Tesla, Inc. (NASDAQ:TSLA) shares have taken a wrong turn

Tesla, Inc. (NASDAQ:TSLA) shares have taken a wrong turn

Tesla, Inc. (NASDAQ:TSLA) shares have taken a wrong turn

Tesla shares have taken a wrong turn.

The stock has tumbled more than 17 percent this year with losses accelerating last week following a mediocre reception to its Model Y unveiling. It is now 29 percent off its record high set in September 2017.

One technical analyst says the stock charts point to more hardship ahead for the electric vehicle maker.

“You’ve been stuck in a trading range for about 2½ years – $245 on the lower end, $390 on the upper end. Back in December, you lost power at $390. You’ve been backing and filling since,” Craig Johnson, chief market technician at Piper Jaffray, said Friday on CNBC’s “Trading Nation. ”

Tesla also trades at an extreme premium compared with its peers, says Bapis.

“They’re trading at per units sold to market cap of $120,000. Daimler and BMW trade at $30,000. So it’s four times any other market cap per units sold out there,” he said.

Tesla is the second-worst performer on the Nasdaq 100 this year. It is down 51 percent over the past 12 months.

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 309.53.

The projected upper bound is: 299.72.

The projected lower bound is: 238.02.

The projected closing price is: 268.87.

Candlesticks

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 27 white candles and 23 black candles for a net of 4 white candles.

Three black candles occurred in the last three days. Although these candles were not big enough to create three black crows, the steady downward pattern is bearish.

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 25.2114. This is not an overbought or oversold reading. The last signal was a buy 6 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 36.62. 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 129 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 -113.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 6 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 0 period(s) ago.

Rex Takasugi – TD Profile

TESLA INC closed down -5.940 at 269.490. Volume was 30% above average (neutral) and Bollinger Bands were 22% narrower than normal.

Open High Low Close Volume___
276.000 278.050 267.300 269.490 10,280,980

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

Moving Averages: 10-period 50-period 200-period
Close: 281.16 306.33 316.34
Volatility: 47 63 75
Volume: 10,127,343 8,537,374 9,382,305

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 14.8% below its 200-period moving average and is in an downward trend. Volatility is 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 18 periods. The security price has set a new 14-period low while our momentum oscillator has not. This is a bullish divergence.

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