Well, with TSLA, I have a history of missing the last 4 dollars of a runup to peak. If you check this thread. I already said I reduced to 20% (of the total amount of $$$ I assigned for TSLA trades) weighting when it was at $29.
Originally Posted by gibor
I am only holding 20% of the entire allocation to this stock because I don't believe it should move anywhere above targeted $39 before model S ships. I am holding 20% in case I am wrong and it runs up to a proper valuation. What is a proper valuation for it? I just look at the traditional boutique auto shops with the smallest market cap as a safe estimate.
In any case, this is the second time that I have done the same swing trade. From ~24 to 30 is the range I target currently. The second time I got lucky so I exited early because the market went full retard on news of two irrelevant executive leaving.
If Tsla breaks all time high, then I will have to think about how to readjust. Depending on whether or not the break is due to a gap, or high volume run up. Or a news event.
The money is already made and I already have a good position. The cash... well, it's there awaiting the next play.
Last edited by Causalien; 2012-02-19 at 12:33 AM.