Tesla, Inc. (NASDAQ:TSLA) Tesla Model 3 deliveries surge

Tesla, Inc. (NASDAQ:TSLA) Tesla Model 3 deliveries surge

Tesla, Inc. (NASDAQ:TSLA) Tesla Model 3 deliveries surge

Tesla reported a surge in production and delivery of its Model 3 electric sedan, giving fans of the car and believers in Chief Executive Elon Musk something to smile about.

The company said it delivered 55,840 Model 3s to customers in the third quarter, three times as many as in the previous quarter. Including the Model S sedan and Model X SUV, Tesla said it delivered 83,500 vehicles total.

Investors reacted coolly to the news, sending Tesla shares slouching 3.1% to $301.02.

Tesla and its supporters went to great lengths to boost deliveries as the quarter came to a close. Owners volunteered in droves at stores and service centers to help answer questions for customers, many of whom are new to electric cars. The company also offered incentives including free charging and referral program perks to entice purchases.

Investors are now waiting for third-quarter financial results, to be released in early November. In its second-quarter production report, the company said to expect profit and positive cash flow in the third and fourth quarters.

On Sunday, in an email to employees, Musk said “we are very close to achieving profitability and proving the naysayers wrong.” Tuesday’s production report is silent on the matter.

Overall, the bias in prices is: Downwards.

The projected upper bound is: 346.75.

The projected lower bound is: 255.21.

The projected closing price is: 300.98.


A big black candle occurred. This is bearish, as prices closed significantly lower than they opened. If the candle appears when prices are “high,” it may be the first sign of a top. If it occurs when prices are confronting an overhead resistance area (e.g., a moving average, trendline, or price resistance level), the long black candle adds credibility to the resistance. Similarly, if the candle appears as prices break below a support area, the long black candle confirms the failure of the support area.
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 28 white candles and 22 black candles for a net of 6 white candles.

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

If the engulfing bearish pattern occurs during a downtrend, it may be a last engulfing bottom which indicates a bullish reversal. The test to see if this is the case is if the next candle closes above the bottom the current (black) 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 57.4366. This is not an overbought or oversold reading. The last signal was a sell 10 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 50.26. 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 16 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 77. This is not a topping or bottoming area. The last signal was a sell 0 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 buy 12 period(s) ago.

Rex Takasugi – TD Profile

TESLA INC closed down -9.680 at 301.020. Volume was 100% below average (consolidating) and Bollinger Bands were 31% narrower than normal.

Open High Low Close Volume___
313.950 316.840 299.150 301.020 1,223

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

Moving Averages: 10-period 50-period 200-period
Close: 299.07 310.82 315.92
Volatility: 138 95 67
Volume: 10,180,032 10,682,485 8,343,118

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 4.7% below 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 24 periods.

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