The Time to Trade Tesla Is Now

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The Time to Trade Tesla Is Now
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Here's a way to trade Tesla ahead of the unveiling of its electric pickup truck: via barronsonline

Text size Tesla has become the Donald Trump of the stock market. Investors love or hate the electric-car maker much like the electorate feels sharply divided about the president.

Since late September, Tesla stock has rallied about 58%, while the S&P 500 index has gained some 7%. So far this year, though, the stock is up an anemic 4%, compared with about 20% for the index. To complicate the story even more, CEO Elon Musk, who uses social media like Trump, recently engaged in another Twitter battle, this time with bearish hedge fund manager David Einhorn.

When the stock was around $352, investors could sell the November $347.50 put that expires on Nov. 22 for $5.38 and buy the November $355 call that expires on Nov. 22 for $6.20.

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