Busy day, so just a quick update:
The downtrend in Tesla continues.
I know they raised more capital, and I know they say they will have a million robo-taxis in operation in a year (despite the fact that they don’t have the cars, and have not yet found a city to allow them to test the concept) but charts don’t lie. The downtrend since the beginning of December continues uninterrupted. We could see a pop back up to $260, perhaps even $270, but then it’s a break of $230, then a break of $200, and then the game is over.
I’m holding puts (but only a very small amount, because this is gambling, not investing).
Now, a new stock to watch, one that I have never mentioned before on this blog.
Tyson Foods Inc.
What? Tyson foods? What does that have to do with gold, or Tesla, or anything?
This is a story that is massive, and yet is not being reported generally in the news.
An African Swine Fever outbreak is expected to cut China’s pig meat output by at least 10 percent in 2019, and it is highly likely that the damage is far worse than reported. I’ve heard reports that they have already slaughtered more pigs in China than are alive in the United States. That’s massive, because pork is a basic food staple in China.
As a result, pig prices are soaring, so pork producers, like Tyson, can sell their product for a lot more than last year, which is why Tyson was $50 at Christmas and is almost $80 today.
NOTE: The RSI is 84, so it would appear that this stock is very over bought, so I am not buying, and I don’t own any Tyson or any other pork producer. This is not investment advice, it’s just a comment on what’s happening in the world now.
It bears watching, because this is likely to take many years to solve this problem, so pork prices will remain high, and that will also increase the price of substitutes, like chicken. I have not compiled a list of other pork producers that may benefit, but I’m working on it, and watching.
That’s the update; more next week.
No positive progress on Tesla, and a new stock to watch
by JDH on May 11, 2019
Busy day, so just a quick update:
The downtrend in Tesla continues.
I know they raised more capital, and I know they say they will have a million robo-taxis in operation in a year (despite the fact that they don’t have the cars, and have not yet found a city to allow them to test the concept) but charts don’t lie. The downtrend since the beginning of December continues uninterrupted. We could see a pop back up to $260, perhaps even $270, but then it’s a break of $230, then a break of $200, and then the game is over.
I’m holding puts (but only a very small amount, because this is gambling, not investing).
Now, a new stock to watch, one that I have never mentioned before on this blog.
Tyson Foods Inc.
What? Tyson foods? What does that have to do with gold, or Tesla, or anything?
This is a story that is massive, and yet is not being reported generally in the news.
An African Swine Fever outbreak is expected to cut China’s pig meat output by at least 10 percent in 2019, and it is highly likely that the damage is far worse than reported. I’ve heard reports that they have already slaughtered more pigs in China than are alive in the United States. That’s massive, because pork is a basic food staple in China.
As a result, pig prices are soaring, so pork producers, like Tyson, can sell their product for a lot more than last year, which is why Tyson was $50 at Christmas and is almost $80 today.
NOTE: The RSI is 84, so it would appear that this stock is very over bought, so I am not buying, and I don’t own any Tyson or any other pork producer. This is not investment advice, it’s just a comment on what’s happening in the world now.
It bears watching, because this is likely to take many years to solve this problem, so pork prices will remain high, and that will also increase the price of substitutes, like chicken. I have not compiled a list of other pork producers that may benefit, but I’m working on it, and watching.
That’s the update; more next week.