Aayush Jindal
Key Highlights
- Tesla’s stock price started a major decline from the $300 resistance.
- It traded below a key rising channel with support at $225 on the weekly chart.
- The next major support sits at $155 and $150.
- Crude oil prices rallied toward $83.50 before correcting lower.
Tesla Stock Price Analysis
In the past few weeks, Tesla stock price (NASDAQ: TSLA) saw a steady decline from well above the $225 level. The bears were able to push the price below the $200 support.
Looking at the weekly chart, the price traded below a key rising channel with support at $225. There was a move below the 50% Fib retracement level of the main upward move from the $102 swing low to the $298 high.
The bears are currently active below the $185 level. The first major support sits near the $155 level. The next key support is $150 or the 76.4% Fib retracement level of the main upward move from the $102 swing low to the $298 high.
A downside break and close below the $150 support level could open the doors for a larger decline. In the stated case, Tesla’s stock price could decline toward the $100 support.
On the upside, the price is facing resistance near the $185 level. The next major resistance is near the $205 level. A clear move above $205 could open the doors for a move toward the $225 level. In the stated case, the bulls could even attempt a move toward $250.
Economic Releases
- BoE Interest Rate Decision - Forecast 5.25%, versus 5.25% previous.
