Technical Analysis – Tesla stock in neutral outlook; unable to jump above SMAs
July 31, 2018 2:26 pm
Tesla stock has lacked clear directional movement over the past month. However, it is worth mentioning that the 50-day simple moving average (SMA) is ready for a bullish crossover with the 200-day SMA, indicating bullish pressure.
The technical indicators, in the short term, seem to be in confusion as the RSI indicator is sloping slightly to the upside in the negative territory, however, the MACD oscillator is strengthening its negative momentum below the zero line.
If prices continue to head lower, support should come from the 272.92 support level, taken from the troughs at the end of May. A drop below this level would reinforce the short-term bearish view and open the way towards the 243.60 hurdle, identified by the April 2 low.
However, should an upside rally take form, immediate resistance will likely come from the 50 and 200 SMAs near 317.00. A climb above these significant levels could endorse the scenario for some gains until the 325.20 barrier, before being able to challenge the 373.80, where it topped on June 18.
In the medium-term, the outlook remains neutral since prices are moving sideways and a bullish cross within the moving averages is in the process, though the price remains below it.
Tesla stock has lacked clear directional movement over the past month. However, it is worth mentioning that the 50-day simple moving average (SMA) is ready for a bullish crossover with the 200-day SMA, indicating bullish pressure.
The technical indicators, in the short term, seem to be in confusion as the RSI indicator is sloping slightly to the upside in the negative territory, however, the MACD oscillator is strengthening its negative momentum below the zero line.
If prices continue to head lower, support should come from the 272.92 support level, taken from the troughs at the end of May. A drop below this level would reinforce the short-term bearish view and open the way towards the 243.60 hurdle, identified by the April 2 low.
However, should an upside rally take form, immediate resistance will likely come from the 50 and 200 SMAs near 317.00. A climb above these significant levels could endorse the scenario for some gains until the 325.20 barrier, before being able to challenge the 373.80, where it topped on June 18.
In the medium-term, the outlook remains neutral since prices are moving sideways and a bullish cross within the moving averages is in the process, though the price remains below it.
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