Technical Analysis – Tesla stock drops below 50-day SMA
Tesla stock experiences a pullback from September high
Dipped beneath its 50-day SMA before recouping some losses
Further declines could send the price to test the crucial ascending trendline
Tesla’s stock has been undergoing a solid downside correction after peaking at the 278.00 region in mid-September. Despite yesterday’s green candle, the short-term indicators are pointing to more losses in the near-term as the MACD is below the red signal line and the RSI is hovering in its bearish territory.
Should the recent retreat extend, the price could initially face the 228.00 hurdle before the bears push the price towards the upward sloping trendline that connects higher lows since January. Sliding beneath that zone, the stock might recline towards the August bottom of 212.00. Even lower, the March support of 185.00 could curb further retreats.
On the flipside, bullish actions could propel the price towards the August peak of 261.00. Conquering this barricade, the bulls could aim for the September high of 278.00. A violation of that level could set the stage for the 2023 high of 298.70.
In brief, Tesla’s stock has been steadily losing ground in the short-term, dropping below its 50-day simple moving average (SMA). Can the bulls strike back?
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
