Musk: The Man and His Dream

The unveiling of the Tesla Model 3, marketed as an affordable electric car, initially seems to be a nightmare scenario for TSLA short sellers, of which they are plenty. 

An old-fashioned "sell the news" reaction to such seemingly positive events may be an obsolete concept in this day and age of Central Bankers allowing markets to bluff them off one poker hand after the next. But as I write this I see Tesla's stock is back below $240, a level of some significance as we can see on the updated daily chart, below. 

It is also worth noting that TSLA rallied more than 50% off the February lows, perhaps in anticipation of this event. In lieu of making sweeping declarations of Elon Musk being either the next Henry Ford or, alternatively, Preston Tucker, a better strategy here is to likely focus on the reaction of the stock by day's end, into the weekend. 

A close below $240 for TSLA puts a short-term sell-the-news play on the table.