TOP 3 most traded CFD stocks of this month: Tesla, NVIDIA, Shopify
Results season for U.S. companies is underway and it comes with increased volatility. Movements in dozens of percent after announcing positive or negative financial statements are no exception. Significant price movements traditionally attract traders and speculators, profiting from them. We are bringing you a summary of the top 3 most traded stocks in Purple Trading for July. What is behind their popularity and what is the outlook for the future? You can find answers to these questions in today’s article.
Tesla - unexpected danger on the horizon?
1st place for the most traded stocks in Purple Trading isn’t too surprising. Tesla is one of the most sought-after stocks in the world. Thanks to Elon Musk’s “big mouth
” the company is practically constantly on the front page of the media and thanks to almost constant volatility, this stock is very popular among traders
. However, Tesla wasn’t only generous to the media and speculators, but also to the long-term investors - in the last 5 years, this stock has moved up 1,000 %
How did the last few weeks look from the point of view of Tesla? The company has already traditionally announced the number of delivered cars for the previous quarter before the financial results. The car company has delivered 254,695 new cars
, which was more of a disappointment. After 2 years Tesla has ended its streak, where every quarter it has delivered more cars than the previous (in the first quarter Tesla delivered over 310,000 new cars). At fault was the closing of the largest Giga factory in China, which was halted due to the zero-covid policy. The company has problems with increasing production volumes in new Giga factories in Texas and Germany
, which even Elon Musk called “gigantic money furnaces”. Tesla has also lost its position as the largest electric car manufacturer in the world - Chinese car manufacturer BYD financed by Warren Buffet
has sold around 640,000 new cars in the first half year, while Tesla has sold “only” over 560,000 cars.
Graph 1: Tesla shares on the MT4 platform on the H1 timeframe along with 50 and 100-day moving average
The financial results alone were accepted positively by the investors and the stock has increased by more than 10 %. Tesla has achieved sales of $16.9 billion and profits of $2.27 per share. The company has also gotten rid of its $1.5 billion worth of bitcoins
with a significant loss. Elon Musk justified this by building cash reserves due to the uncertainty that still prevails in China around the coronavirus. The latter will be one of the main risks for the rest of the year, as it significantly affects production at the Shanghai factory. In addition to the uncertainty caused by the coronavirus and inflation
, Tesla may also face one surprising risk - Elon Musk's legal battle with Twitter.
Over the past few years, we've already seen Tesla shares rise and fall with Elon Musk's performance and excesses. The battle with Twitter
can cost him a lot of energy and financial resources, which can then significantly affect Tesla itself. One thing is certain - Tesla will continue to be one of the most sought-after companies both among the media and business people.