- Tesla finally makes a move and charges through $750.
- Volume profile should set Tesla up for a push to $780.
- TSLA outperforms the broad market on Tuesday.
Tesla has finally pushed above some key levels we have been calling for over the last few days. The first level it needs to break was $730 as this was the range from the middle of July. Once above there that turned the trend slightly more bullish, but the real aim was for Tesla stock (Nasdaq:TSLA) to get through and hold above $750. This is where volume begins to thin out, meaning any further moves should be easier to sustain for Tesla. The summer has been choppy for the stock with any moves hard to sustain as it appears to want to go higher but has been hit with some serious headwinds along the way. The fact that the stock has still managed to trade higher only serves to add to the bullish argument for Tesla. We have had the China crackdown on tech and EV stocks and then safety investigations, but still Tesla has just about managed to keep going. Last week Elon Musk tweeted about a delay to the Roadster. The stock has progressed in spite of this.
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TSLA 15-minute chart
We can see from the chart above that the move was strong straight from the open, and the remainder of the day was spent consolidating that early move.
Tesla key statistics
| Market Cap | $745 billion |
| Price/Earnings | 354 |
| Price/Sales | 23 |
| Price/Book | 29 |
| Enterprise Value | $756 billion |
| Gross Margin | 22% |
| Net Margin |
6% |
| 52-week high | $900.40 |
| 52-week low | $329.88 |
| Average Wall Street Rating and Price Target | Hold, $711 |
Tesla stock forecast
The uptrend channel remains intact as we can see from the weekly chart first. Also this shows us the triangle formation, which gives us some resistance at $757. Due to the lack of volume, this is not a strong resistance. We can see why Tesla has the potential for a move higher now that it has broken out into an area of light volume. Based on the weekly chart, this long zone we have been in since March is actually a consolidation and retest of the breakout from November and December of 2020. Breakouts are fine and a retest of the breakout level only adds to the bullish case.
Returning to the daily chart we are now in a low volume zone, which extends until $845. Resistance along the way from the trend line as mentioned at $757, but $780 is the stronger level as it is the high from April. Tesla is bullish in our view above $730, neutral from $730 to $650 and bearish below $650.
TSLA 1-day chart
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