Tesla, Inc. (NASDAQ:TSLA) scheduled to report second-quarter earnings after the bell

Tesla, Inc. (NASDAQ:TSLA) scheduled to report second-quarter earnings after the bell

Tesla, Inc. (NASDAQ:TSLA) scheduled to report second-quarter earnings after the bell

Citigroup thinks Tesla investors hoping for a post-earnings rally later this week should scrutinize one key financial metric when it reports its quarterly results this Wednesday.

The electric car maker’s automotive gross margin specifically will likely determine how Tesla’s stock finishes the week and remains central to the company’s future financial health, analyst Itay Michaeli told clients in a note.

Gross margins in the range of 21% to 23% will serve as a decent benchmark for expectations as “anything materially lower would support the bear case on Tesla’s profitability, and anything materially higher would support the bull case,” the analyst wrote.

Tesla is schedule to report second-quarter earnings after the bell Wednesday and could offer stakeholders an update on its 2019 delivery target.

Overall, the bias in prices is: Upwards.

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

By the way, prices are vulnerable to a correction towards 237.72.

The projected upper bound is: 278.68.

The projected lower bound is: 242.48.

The projected closing price is: 260.58.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 26 white candles and 24 black candles for a net of 2 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 74.1365. This is not an overbought or oversold reading. The last signal was a sell 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 72.00. This is where it usually tops. The RSI usually forms tops and bottoms before the underlying security. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 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 90. This is not a topping or bottoming area. The last signal was a sell 1 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 buy 33 period(s) ago.

Rex Takasugi – TD Profile

TESLA INC closed up 4.490 at 260.170. Volume was 53% below average (consolidating) and Bollinger Bands were 8% wider than normal.

Open High Low Close Volume___
256.710 260.480 254.500 260.170 5,023,121

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

Moving Averages: 10-period     50-period     200-period
Close: 251.09 220.74 281.94
Volatility: 31 54 63
Volume: 7,845,679 10,668,589 9,499,694

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 7.7% below its 200-period moving average and is in an upward trend. Volatility is low as compared to the average volatility over the last 10 periods. Our volume indicators reflect moderate flows of volume into TSLA.O (mildly bullish). Our trend forecasting oscillators are currently bullish on TSLA.O and have had this outlook for the last 27 periods. Our momentum oscillator is currently indicating that TSLA.O is currently in an overbought condition. The security price has set a new 14-period high while our momentum oscillator has not. This is a bearish divergence.

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