Tesla Surges 2.68% Amid Strategic Shifts—Is This the Dawn of a New AI Era?

Summary
• Tesla’s stock (TSLA) surges 2.68% to $330.915, defying recent sector volatility.
• Company scraps Dojo supercomputer project, pivoting to external AI partners like Nvidia and AMD.
• Leveraged ETFs like Battleshares TSLA vs F ETF (ELON) jump 5.42%, amplifying retail sentiment.

Today’s market action reflects a pivotal moment for Tesla as it reorients its AI ambitions. With a 2.68% intraday gain and a 52-week range of $194.67–$488.54, the stock’s trajectory hinges on strategic clarity and sector dynamics. The Dojo dissolution and reliance on external compute partners have sparked both skepticism and optimism, creating a volatile yet compelling narrative for traders.

Dojo’s Demise and Strategic Realignment Ignite Volatility
Tesla’s 2.68% intraday rally follows the abrupt cancellation of its Dojo supercomputer initiative, a project once hailed as a $500 billion value driver by Morgan Stanley. The decision to disband the Dojo team and pivot to external partners like Nvidia (NVDA) and AMD (AMD) has triggered mixed reactions. While some investors fear lost momentum in AI self-driving ambitions, others view the shift as a pragmatic move to accelerate timelines. The stock’s bounce from a $320.98 intraday low to $334.99 high reflects this duality—optimism in faster execution versus skepticism over reduced differentiation.

Automotive Sector Rally: Toyota Leads, Tesla Trails
The broader Automotive sector has surged, with Toyota Motor (TM) leading the charge with a 3.95% intraday gain. Tesla’s 2.68% rise lags behind, highlighting divergent investor sentiment. While Toyota’s traditional manufacturing strength and global supply chain resilience drive its outperformance, Tesla’s focus on AI and robotics remains a double-edged sword. The sector’s 8% monthly gain underscores demand for innovation, but Tesla’s strategic pivot may take time to align with market expectations.

Leveraged ETFs and Options Playbook: Navigating Tesla’s Volatility
• 200-day average: 323.49 (above current price); RSI: 46.17 (neutral); MACD: -0.827 (bearish divergence).
• Bollinger Bands: Price at $330.915 near upper band ($335.90), suggesting overbought conditions.
• Key support/resistance: 308.62–330.78 (30D/200D).

Positioning for a short-term bounce, traders should target $327.50 as a critical breakout level. The GraniteShares 2x Long TSLA Daily ETF (TSLR) at 5.31% and Direxion Daily TSLA Bull 2X Shares (TSLL) at 5.25% offer amplified exposure. For options, two contracts stand out:

• TSLA20250815C330
- Strike: $330; Expiration: 2025-08-15; IV: 42.62%; Leverage: 37.17%; Delta: 0.535; Theta: -1.407; Gamma: 0.0190; Turnover: $31.36M.
- IV (implied volatility): Reflects moderate risk/reward; Leverage amplifies gains; Delta suggests moderate directional sensitivity; Gamma indicates strong sensitivity to price swings. A 5% upside scenario (to $347.46) yields a payoff of $17.46 per contract, making this ideal for bullish momentum.

• TSLA20250815C332.5
- Strike: $332.5; Expiration: 2025-08-15; IV: 42.43%; Leverage: 43.25%; Delta: 0.487; Theta: -1.329; Gamma: 0.0192; Turnover: $12.88M.
- IV and Leverage align with aggressive positioning; Delta balances directional exposure; Gamma ensures responsiveness to price shifts. A 5% upside scenario (to $347.46) yields a $14.96 payoff, ideal for capitalizing on a breakout.

Hook: Aggressive bulls should load up on TSLA20250815C330 if $327.50 holds, while hedgers may short TSLA20250815P310 for downside protection.

Backtest Tesla Stock Performance
Following a 3% intraday increase, Tesla (TSLA) experienced significant gains, with a strategy that capitalized on this surge yielding impressive results. The backtest reveals an 189.09% strategy return, surpassing the benchmark return of 88.26% by a substantial 100.82%. With a maximum drawdown of 0% and a Sharpe ratio of 0.36, the strategy demonstrated robust risk management, ensuring that gains were sustained with minimal volatility.

Tesla’s AI Rebirth: What to Watch Before the Next Move
Tesla’s 2.68% rally masks a strategic crossroads. While the Dojo dissolution raises questions about AI differentiation, the stock’s technicals suggest a short-term bounce above $327.50 could reignite momentum. Investors should monitor the GraniteShares 2x Long TSLA Daily ETF (TSLR) at 5.31% and Toyota (TM)’s 3.95% surge as sector barometers. For now, the TSLA20250815C330 and TSLA20250815C332.5 options offer high-conviction plays, but caution is warranted if the 200-day average at $323.49 fails to hold. Action: Target $327.50 as a breakout threshold—break above, and the 52-week high of $488.54 becomes a viable target.