Shares Slipping on Baird Downgrade Benzinga's Top Downgrades View the discussion thread. Partner Network #marketfy-ae-block { display: none; border: 2px solid #0a3f75; overflow: hidden; width: 300px; height: 125px; text-align: center; background-color: #45719E; position: relative; z-index: 1; } #marketfy-ae-block a { display: block; width: 300px; height: 125px; position: relative; z-index: 2; color: #ffffff; text-decoration: none; } #marketfy-ae-block-countdown-text { color: #f9fc99; padding: 0px 0 0 0; font-size: 19px; font-weight: bold; line-height: 19px; } #marketfy-ae-block-countdown-text-start { fon
No comments:
Post a Comment