Tesla, Inc. (NASDAQ:TSLA) Investor attention has shifted to market opportunity

Tesla, Inc. (NASDAQ:TSLA) Investor attention has shifted to market opportunity

Tesla, Inc. (NASDAQ:TSLA) Investor attention has shifted to market opportunity

Tesla Inc. shares rose 3% in early trade Wednesday before paring some of those gains, boosted by a bullish note from Wedbush suggesting investor attention has shifted to the electric-car maker’s strong market opportunity and away from its Model 3 production problems.

Analyst Daniel Ives, a longtime Tesla bull, said the production delays that have weighed on the company and its stock TSLA, +10.39%  for the past year appear to have been resolved, demand looks strong heading into 2019 and the company is “poised to generate improved profitability and cash flow that puts the risk of a capital raise in the background for now.”

Tesla is now on track with its road map for European Model 3 delivery and shipments appear to be on schedule, with the window for customers in a host of countries now opening.

The analyst reiterated his outperform rating on Tesla stock and $440 price target, which is 49% above its current trading level.

Overall, the bias in prices is: Sideways

The projected upper bound is: 362.05.

The projected lower bound is: 292.82.

The projected closing price is: 327.44.

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 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 29 white candles and 21 black candles for a net of 8 white candles.

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 24.5828. This is not an overbought or oversold reading. The last signal was a buy 0 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 45.44. 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 74 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 -98. 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 6 period(s) ago.

Rex Takasugi – TD Profile

TESLA INC closed up 30.700 at 326.090. Volume was 13% below average (neutral) and Bollinger Bands were 6% wider than normal.

Open High Low Close Volume___
300.000 326.970 294.090 326.090 8,163,138

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

Moving Averages: 10-period 50-period 200-period
Close: 338.42 332.26 312.55
Volatility: 92 71 74
Volume: 7,259,036 8,360,441 9,304,960

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 4.3% above its 200-period moving average and is in an downward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term. 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 6 periods.

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