Last week I did a deep dive on Equinox Gold, when it closed at $10.40, and I said:
Target price $15, with $20 possible by the end of the year.
I’ve got buy orders in at $10, with stink bids at $8.50 in the event of a market collapse.
EQX.TO – Equinox Gold Corp. closed yesterday at $10.90, and traded as high as $11.50 during the week, so while that is great news, there was no opportunity to get any stink bids filled, so we’ll wait. I may ponder increasing my $10 bid slightly, but not yet; let’s see how the week goes.
Of equal interest is the bizarre price action in Tesla. The stock actually hit $547 this week. That’s amazing for a company that has never made a profit, and has no hope of ever making a profit, and only exists due to government subsidies, which other than in China are being reduced or eliminated.
I couldn’t help myself, so on January 14 I bought 3 contracts of the Fe $450 puts, for $14.60, and then sold them on January 16 for $22.70, for a profit of around $2,400. I realize that the fanboys may drive this fancy golf cart to $5,000 a share, so I’m not holding a short position for any length of time (I’ve been burned enough already), but when I see an RSI up in the 90 range I can’t help myself. Hopefully this gets it out of my system and I can ignore it going forward. If Tesla tests $550 again but can’t break through it I’ll buy more puts, because again, I just can’t help myself.
That’s the update. More next week.