So I'm currently actively shorting Tesla and I wanted to show you this because my short is not going exactly according to plan. Um, and I think what better time to show you a trade. not just when I'm green, but as of right now that I'm red, $4,000 is when I'm down. So far, uh, Tesla had a huge run up and I'm just going to share with you three reasons on why I opened this short position and you can let me know down in the comment section if you agree or disagree.

First, this is a day trade short position. I'm not going to carry this position overnight as again, I never like carrying positions overnight, especially with the risk of shorting something. Uh, First reason that I um opened a short position is: Tesla has been actively selling off from highs of 265. so its true market.

Direction has been bearish. Lower lows and lower highs been getting rejected by that EMA time and time again. When looking at this again, a little bit closer on the time frames, Could this thing begin to reverse and maybe work its way to the moving aage? Possibly right? Um. But that being said, it's been more bearish than it has been bullish for the past two and a half trading weeks, which is why it kind of sparked men interest when it began to Gap up The downside potential That it has the downside potential based off of current price levels, Um is around 4.2% which means that I could make roughly um I can make a a decent chunk of change.

I'd make around 20 to 25k. Uh, based off of my position size. Um, if my trade were to go according to plan when it comes down to shorting Tesla stock, the second reason is um, the why? Why is Tesla selling off? Um, not too sure if you guys have heard the news. Uh, but Elon pretty much has huge demands right now.

Elon Musk uh demanded that he gets at least 25% He currently owns about a 133% stake of Tesla He needs 25% of Tesla stake or and more voting rights or he will take his talents elsewhere. Pretty much when it comes down to the development of Robotics and AI which is artificial intelligence. So this is pretty much a demand or a threat that he's making for Tesla or two. Tesla Executives That, hey, give me more and give me more voting rights or I'm not going to continue to grow this company and at that point it kind of begins to get you to ask the question.

Well, does that mean that then Tesla is just going to become an EV company. It's still obviously the market leader when it comes out to EV vehicles, but if it doesn't have Elon does it still have that it? Factor This is where the fear and the selling pressure uh is coming from. It's a big demand uh, from Tesla or from Elon requesting it from Tesla and uh, in the simplest form when it comes down to the last reason. third reason is the risk to reward ratio.

Uh, this is something that we talk about in the Lpp lesson: Library What is my risk? So it's about 1% and what is my potential? Remember I'm shorting right? So I make money on the way down 4% potential versus 1% Uh, for potential risk. To me, those ratios are very favorable. You don't have to agree with me, right? We could all see value in different ways, but I just wanted to share with you my trade plan, my trade, my thought process behind it, the why behind it, and this is all before the trade actually comes into fruition. Uh, which as right now I'm down around three to $4,000 as it consolidates and shows signs of resistance.

If it does begin to sell off, I intend to add more to my short position. Making money as this thing sells off I can take profits again. My goal is to make 4% based off of this range, but even if it begins to show signs of a support at the moving average, I will take profits there. You know that I will never hesitate to lock in profits when in the green.

and if a potential reversal is beginning to form, this is a trade that I took live during my Lppp live trading session today and they got to see the good and they got to see the bad. And that is the beautiful thing about our live sessions is how valuable would it be for you? Someone that's wanting to get started and learning more about this to be able to watch that live every morning because that's exactly what we do. If you want to tune on in tomorrow for our live TR trading session, that's going to be that second link in the description down below. But overall NASDAQ is barely in the green.

It's bullish, but barely in the green and had a pretty decent rally. But now again, it is showing signs of some selling pressure. So we are approaching our previous resistance range of you know, around 410 411. So just making you aware of overbought and oversold levels NASDAQ Market is extremely overbought and it's not that it can't continue to.

Rally I'm just making you aware that if you do begin to see signs of a resistance, don't be surprised if we begin to pull on back. But again, I'll keep you guys up to date with this. my my Max laws I intend to be right around $7,000 is what I want to choose to tolerate and I'll keep you guys up to date on Instagram and if you don't follow me on already, it's the third link in the description down below. When it comes down to adding more to my position Andor Managing my risk the live update are within our trade ideas for our Lpp.

Discord if you want to learn more about that again, The second link in the description down below. And don't forget to enter our Tesla giveaway. It ends in just 5 days for your chance to win a Tesla Model 3 long range and that's the fourth Link in the description down below. That's actually quite funny I Just realized that I'm shorting Tesla but I'm also giving one away.

So I guess we'll we'll We'll see if I can pay for the Tesla with this short position. So I'll keep you guys up today. Appreciate your time, Hope that! Thumbs up! Don't forget to subscribe like always. Let's make sure that we end the year on a Green Out Take Care team.

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