Tesla Technical Analysis and Price Forecast
TSLA daily chart
Shares have fallen back to support near $700. This area held in February. With widespread market weakness, we believe Tesla is more vulnerable than ever to a sharp breakdown – prices MUST hold $680 in May.
Tesla could break key support in the coming days. A daily close below $680 could spark significant selling.
To be fair I thought Tesla should have broken below $700 back in February, but prices held. Will it hold again? I’d be surprised.
Key Price Levels
The first level of support arrives at $550; below that, a quick trip to $420 would be in the cards.
Tesla and Twitter
The uncertainty regarding Elon Musk’s acquisition of Twitter is becoming an anchor that could drag Tesla shares lower.
We think a potential trigger event could be Elon Musk needing to sell more TSLA to finance TWTR. If selling becomes epic – we could see a waterfall type decline.
AG Thorson is a registered CMT and expert in technical analysis. He believes we are in the final stages of a global debt super-cycle. For regular updates, please visit here.
This article was originally posted on FX Empire