TSLL surges 10% despite Tesla delivery decline, investors optimistic on rebound.

The Direxion Daily TSLA Bull 2X Shares (TSLL) surged almost 10% after Tesla reported a 13.5% decline in second-quarter vehicle deliveries, slightly below analyst expectations. Despite challenges, investors are hopeful for a rebound as Tesla explores robotaxi services and diversifies into tech.

TSLL has attracted $4.2 billion in inflows this year, managing $5.5 billion in assets. However, the fund is down 57% year-to-date, compared to a 22% drop in Tesla shares. While the latest delivery numbers were not disastrous, Tesla still faces questions on EV demand and autonomous vehicle technology capabilities.

Bulls are banking on a sharp Tesla rebound, possibly triggered by progress in the robotaxi rollout or a shift in investor sentiment. The stock remains in a holding pattern, challenging for a leveraged ETF like TSLL, which aims to amplify short-term moves but struggles in sideways markets due to daily compounding effects.

Read more at Yahoo Finance: TSLL Surges Despite Big Drop in Tesla Deliveries