TESLA Stock - Bulls Still In Control?

Summary

In this Tesla stock update, the host provides an in-depth analysis of Tesla's current market position, focusing on its price action, technical indicators, and potential future trends. The stock is showing signs of a bullish setup with a possible bull flag pattern, holding above key support levels. The market's overall performance is also discussed, with a specific focus on Tesla's movement in comparison to broader market trends. The video emphasizes key price targets, potential risk zones, and strategies for traders, all while acknowledging the uncertainty of market conditions as the month progresses.

Takeaways

• 😀 Tesla closed just above $335, showing resilience despite a slightly negative overall market.
• 😀 The market remains bullish overall, though September typically sees weaker market performance.
• 😀 Tesla is forming a potential bull flag pattern, with the consolidation happening on decreasing volume.
• 😀 Key support for Tesla is around the low $330s, with $327 as a critical level to watch.
• 😀 The short-term target for Tesla is $350, with longer-term potential to reach $365-$380.
• 😀 If Tesla falls below $327, it could invalidate the bullish case and suggest weakness.
• 😀 A breakout from the falling wedge pattern on the 1-hour chart signals a potential trend shift.
• 😀 A retracement to $330-$331 could form a bullish inverted head and shoulders pattern, signaling further upside.
• 😀 The weekly chart shows resilience at the $330 range, with MACD hinting at a potential bullish crossover.
• 😀 The speaker remains bullish on Tesla as long as the stock holds above $330, considering adding to their position if weakness occurs.

Q & A

What is the main focus of the video?

The main focus of the video is to analyze Tesla stock, discussing its recent performance, market trends, and potential future movements based on technical analysis.

How does the video presenter approach technical analysis?

The presenter emphasizes a simple, high-level view of the stock chart first, avoiding overcomplicating the analysis. They use tools like exponential moving averages, MACD, and support/resistance levels to identify potential bullish setups.

What is the significance of the $335 price point for Tesla stock?

The $335 price point is considered an important level, as the stock is holding just above it. The presenter views this as a positive sign, suggesting it is a supportive level for a potential bullish move.

What is the presenter’s outlook on the broader market?

The presenter believes the broader market still looks bullish, despite some bearish sentiment and low volume. They note that the market is holding key support levels and could continue upwards, especially if it breaks through resistance points.

What is the significance of the low volume mentioned in the analysis?

Low volume is highlighted as a negative factor for the market, including Tesla, as it indicates weaker investor participation. The presenter finds it concerning but acknowledges that it doesn't necessarily negate the bullish setup.

What technical pattern is the presenter seeing for Tesla stock?

The presenter sees a potential 'bull flag' pattern forming for Tesla stock, which typically indicates a consolidation phase before a continuation of an upward trend. This setup is supported by a breakout followed by flagging on decreasing volume.

What are the key levels for Tesla stock to watch?

The key levels to watch are the low $330s and the $327 range from Friday's low. A daily close below $330 would be a red flag, and a close below $327 would significantly weaken the bullish case.

What are the potential upside targets for Tesla stock?

The presenter targets the $350 range, potentially reaching the low $350s, by the end of the week. Longer-term targets include the $365 to $380 range.

Why does the presenter remain bullish despite some market concerns?

The presenter remains bullish because of the overall bullish setup, the structure of the chart, the positive trend in moving averages, and the fact that the stock is still holding key support levels despite minor weakness.

What would change the presenter’s outlook to a bearish one?

A significant breakdown below the $327 level, especially with a close below it, would change the presenter’s outlook to bearish. This would indicate a loss of momentum and a potential continuation of the downtrend.