TESLA Stock - Big Move Coming Soon?

Summary

In this video, the creator provides a detailed analysis of Tesla's stock, exploring its current position and potential future movements. The stock has been relatively flat, showing indecision with low volume and indecisive dogey candles. Key support levels around $295–300 and resistance around $315–320 are discussed. The video highlights short-term potential bullish setups and broader market indicators, such as the exponential moving averages and MACD. The creator emphasizes the uncertain direction of the stock, balancing the potential for both bullish and bearish scenarios. Updates on options flow and AMD earnings are also noted as potential influencing factors.

Takeaways

• 😀 Tesla stock is showing indecision with two consecutive doji candles, indicating uncertainty in its direction.
• 😀 The stock closed down 2% but is holding up well compared to the broader market.
• 😀 Low trading volume is observed, which may be a sign of market indecision, though it’s not necessarily concerning.
• 😀 Key support levels to watch for Tesla stock are between $295 and $300, while resistance lies around $315 to $320.
• 😀 A breakout above the mid-330s would signal that bulls are in control of Tesla stock.
• 😀 A potential bearish crossover in the exponential moving averages suggests an increased risk of downside movement, though it’s not guaranteed.
• 😀 The MACD is showing lower lows, signaling a continued bearish momentum in Tesla stock.
• 😀 The analyst is playing Tesla through cash-secured puts, betting on sideways or bearish movement.
• 😀 In the short term, there is potential for a bullish move if the stock breaks out above $310-$311, leading to a small upside move.
• 😀 The expected price range for Tesla stock by the end of the week is between $300 and $318, based on options pricing.
• 😀 Options flow is mixed, with some bullish sentiment towards the end of the day, but nothing significantly strong enough to shift the overall market view.

Q & A

What is the focus of the video?

The video focuses on providing an analysis of Tesla's stock performance, discussing market trends, price movements, and offering insights into future expectations.

How is the stock's performance described on the day of the video?

The stock is described as closing almost flat, just shy of $39 per share, with a slight decrease of 0.2%, but holding up well compared to the overall market.

What is mentioned about the stock's volume?

The volume is described as abysmal, meaning it is very low, which raises questions about the stock's direction and whether this lack of volume is concerning.

What is the significance of 'Doji' candles mentioned in the video?

'Doji' candles indicate indecision in the market, showing that the stock is uncertain about its direction, as seen in the two consecutive 'Doji' candles in the chart.

What are the major levels to watch for Tesla stock?

The key levels to watch are around $295 to $300 on the downside and $315 to $320 on the upside. A breakout above $315-$320 could suggest a shift towards bullish control.

What does a bearish crossover on the exponential moving averages imply?

A bearish crossover on the exponential moving averages could signal a risk of the stock losing bullish momentum, indicating a higher likelihood of downward movement.

What does the MACD suggest about Tesla's stock?

The MACD is making lower lows, which indicates weakening momentum and a more bearish outlook for the stock, although it doesn't guarantee a full decline.

How is the speaker currently playing Tesla stock?

The speaker is playing Tesla by selling cash-secured puts, meaning they are receiving premium payments while waiting for the stock to potentially move sideways or decline.

What is the significance of the 4-hour chart mentioned in the video?

The 4-hour chart shows a falling wedge pattern, which suggests the stock may revisit the $295 to $300 range before deciding on a more definitive move.

What does the speaker mention about the 1-hour chart?

The 1-hour chart is showing a potential short-term bullish scenario, where a breakout above $310 to $311 could lead to a move towards $315 in the short term, although this is not guaranteed.