Reverse Trading: Why More SPCX Shares Made It More Popular
Since the insider lockup released last week, this report has been calling SPCX’s price action an exception to supply and demand. Today it gets an actual name: reverse trading, when releasing more shares makes a stock more popular instead of less.
SPCX fell to its real low of $104.83 on August 3, then rebounded to $133.11 by August 8, up more than 15% in a session. The report’s logic is that the entire release schedule, from June 12’s first 5% through the final chunk landing December 8, was disclosed at the IPO itself, so the market already priced it in months ago. Sellers were only ever selling what was already known.
The deeper draw is Elon Musk himself, CEO of seven companies from Tesla to Neuralink to Starlink, whose SpaceX literally rescued NASA’s stranded Starliner astronauts before its own IPO. That mythology is why the old rule about never touching an IPO in its first 3 days, 3 weeks, or 3 months keeps getting broken, by PLTR, COIN, CRCL, and now SPCX, and why the line between investing and gambling here genuinely blurs.
Underneath the SPCX story sits a broader signal, PLTR and TEM, both flagged as buys in this report on June 26 and August 4, are up 10.3% and 12.9% today, evidence that reverse trading is becoming the defining pattern of this market’s most popular stocks.
Reverse trading only works while belief in Musk stays intact. The moment that cracks, so does the theory.
Full report available via the download button below. Read previous US Stock Express editions here.
US Stock Express 20260810 Gambling TSLA SPCX TEM PLTR
About the Author
Daniel Yue has been an active investor since 1980, with experience spanning stocks, currencies, futures, metals, and bonds. A scholar of the Chicago School of Economics, he holds a Certificate with Distinction from Cambridge University and a degree in International Trading from National Taiwan University. He served as Chief Analyst for over 30 years and Chief Mentor at Sincere Finance. In 2017, he received an award from the University of Arizona for financial internship leadership.
The analysis and opinions expressed in this article are for educational purposes only and do not constitute financial advice. Investing involves risk. Please consult a qualified financial advisor before making investment decisions.
About the Author
Daniel Yue has been an active investor since 1980, with experience spanning stocks, currencies, futures, metals, and bonds. A scholar of the Chicago School of Economics, he holds a Certificate with Distinction from Cambridge University and a degree in International Trading from National Taiwan University. He served as Chief Analyst for over 30 years and Chief Mentor at Sincere Finance. In 2017, he received an award from the University of Arizona for financial internship leadership.
The analysis and opinions expressed in this article are for educational purposes only and do not constitute financial advice. Investing involves risk. Please consult a qualified financial advisor before making investment decisions.