Part 3/10:
The "Buy the Rumor, Sell the News" Phenomenon
The recent market behavior exhibits classic signs of what's known as the "buy the rumor, sell the news" pattern. Leading into the delivery announcement, Tesla's share price experienced a rally, peaking just before the news was released. Once the fact was out—Tesla achieving nearly 500,000 vehicle deliveries—the market participants started to lock in profits, leading to a swift sell-off.
Interestingly, the initial spike on October 1st indicated a leak about the delivery numbers, which created an artificial rally as savvy traders anticipated the official announcement. Afterward, the stock's retreat to pre-leak levels suggests that much of the recent price action was driven by speculative positioning rather than actual fundamental changes.