Tesla's momentum from strong earnings is being overshadowed by significant institutional distribution, indicating that much of the stock's upside has already been priced in. This trend reflects a broader market sentiment marked by skepticism, as the S&P 500 experiences declines amid a backdrop of economic downturns and heightened sell-offs in major tech stocks. Investors are increasingly advised to trim long exposure in Tesla and other 'Magnificent 7' stocks, foreseeing further challenges without a shift in selling pressure.
“last week it had an RSI of 11.6. That is very, very low.”
“Microsoft is still experiencing a draw down of 23.7%.”
“42.3%. That's how much the stock has gone up over the past 3 years.”
“But year to date it's down 9.4%.”
“Amazon is down 5% as if they just reported earnings yesterday. What is that? It's messed up.”
“Molina Healthcare just dropped 30%.”
“However, it wasn't enough. The market sent the shares down 7% on the announcement.”
“another stock which was close to getting the nod was Duolingo down 78%.”
“So all-time high was $194 last June down around 82. So around 58% actually fell 15% in a single day on the 4th of Feb.”