
$Tesla(TSLA.US)
If the market expects a big rally on the 22nd, now might be a good time to buy calls. Those who want to play it safe can buy calls this week and sell them before the 20th to profit from expectations. Because people tend to feel the happiest when they are infinitely close to happiness.
You can also profit from the positive news after the announcement, but it's hard to say whether the market will rise or fall after the announcement. However, I still believe it will rise.
Before the announcement, there's a 70% chance of a rise because Elon Musk's promises have almost always been fulfilled, so people trust him a lot. The more people believe, the higher the expectations will be before the announcement. Profiting from expectations is more stable than profiting after the announcement.
If expectations are too high and the market reaction doesn't meet them after the announcement, there could be a big drop. Since expectations are already high, it's better to take profits first and then observe market trends. Otherwise, profits could quickly retract. This doesn't mean liquidating all positions but reducing exposure and observing.
Personal opinion, not investment advice.
The copyright of this article belongs to the original author/organization.
The views expressed herein are solely those of the author and do not reflect the stance of the platform. The content is intended for investment reference purposes only and shall not be considered as investment advice. Please contact us if you have any questions or suggestions regarding the content services provided by the platform.
