TESLA Stock - Huge Move Coming Next Week

Summary

In this Tesla stock update, the video analyzes the current state of Tesla’s stock and upcoming events. The stock closed at $322, and the anticipation around Tesla's upcoming robo-taxi launch is dividing opinions. The analysis reveals a bullish continuation pattern, though resistance at $333 remains a challenge. A breakout above $347 could signal a significant upward move, while a drop below key support levels could lead to a downturn. Momentum indicators show mixed signals, and the options flow is similarly uncertain. Investors should watch for market reactions post-robo-taxi event for clearer direction.

Takeaways

• 😀 Tesla stock closed the day at approximately $322 per share, remaining relatively flat.
• 😀 There is significant anticipation for the upcoming robo-taxi event on Sunday, with mixed reactions from the public.
• 😀 Some investors view the robo-taxi event as a key milestone for Tesla, while others believe it may be underwhelming due to its limited scale.
• 😀 Tesla is currently in a bullish continuation pattern (bullish flag/penant), but market direction remains uncertain.
• 😀 The MACD indicator is bearish, suggesting potential weakening momentum in Tesla stock.
• 😀 The stochastic indicator is still below 60, indicating that momentum is not fully bullish yet.
• 😀 Key resistance for Tesla is near $333, and breaking this could lead to further gains towards $400 per share.
• 😀 If Tesla fails to break through $333 and loses key support levels (around $315-$317), it could drop to around $270 or lower.
• 😀 There is tightening momentum in the stock, signaling a potential large move in the near future, though the direction is unclear.
• 😀 The outcome of the upcoming robo-taxi event could have a significant impact on investor sentiment and market movement.
• 😀 Watching the 1-hour pennant pattern and daily support/resistance levels is critical to understanding the stock's potential direction in the coming days.

Q & A

What is the current situation with Tesla stock as discussed in the video?

Tesla stock is currently experiencing fluctuations, closing nearly flat at around $322 per share. The market sentiment is mixed due to uncertainty surrounding upcoming events, such as the robo-taxi launch.

What event is expected to affect Tesla's stock movement soon?

The upcoming robo-taxi launch event this Sunday is expected to affect Tesla's stock. While some are bullish about the potential, others are skeptical, expecting it to be underwhelming due to the limited number of cars involved and its invite-only nature.

Why does the speaker stress the importance of candle closures in technical analysis?

The speaker emphasizes that candle closures are crucial because they provide confirmation of price action. In the case discussed, a false breakout occurred when neither the 1-hour nor the 15-minute candles closed above a certain price level, signaling caution.

What kind of chart pattern is Tesla's stock currently forming?

Tesla's stock is forming a bullish continuation pattern, specifically a bullish flag or pennant, suggesting potential upward movement. However, it is also noted that not all bullish patterns lead to upward movements.

What is the significance of the MACD indicator for Tesla's stock analysis?

The MACD indicator has flipped bearish, which is seen as a red flag for the stock's momentum. The speaker prefers to see a bullish MACD for a more favorable outlook on Tesla's stock.

What does the speaker want to see from the stochastic indicator for a bullish signal?

The speaker wants to see the stochastic indicator rise above the 60 level to confirm bullish momentum. Currently, the stochastic is below this level, signaling weaker bullish momentum.

How does the speaker view the current momentum based on other technical indicators?

The speaker observes mixed signals. While the MACD is bearish and the stochastic is not above 60, other indicators like a custom momentum index suggest that momentum is tightening, indicating a potential large move in either direction.

What is the key resistance level for Tesla's stock, and why is it important?

The key resistance level for Tesla's stock is around $333 per share. Breaking this level would be a positive sign, as it could lead to further gains, potentially up to $400 by early July. Failure to break this level would indicate continued rejection.

What are the potential downside risks for Tesla's stock?

If Tesla's stock loses the bullish pennant pattern and closes below critical support levels (around $315-$317), the stock could fall back to the lower $300 range, potentially reaching as low as $230 in the worst-case scenario.

What does the speaker predict regarding Tesla's stock movement by the end of next week?

The speaker predicts that by the end of next week, Tesla's stock could either break through resistance and move upwards or, conversely, face downward pressure if the bearish signals materialize. The exact direction remains uncertain but could be influenced by upcoming events and technical levels.