Let's review the charts and indicators.
I cannot invest in the name. Now, trading is different. If one were to try a swing trade or speculate, I am not getting in the way.
Momentum and trend are key with this type of stock, so it is essential we see that continue.
While I like getting involved in volatility, I don't see any edge here, only the potential to see things go ... rolling down hill.
Stocks are reasonable. Or even cheap. There will be more sell-offs ahead but remember this day and do not get too negative.
Stick to themes like biotechnology, SPACs, EV batteries, and others.
While implied volatility looks like a bumpy ride ahead for LI, here's how I would approach this new Chinese name in the electric vehicle industry.
A new report, plus some odd Twitter behavior by the electric vehicle company's CEO, would have me backing away from the both auto names for now.
This Nikola tie-up could signal the start of a renaissance for GM.
Whether or not TSLA is the key to this market, I see a tug-of-war in the company's shares that can be used to your advantage with this technique.