Tesla, Inc. (NASDAQ:TSLA) concerns CEO Elon Musk’s actions may hurt the company’s brand
One of Tesla’s biggest advocates is giving up on his positive view of the carmaker’s stock because of CEO Elon Musk’s controversial behavior.
Nomura Instinet lowered its rating to neutral from buy for Tesla shares, citing concerns Musk’s actions may hurt the company’s brand.
“We have been one of the most bullish on TSLA shares since initiating coverage last October. … We continue to believe that Tesla could be a lot bigger than it is today,” analyst Romit Shah said in a Tuesday note to clients entitled “No Longer Investable.” “The issue though is the erratic behavior of CEO Elon Musk. During the second quarter, the switch seemingly flipped. … We are worried that this behavior is tainting the Tesla brand, which in terms of value is most important.”
Overall, the bias in prices is: Downwards.
Note: this chart shows extraordinary price action to the downside.
By the way, prices are vulnerable to a correction towards 310.21.
The projected upper bound is: 316.53.
The projected lower bound is: 239.81.
The projected closing price is: 278.17.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 25 white candles and 25 black candles.
A long lower shadow occurred. This is typically a bullish signal (particularly when it occurs near a low price level, at a support level, or when the security is oversold).
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 51.7865. This is not an overbought or oversold reading. The last signal was a buy 1 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 38.10. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 1 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -83. This is not a topping or bottoming area. The last signal was a buy 1 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 17 period(s) ago.
Rex Takasugi – TD Profile
TESLA INC closed down -6.060 at 279.440. Volume was 4% below average (neutral) and Bollinger Bands were 22% wider than normal.
Open High Low Close Volume___
279.470 282.000 273.550 279.440 9,169,989
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 290.05 316.96 317.53
Volatility: 70 76 60
Volume: 9,718,579 10,384,298 8,025,234
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
TESLA INC is currently 12.0% below its 200-period moving average and is in an downward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect moderate flows of volume out of TSLA.O (mildly bearish). Our trend forecasting oscillators are currently bearish on TSLA.O and have had this outlook for the last 9 periods.
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