Unprofitable EV makers are flooding the market with new shares while war spikes
Thesis
We are seeing a perfect storm for cash-burning green energy and EV stocks. On the corporate side, companies like Rivian and FuelCell Energy are printing millions of new shares to raise cash, which severely dilutes existing shareholders and sends their stock prices spiraling downward. On the macro side, Trump declaring the Iran ceasefire 'over' is causing a massive spike in traditional oil prices. When gasoline gets dramatically more expensive due to war, it creates economic uncertainty, but the immediate market reaction is a flight to profitability—punishing speculative, money-losing green tech companies even harder.
Strategy approach
Build a rule-based strategy that enters short LCID on D1 when WTI Crude Oil (CL=F) closes up >4% and the alternative energy ETF (PBW) drops >3% on the same day. Exit if oil reverts down 3%, or hold with a 5% stop loss above entry.