If you want to short TSLA you'd have to hold that position long enough for the market to realize that you're right... that may take a long time, and you may not make it.
If you want to short TSLA you'd have to hold that position long enough for the market to realize that you're right... that may take a long time, and you may not make it.
Sounds like a Ponzi scheme.
So do Ponzi-scheme victims.
Shorting a ponzi scheme in general isn't simply a bet that you have correctly identified that the scheme exists. It is a bet on /when/ the scheme will collapse.
Dotcom boom 1.0 was called a bubble (different name, same smell) by plenty of people who did their shirts on it. They were right. The valuations of all those dotcoms were ridiculous. I'm not sure many of those stocks are still around. Altavista, yahoo, bajizoobmalimba.com, walkyourdog.com etc etc.
Going long you can easily play the long game. "I'm not vindicated yet, but this is good, I can wait."
Going short is not a symmetric position the other way.
By your logic, does that mean that a company can do anything crazy and insane - and it makes no sense to buy puts against TSLA...ever?
> So then, what is a signal to go short on TSLA?
> By your logic, does that mean that a company can do anything crazy and insane - and it makes no sense to buy puts against TSLA...ever?
I'm really just talking about individual investors here. If you're someone with a day job and a small pot of cash who wants to make money playing games with TSLA, you're going to have a bad day.