Tesla defies the tech slump while chip stocks dump — momentum rotation into TSLA
Thesis
Tesla just crushed delivery estimates, proving that consumer demand for EVs is stabilizing even as the broader economy slows. Meanwhile, the massive artificial intelligence rally in semiconductors is finally cracking, with Micron and SanDisk selling off hard on supply glut fears and dragging the Nasdaq down. With tech-heavy indexes losing steam as chipmakers struggle, Tesla offers a perfect rotation target—strong fundamental news that is completely separate from the AI and chip supply chain pressures currently hitting the market.
Strategy approach
Build a rule-based strategy that enters long TSLA on D1 when the Nasdaq (QQQ) closes down >0.5% and TSLA closes up >2% on the same session (relative strength). Entry should occur on the following open. Exit if TSLA breaches its 20-day moving average to the downside or after a 30-day hold.