The Price of Tesla (TSLA) Shares Has Risen by More Than 7%The Price of Tesla (TSLA) Shares Has Risen by More Than 7%
As the Tesla (TSLA) stock chart shows today, the price increased by more than 7% during yesterday's trading, surpassing the $240 mark.
The bullish sentiment was supported by the following factors:
→ The Federal Reserve's decision to cut interest rates by 0.5%;
→ Data tracked by Citi analyst Jeff Chung. According to Barron’s, they indicated that Tesla sold more than 15,000 vehicles in China last week – strong sales there could help the company deliver one of its best quarters.
→ A key signal from the technical analysis of the Tesla (TSLA) chart.
Today's technical analysis of the Tesla (TSLA) chart shows that:
→ The price has broken through the $233 resistance level, which had been exerting pressure since the end of July. Notably, the rising lows A-B-C (resembling a bullish cup and handle pattern) suggest that demand strength has been increasing over time, which ultimately led to the breakout.
→ The blue channel, constructed using the linear regression method, points to an upward trend, with the price entering the upper half of this channel – further confirmation of bullish sentiment.
On 16 August, when analysing the TSLA chart, we suggested that the $200 level could serve as a platform from which Tesla (TSLA) would begin its growth story. What’s next?
It’s possible that the bullish momentum accompanying the break of the $233 resistance will drive the price towards the upper boundary of the upward channel, which was formed from the lows of 5 August (shown in purple). This could result in closing the bearish gap from 24 July.
If so, it would motivate experts to raise their assessments, as they currently remain pessimistic. According to the average opinion of analysts surveyed by TipRanks, the 12-month price forecast for Tesla (TSLA) shares stands at $208.46, indicating the potential for a decline towards the lower boundary of the blue channel.
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