Left-side trading refers to entering the market early, predicting changes before a trend is confirmed. Right-side trading, on the other hand, waits for the trend to be confirmed before making a move.
This phenomenon often occurs in the stock market.
For example, $Tesla Motors(TSLA)$ recently dropped to $217, with public sentiment claiming it was worthless and everyone waiting for it to go below $200. However, two days ago, Tesla rebounded to $270, and people started buying again.
This situation is driven by the characteristics of left-side and right-side trading.
Left-side traders possess the contrarian ability to buy the dip before a trend is established. However, many people, especially beginners, are unable to predict market changes in advance and may struggle with the psychological pressure of catching falling knives.
Therefore, right-side traders prefer to wait for market stability and buy Tesla after it has bottomed out.
Tesla is also a typical stock suited for trend trading.
In the first three months of this year, Tesla has already experienced a 40% drop and correction. This decline was influenced by CTA selling, but these factors will soon turn into support for a strong rally in Tesla at the end of March. The CTA buying drove Tesla's strong rise, and it even surpassed the resistance at $285.
Some say the next few trading days are likely to see a Gamma Squeeze effect, with $285 potentially not being the end of this rally.
How do you view?
Which approach do you take for trading Tesla or other stocks?
What type of investor are you?
Comments
When trading Tesla $Tesla Motors(TSLA)$ or other stocks, I adopt a mixed approach that combines both left-side and right-side trading, depending on the market trend.
During a downtrend, I prefer to be a left-side trader, identifying potential bottoms before the broader market recognizes them. This requires a contrarian mindset and the ability to endure short-term volatility, as catching a falling knife is never easy. However, I believe that when a stock like Tesla experiences excessive pessimism and irrational selling, it often presents an opportunity for long-term gains. By entering early, I position myself ahead of the crowd, capitalizing on the eventual recovery once selling pressure fades.
On the other hand, during an uptrend, I shift towards right-side trading, waiting for confirmation before making additional moves. Momentum plays a crucial role in stock movements, and once a stock establishes a bullish trend, it tends to attract more institutional and retail interest. Instead of chasing uncertain bottoms, I let the trend validate itself and then ride the wave upward. In Tesla's case, if it surpasses key resistance levels and shows sustained strength, I might add to my position or hold for further gains. This approach helps me avoid unnecessary risks while maximizing returns during strong rallies.
Currently, Tesla has already corrected significantly in the first quarter, and the conditions are aligning for a potential rebound. The impact of CTA buying, along with the possibility of a Gamma Squeeze, suggests that the stock could continue rising past $285. While I took a left-side approach during the decline, I now recognize that momentum has shifted, and I will adjust accordingly. As an investor, my strategy is flexible—combining contrarian entries in bearish phases with trend-following in bullish ones—to optimize my returns while managing risks effectively.
@Tiger_comments @TigerStars @TigerGPT @Daily_Discussion
Left-side trading refers to entering the market early, predicting changes before a trend is confirmed. Right-side trading, on the other hand, waits for the trend to be confirmed before making a move.
This phenomenon often occurs in the stock market.
Some say the next few trading days are likely to see a Gamma Squeeze effect, with $285 potentially not being the end of this rally.
How do you view?
Which approach do you take for trading Tesla or other stocks?
What type of investor are you?
But I m a long term investor for SG market. Nobody is able to predict the trend of the stocks. For me, once I have the money to “burn”, I will just go in and “conquer”. Of course, I will do my TA and then will do my cost per each unit before I q my price for the stock. Sometimes, the downtrend price movement is so fast that I don’t have sufficient time to pull out my queue. I will end up like panda 🐼🐼.
Anyway, this month yet to SG stocks hunting as my mind is still floating after 2 weeks vacation and attended charity appreciation dinner last night.
@HelenJanet @DiAngel @Universe宇宙 @Fenger1188 @Wayneqq @SPOT_ON @rL @Kaixiang @Success88 come join