Special Gold & Silver Update Wash, Rinse, Repat. Before getting to the this weekend's main course, a brief word on Gold & Silver as they closed out the week. There was no other way to trade the late week, "crash," - Read: rigged paper market - then with our mindless, mechanical trailing 50% stops. Hopefully all who were in these massively profitable trades from the past few months closed out at least half or more of your gains. I personally closed out 80% of my calls, holding only some March, now way out of the money, Silver calls. This crash was not about fundamentals, as those are as strong as ever and will come back, with new highs across the board. Just as we caught the historic run-up from late summer through most of first month of the new year, I expect to use the same methodologies to garner further gains as this year unfolds. There will come a time in the not too distant future, when I will post a precious metals, "I told you so," update, linking this post, as both Gold and Silver reach new, 2026 highs and likely once again pointing out that our trailing stops locked in massive gains. Wash, rinse, repeat. "Silver was down as much as 36% intraday on Friday, the biggest daily decline in 46 years...yet still closed the month of January up 19%." - Say, what? TSLA, Again A headline long term subscribers must by now relish. It means either some fundamental event has emerged from the headlines to spark interest in one of this service's favorite stocks, or, price action alone has ignited our interest. In this weekend's edition of "Tesla, Again," its both. The Fundamentals Last week's headlines came forth around mid-week, building momentum into Friday, all pointing toward the potential of Tesla in a three-way merger with SpaceX and xAI. This all is rooted in Elon Musk's stated intention to include is longe-term Tesla shareholders in any eventual taking public of SpaceX. The inclusion of xAI is, as they say, "to boot." As I have done whenever I make a major commitment in these pages to Tesla, an initial headline with a link to an updated article: Tesla Shares Jump 5% After Musk Reportedly Mulls Merging SpaceX, xAI, Tesla Merger Tesla shares jumped about 5% on Friday after reports suggested that Elon Musk is considering bringing his companies closer together through a possible merger involving SpaceX, Tesla, and artificial intelligence startup xAI. The news helped reverse losses from the previous session, when the stock slid following the company’s earnings report. According to people familiar with the discussions, SpaceX has been evaluating different ways to combine parts of Musk’s business portfolio ahead of a potential public offering. One option involves a tie-up with Tesla, while another centers on xAI. These talks are still preliminary, and no agreement has been reached, but investors welcomed the possibility of deeper cooperation across the group. SpaceX Explores Merger with Tesla or xAI Before Major IPO SpaceX is in early discussions about merging with Tesla or combining with xAI, according to people familiar with the matter, as the rocket company prepares for a June IPO that could value it at $1.5 trillion and raise up to $50 billion. Tesla recently disclosed a $2 billion investment in xAI, following SpaceX's own $2 billion commitment, setting the stage for potential AI and space synergies like orbital data centers and moon-bound robots. Tesla shares rose over 5% on the news, lifting its market value to $1.65 trillion, though no final decisions have been reached and the companies could back out. Tesla climbs as SpaceX merger talks fuel Musk empire consolidation hopes Shares of Tesla TSLA jumped nearly 5% on Friday after reports that SpaceX was in deal talks with Elon Musk's other companies stoked investor hopes that the billionaire's tech empire could be unified further. SpaceX is in discussions to merge with Musk's AI startup, xAI, ahead of a blockbuster public offering planned for this year, Reuters reported on Thursday. Separately, Bloomberg News reported that SpaceX is considering a merger with Tesla. Here's what a potential SpaceX mega-merger could mean for Elon Musk's business empire SpaceX is reportedly lining up a mega-merger with Tesla or xAI before its blockbuster IPO this year. Elon Musk's companies have been getting closer, but this would be a dramatic escalation. Here's what a merger would mean for Tesla, SpaceX, and the rest of the "Muskonomy." My Take With the news clips as background reading, the real question won't be answered anytime soon: What effect will any kind of merger have on Tesla shares? It will be a moving target, hopefully and mostly in one direction as legal, business and leadership roles evolve. One thing I am fairly certain of: Most of the price movement in TSLA will take place in advance of major developments. If you catch my drift, that means now. It's fairly safe to say last week's low print, $414.62 on Thursday, may very well be the low for all of 2026 and in fact the rest of this decade. That doesn't mean new all time highs anytime soon, but that is the more likely resolution of this entire news cycle. Not only new all time highs, above $498.83 (Dec, 2025), but at least double that going forward. SpaceX alone could account for that capital appreciation. Bottom Line: Opportunity is again knocking for TSLA shares and we are closer to the beginning of a new cycle then ever before, one built on the future, not the past, on rockets, not cars, and on Elon Musk, more than ever before. The Technicals Let's start with my "wish list" chart, that is to say what I am so excited about this weekend on the cusp of the SpaceX/TSLA/xAI news. It should be leading shares into a multiple Wave three affair, a Wave 3 of 3 of 3 to $1,000, minimum, played out over the course of a year, or two, or three: For all intents and purposes, it is a "wish list" of multiple wave 3's, based on a critical fundamental concept that the sum of three companies will be worth an exponential multiple of its parts. This still has to play out in the myriad of legal, political and business layers, but the potential is there and its best we recognize it now, sooner, rather than later, chasing the moving train, or rocket or spaceship as it may be. Clearly, the best signal that the waves are playing out as set out in the above chart, are new highs, weekly, monthly, all time and beyond. If we see it happening, in real time on our screens, remember this chart, its screaming $1,000 before an eventual 4th wave takes hold. Trading Game Plan In its most simplistic form: All TSLA buy signals will be posted and acted upon. We don't trade "wish lists," but we do trade breakouts. The high print on Friday was $439.88. I want to own TSLA calls on any price move higher next week, let's make it any print above $440.00. TSLA Daily This is my updated TSLA Intermediate Term chart (Daily price bars) showing a Wave 5 of (3) Buy Signal due any time. First entry on a print above $440, adding on a print above $455 with a bang the table Buy above $500. TSLA Apr $500C If the price triggers set out above are met next week, we will be buying the Apr $500C. Expect it to be a little bit higher if those prices are hit. Note how going out to Jun the $500C is double the cost (and double the volume) of April $500C. As much as I would prefer to buy June for the extra time, that seems too steep a premium, unless, someone knows something that is about to place that $500 strike deep, deep, in the money. TSLA Trade Instructions Buy first tranche of calls at TSLA $440, second tranche at TSLA $455, then expect a bang the table post from me at TSLA $500. If price does not trigger next week, I'll update with new buy triggers as price pattern dictates. --- LATE ADD: Bitcoin Saturday If this were a trading day, we would be adding IBIT puts here, but come Monday, it is not the same trade. Speaking of which, come Monday, do stocks follow? --- Active Option Positions I will be monitoring Gold & Silver price movement for fresh low-risk entries going forward. Once a trade shows paper gains of over 100%, we institute a 50% trailing stop that should be applied to at least half of the position, up to all of it, save a small, "just in case," few contracts, well, just in case. Adhering to this exit discipline is not just for capturing gains, its for retaining sanity in markets gone wild. . PRO Options Premium Options
