Hello traders and investors! Let’s see how Tesla is doing today!
Friday’s reaction was quite intense, but today Tesla is trading near its resistance, trying to breakout this Triangle chart pattern again.
So far, it seems the stock lacks the strength to do so, and I would only believe in a better reaction if it trades again above the $ 433.60 (green line). By triggering this pivot point, Tesla would have the strength to hit the $ 461.88 again, and the gap would help to drag the price up.
On the other hand, if Tesla loses the $ 415, it will trigger a bearish pivot, and if that’s the case, the $ 360 seems to be a reasonable target, especially if we look at the daily chart:
The volume seen on Friday may be an indicator the bull trend will have problems from now on. Today’s candlestick is quite mysterious, and it shows a level of uncertainty on the market.
You may say that the Triangle’s base would be a better target than the $ 360, and I wouldn’t disagree, but since it already did a false breakout last week, I wonder if this Triangle is as strong as we think.
If Tesla loses the $ 415, probably will lose the 21 ema in the daily chart with it, and it would trigger the Shooting Star candlestick pattern seen on Friday. All of this would make Tesla quite bearish in the short/mid-term.
To sum up, we have two important pivot points to keep in mind right now. And if you like this analysis, please, support it! And follow me to keep in touch with my daily analyses. Every day I share some thoughts with you, and I’m sure you’ll find something useful around here.