>>53120247
>???? There is absolutely rebal on cap weighted indices, check link related
The rebalancing matches the weighting. The weight is smaller because shares have declined, but the relative number of shares held stays constant. There's no impact. It's only ETF share creation/deletion that has an impact. If we start seeing passive outflows, that'd be disastrous.
Of course, not everything is cap-weighted. Although ironically equal-weight indexes would be buying more shares into a decline.
TSLA is gonna collapse regardless, because that's just the dynamic right now. It's an imploding bubble. Smarter money is trying to escape with minimal losses, the "dip slurpers" are bailing and flipping their losses to other knife catches, who inevitably bail. Elon alone dumped somewhere near $40 bil worth of shares into a vacuum that the market can't fill. A lot of longs leveraged into the positive momentum and are finally getting force liquidated. You'd have to be insane to buy tesla right now.