Tesla Motors, Inc. (TSLA) Beatdown Brings in Bears

Short-term traders are rushing Tesla Motors Inc (TSLA)

Digital Content Group
Mar 2, 2015 at 12:16 PM
facebook twitter linkedin


Tesla Motors Inc (NASDAQ:TSLA) is getting hammered this afternoon -- down 2.8% at $197.62 -- bucking the broad-market trend higher. In the stock's options pits, puts outweigh calls by a healthy margin, and are running at a 57% premium to their typical intraday rate.

TSLA's weekly 3/6 series is garnering notable attention, with each of the automaker's 10 most active options expiring at this Friday's close. Bears are honing in on the weekly 3/6 200-, 195-, and 190-strike puts, as they roll the dice on continued downside through week's end.

Taking a step back, it's been a rough few months for TSLA. The shares have dropped roughly 11% in 2015, and have stair-stepped their way lower since topping out at $291.42 in early September.

As such, put buyers have been active at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) in recent months. Tesla Motors Inc's (NASDAQ:TSLA) 50-day put/call volume ratio of 1.05 outranks 82% of comparable readings from the previous year.

Daily Chart of TSLA since September 2014

 

Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 

 


 


 
Special Offers from Schaeffer's Trading Partners