The Tesla Stock Split | Watch Before December 9.

hey everyone me kevin here we've got to

discuss the leftover 12.9 tesla stock

rumors that there's going to be a tesla

stock split on 12 9 which is tomorrow

and we've got to address the elephant in

the room and talk about strategies for

what to do with tesla stock around this

potential event first and foremost we

already know that elon musk in a wall

street journal conference has answered

that nothing happens on 12 9 as far as

he is aware however elon musk has also

tweeted that nothing matters which is

originally something that was believed

to be a reference to whether or not a

zero should be included in a calculation

or not and when you include that

zero in that calculation all of a sudden

you get the result of twelve nine

there's so many speculative internet

rumors about this i've gone through all

of them in a video before and i will

link to that down below so you can watch

that if you want to see the refresher on

why there's so much drama around 12 9

but right now there's no indication that

a stock split will happen on 12 9 but

there's a lot of enthusiasm for a stock

split to happen for tesla elon musk did

mention that around the 850 level that

the tesla was not yet at a high enough

level to justify a stock split and the

last time tesla stock split tesla stock

price was in the 1370 range right now

tesla is trading

for

1068 dollars it's down about 13 from its

all-time highs of about hundred or

twenty nine dollars so we've still got a

bit to go to to be at similar levels

from the last time we did a five one

stock split but when we did have a five

one stock split and there were a lot of

little hints that were laid leading up

to that stockplate and then that's

what's leading to essentially similar

rumors being formed now around 12 9.

