Tesla top on 04Nov21 @ 1243 with recent intermediate bottom on 24Feb22 @ 700.
Support at 700
Following either a large descending triangle or a smaller ascending triangle.
Current price near middle of each triangle.
RSI overbought at 70. Other instances when RSI above 70 were at 04Nov and 03Jan, saw price moderation after.
Current momentum could carry it to top of larger descending triangle around 1100 levels or a pullback to bring it down to around 800 - 850 levels at bottom of smaller ascending triangle. Breaching the latter may see it test 700 again.
Lookout for earnings on 04May22. Observations from previous earnings show that positive earnings surprises seem to have a weaker effect than before. A negative earnings surprise may see a significant pullback.
With the backdrop of rate hikes and rotation to value, there may be slightly greater downside risk than upside.
Support at 700
Following either a large descending triangle or a smaller ascending triangle.
Current price near middle of each triangle.
RSI overbought at 70. Other instances when RSI above 70 were at 04Nov and 03Jan, saw price moderation after.
Current momentum could carry it to top of larger descending triangle around 1100 levels or a pullback to bring it down to around 800 - 850 levels at bottom of smaller ascending triangle. Breaching the latter may see it test 700 again.
Lookout for earnings on 04May22. Observations from previous earnings show that positive earnings surprises seem to have a weaker effect than before. A negative earnings surprise may see a significant pullback.
With the backdrop of rate hikes and rotation to value, there may be slightly greater downside risk than upside.
