Tesla, Inc. (NASDAQ:TSLA) Electric vehicles have a small but growing share of the auto market

Tesla, Inc. (NASDAQ:TSLA) Electric vehicles have a small but growing share of the auto market

Tesla, Inc. (NASDAQ:TSLA) Electric vehicles have a small but growing share of the auto market

You’ve probably heard of the Nissan Leaf, Chevrolet Bolt and Tesla Model 3.

And most car companies, if they are not selling an electric vehicle, are working on bringing one to market.

But consumers in the market for new cars have a right to ask “are we there yet?” when it comes to whether it makes sense to own an electric vehicle — both for financial and environmental reasons.

Electric vehicles nearly doubled their market share from 2017 to 2018, according to car research company Edmunds. Still, they represent a small portion of the market.

Electric vehicles — including plug-in hybrid cars — accounted for 2% of vehicle sales last year, up from 1.1% in 2017.

Much of that jump can be attributed to Tesla’s cars, which represented 79% of pure electric vehicle sales in 2018, according to Edmunds. The Model 3 was in the lead, with 59% of electric vehicle sales.

While the current market share may seem low, that could be poised to change. Travel organization AAA has found that 20% of individuals indicated this year that they plan to consider an electric vehicle when purchasing their next car. That is up from 15% last year.

“We do believe the future is electric,” Greg Brannon, director of automotive engineering and industry relations at AAA, said.

How quickly that transformation happens will depend on factors including gas prices, which often drive alternative vehicle sales, as well the choices available to consumers, Brannon said.

For consumers considering an electric vehicle now, they need to weigh the advantages — and growing pains — that come with acquiring these emerging products.

Overall, the bias in prices is: Downwards.

Note: this chart shows extraordinary price action to the downside.

The projected upper bound is: 296.31.

The projected lower bound is: 248.83.

The projected closing price is: 272.57.

Candlesticks

A big white candle occurred. This is generally considered bullish, as prices closed significantly higher than they opened. If the candle appears when prices are “low,” it may be the first sign of a bottom. If it occurs when prices are rebounding off of a support area (e.g., a moving average, trendline, or retracement level), the long white candle adds credibility to the support. Similarly, if the candle appears during a breakout above a resistance area, the long white candle adds credibility to the breakout.
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 26 white candles and 24 black candles for a net of 2 white candles.

An engulfing bullish line occurred (where a white candle’s real body completely contains the previous black candle’s real body). The engulfing bullish pattern is bullish during a downtrend (which appears to be the case with TESLA INC). It then signifies that the momentum may be shifting from the bears to the bulls.

If the engulfing bullish pattern occurs during an uptrend, it may be a last engulfing top which indicates a top. The test to see if this is the case is if the next candle closes below the top of the current (white) candle’s real body.

Momentum Indicators

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.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 44.6422. This is not an overbought or oversold reading. The last signal was a sell 8 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 47.03. 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 150 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 -46. This is not a topping or bottoming area. The last signal was a buy 0 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 3 period(s) ago.

Rex Takasugi – TD Profile

TESLA INC closed up 6.980 at 273.360. Volume was 14% below average (neutral) and Bollinger Bands were 45% narrower than normal.

Open High Low Close Volume___
265.750 275.000 264.720 273.360 7,272,930

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 273.20 287.23 310.14
Volatility: 61 52 74
Volume: 10,195,804 8,865,118 9,258,342

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.

Summary

TESLA INC is currently 11.9% below its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of TSLA.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on TSLA.O and have had this outlook for the last 3 periods.

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