elon musk however coming out in response

to 12 9 and saying that as far as i'm

aware nothing happens kind of makes it

clear that

elon is either lying now

or nothing happens because

when he says as far as i know nothing

happens then if tesla announces

something then that's obviously

something happening and we would imagine

that elon musk would know about that i

suppose there's a small edge case

scenario where he wouldn't know about a

tesla announcement but that would be

weird because he's playing into these

hints pretty hard

if uh you know he does mention that this

is just one of those memes that came out

of nowhere who knows maybe he's just

playing into the whole 12 9 thing

because he likes having fun with people

and speculation online kind of like when

he played with uh with dogecoin on snl

and even before that right now there has

been some speculation that maybe nothing

happens is a reference to well elon's

automatic stock selling via his 10b51

plan

ceases on 12 9. this makes some sense

because that would imply that on 12 9

nothing happens

instead something stopped happening

right his automatic selling stopped

selling it happening because for the

last few weeks last four sales he's done

he's only been selling plans through his

automated 10b51 plan now if we hop on

over to gary black's twitter whom i

absolutely encourage you follow if you

love tesla news on twitter take a look

at the spreadsheet he puts together he

gives us sort of this outline that elon

musk has already sold 59.2 percent of

his promised 17 million shares

approximately 17 million shares that's

what elon musk promised to sell and elon

musk only sold about 10

million of those shares now elon musk

has stopped manually selling shares

you'll notice instead he's been selling

934.91

shares via his 10b51 plan which is an

automated selling plan now there is no

particular pattern in terms of when

these are sold other than one particular

thing here take a look at this monday 11

uh eight and that's monday one week

later on 11 5 you get another 10b51

execution then one day later you get

another one then another week after that

you get another sale

on 11 23 and then a week and two days

after that you get another 10b51 sale so

no clear pattern it's not like every

seven days the 10b51 plan triggers

instead

take a look at the bottom when elon

exercises his options which he did on

the 8th 15th 16th 23rd and 2nd which is

the same as when the 10b51 plan

automatically sells shares on the 8th

15th 16th 23rd and 2nd that's when

elon's 10b51 plan triggers so when elon

sells uh his options or or rather not

sells his options when he exercises his

options when he takes those shares his

10b51 plan automatically triggers the

sale of almost a million shares so this

is now leading to speculation that maybe

elon's going to somehow automatically

exercise

uh the rest of his his options and then

automatically have a bunch of 10b51

sales triggered at the same time as he

exercises these options and maybe he's

going to be done selling tesla shares

tomorrow but if he's done selling tesla

shares tomorrow that means he's going to

dump 40 percent of his additional

promise which would be somewhere around

seven million shares that that has a

very good chance of tanking the stock

price and just being horrible who knows

maybe

it's all going to go over and go through

a block sale where all of a sudden elon

musk block sales his uh

you know shares and and he gets rid of

all of them and he's done and he can put

a little statement up from morgan

stanley or some uh market maker and say

hey you know what we're done i'm done

selling my shares we're onwards and

upwards maybe that's it and it's like

hey nothing happened because we're

finished

who knows and maybe that's disclosed

from a day earlier that today they made

the agreement and that's it elon musk is

done it's all speculation but right now

when elon musk says nothing happens the

odds of a stock split i would say

under five percent the odds of some sort

of company announcement or cyber truck

event or something crazy probably

relatively low because again elon says

nothing

happens

so but again he does say that nothing

matters and nothing uh does matter in

terms of certain calculations and does

matter in terms of things ending so

maybe some things end it'd be nice if

elon would stop selling his shares

because we're in sort of a downward

trajectory with the share price right

now and this is where it's worth doing

just a little minor ta here look this is

i mean this is amateur here but look at

this folks uh we are experiencing lower

highs you can see the trend line here

lower highs and lower lows right

we extend to the the tippies here in the

tippies we get the lower highs and

lower lows and we're in this channel of

really pain for tesla we're down 13

again off all-time highs we're in

between the channel here but what we're

really looking for is a breakout and i

don't think that we're going to see a

breakout

on tesla certainly not until elon musk

is done selling his shares and he's got

a lot of work to do because it's going

to hold institutions back from wanting

to invest in this because they would

expect continued pressure to the

downside and if you simply look at the

chart this is not exactly reminiscent of

something that seems like at any point

soon or until elon musk is done selling

his shares this is actually going to be

rotating up again especially since 11 8

is right here and it's the first uh

hikashi red candle

and it's also the first day he started

selling shares so it kind of created

this channel here right

okay cool so my strategy and a bottom

line on all of this well number one

look if there are some nice dips that

meet that trend line at the bottom where

we followed like under a thousand again

i'm down to buy the dip again i did trim

a little bit of my tesla position in the

mid 1100s and upper 1000s but that's

because i had a commitment coming up uh

and that commitment is now no longer an

issue i'll make a video about that one

of these days and uh and so now i'm kind

of rebuying it and buying the dip i've

got about 18 cash otherwise i'm fully

invested my goal is to get all that

invested into the market uh by the end

of the year maybe we'll take advantage

of the cpi uh you know catalyst or the

fomc fear that could be coming but

beyond that i'm interested in getting

invested uh if we do get uh any kind of

stock split obviously we expect the

stock to to probably skyrocket in

anticipation of a split if there was a

split announced i would probably

instantaneously buy a lot of shares

because i would expect the market i mean

this is going to be worldwide news i

mean everybody's going to go nuts over

this

and people are going to be buying a

stock like crazy no guarantees of course

if there's no split expected though uh

which i kind of expect or if no there's

no split announced which i expect

then tomorrow might be a little bit of a

depressing day we could actually be

seeing some traders who are getting into

tesla for temporary momentum take losses

maybe tiny gains and escape tesla and

just sell and so we could see some

additional selling pressure combine

traders leaving tesla

with institutional traders waiting to

buy more tesla unless there are dips and

waiting for elon musk to sell we have

more reasons to expect that this

downward channel is probably and trend

channel is going to continue for at

least the next few weeks until elon musk

has completely finished uh his his sales

and uh and then of course these rumors

will be gone so uh who knows maybe

there'll be a better opportunity buying

on tesla i'm of course still very long

and very bullish on tesla and it's still

the largest position that i own and i'm

so so very excited about tesla but uh

yeah not too overly enthusiastic about

tomorrow but i will be prepared to pull

the trigger no matter what happens so

thank you very much for watching this

video and folks we'll see in the next

one thanks bye