AI Names Crater, Average Stocks Rise in Dramatic Rotation
The gap is closing, but the opportunity is in new leaders, not broken AI names.
Things I Did Today
Here are today’s things:
* I covered all of my $SPY short at $764.96.
* I covered most of my $TSLA at $369.55.
* I added to $GLAS at $2.21, $GTBIF at $6.53 and $MSOS at $4.09.
* I sold more of my $PG long at $165.70.
Position: Long MSOS common (VL) and calls (VS), PG (VS), GLAS (S), GTBIF (S); Short TSLA (VS)
Market Gap Narrows and It’s Time to Put Cash to Work
The AI complex is getting hit on earnings while small caps, biotech, retail and defensive pharma hold up. Here’s what I’m buying.
New Market Catch-22: Meta Spends Too Much, Tesla Too Little
Meta’s spending warnings and share-class fine print, Tesla’s capex cut, and a ‘not good enough’ beat from Lam Research are dragging Tech lower adding to a broader risk-off tape.
Market Braces for Even Higher Oil Prices: 8 Key Items Shaping the Stock Market Thursday
Meta’s earnings, P&G’s warning and other headlines moving the market this morning.
After Overnight Selloff, Where Are the Indexes Headed Next?
Here are plans of action for the S&P 500, Nasdaq 100 and DWJIA as they bounce.
Fool Me Once… Fool the Trading Algos Over and Over Again
Why does the market fall for peace rumors time after time? Let me explain. Also, ever hear of the Great Pumpkin trade?
Key Earnings See Negative Reactions as Rotation Hits a Bump in the Road
SpaceX spent more, Tesla spent less, and Meta proved its spending works. The market is selling all three.
Little Sleep… I Was Active Last Night
* Shorting SPY and Tesla
* I covered all my $SPY short (for a more than +$6 profit) and only one third of my $TSLA short (for a +$15 profit)
After the company’s EPS release I shorted Tesla shares at $394.34:
Taking a Small Short in Tesla
After a quick look at the EPS release (revenues in line) I am taking a small trading short rental in Tesla (TSLA) at $394.34.
This is a low conviction trade.
Position: Short TSLA (S)
BY Doug Kass · Oct 21, 2026, 4:12 PM EDT
I covered one third of the short position for a +$15 profit:
My Comment of the Day (Part Deux)
Dougie Kass
I have a quick $15 profit in my short of Tesla and I am taking off one third of the position.
Position: Short TSLA (S)
BY Doug Kass · Oct 21, 2026, 5:58 PM EDT
The shares are trading in the premarket under $370. Though I have more than a +$24/share gain I am sticking with the balance of my short position.
More later.
Position: Short TSLA (S)
My Comment Last Night
Dougie Kass
Downside reversals after hours in three key stocks: $META, $TSLA, $IBM
Position: Short TSLA (S)