Tesla Stock Price and Forecast: Why is TSLA stock up? Breaks $727 and set to test $780

  • Tesla stock up 2% on Thursday to above $715 resistance.
  • Nasdaq: TSLA is poised for a serious move higher to test $780.
  • Tesla is strong early on Friday breaking $727.

Update: Tesla is continuing to trade exactly as we had been hoping with a move to take out the highs from the start of the wedge formation at $726.94 as the stock is up just under 1% in the first 30 minutes of the regular session on Friday. moving nicely and targetting our next resistance at $780. Volume thins out above $740 as we have been saying so get ready for a potential acceleration.

Tesla put in a nice day on Thursday, once again outperforming the general market as the electric vehicle sector leader popped over 2%. Tesla stock had been coiling and consolidating above $700 since it broke above that psychological level after a strong set of results. Tesla earnings were strong with a beat on the top and bottom lines. Adjusted earnings per share (EPS) came in at $1.45 versus the estimate from Wall Street analysts for $0.96. Sales came in at $11.96 billion, also beating the $11.21 billion estimate. Delivery numbers were high on investors' minds, and these too were ahead of estimates. Tesla delivered 201,304 vehicles in Q2 2021, an increase of 121% over the same period last year. Tesla said its average selling price had declined by 2% over the year, but its gross margin increased three percentage points from 25.4% to 28.4%. Jefferies liked what it saw in the numbers and increased its rating on the stock earlier this week, which gave Tesla stock a decent 2% gain on Monday. Since then it has been steady though until Thursday's breakout. We can see clearly on the chart below how Tesla stock consolidated above $700 after the strong earnings move. The stock then formed a bullish triangle/wedge continuation pattern, and Thursday has seen Tesla break out of this and prepare to test higher levels.

Tesla key statistics

Market Cap $702 billion
Price/Earnings 358
Price/Sales 23
Price/Book 29
Enterprise Value $753 billion
Gross Margin 22%
Net Margin


52 week high $900.40
52 week low $273
Average Wall Street Rating and Price Target Hold, $711


Tesla stock forecast

Now that the hard work has been done, it is up to Tesla stock to maintain the momentum and push on to the next big level at $780. Resistance based on the volume profile begins to thin out once we get above $740, meaning the move to $780 should begin to accelerate. Tesla remains above the 9-day moving average and the Relative Strength Index (RSI) and Commodity Channel Index (CCI) are all trending higher in line with price, confirming the move. There is a small resistance to get through at $726.94, which is the high from August 2 and the entry of the wedge/triangle. 


Like this article? Help us with some feedback by answering this survey:

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD drops towards 1.1300 as Omicron, inflation concerns weigh

EUR/USD is trading below 1.1350, consolidating the biggest daily jump in a fortnight. The US dollar rebound amid a cautious mood. Omicron, US-China woes keep investors on the edge, Rising US inflation expectations underpin the yields. US jobless claims, Omicron updates closely eyed.


GBP/USD trades with modest gains above 1.3200 mark, lacks follow-through

GBP/USD is trading flat above 1.3200, struggling to capitalize on the overnight goodish rebound from a one-year low. Fresh COVID-19 jitters pushed back BoE rate hike expectations and undermined the pound. Resurgent USD demand further stalled aggressive bullish bets.


Gold: Doji below 200-DMA teases bears, Omicron updates eyed

Gold portrays trader’s indecision below the key moving average following Wednesday’s bearish candlestick. Market sentiment dwindles as virus-linked news battles geopolitical fears. Friday’s US CPI becomes crucial as inflation expectations improve.

Gold News

Why MATIC price could soon see a meteoric rise toward the round level of $4

MATIC price appears to be ready for a major upswing toward $3.84. The governing technical pattern suggests that the layer-2 token is preparing for a 62% climb.

Read more

Cyber Monday 2021 Discounts!

Glued to your trading screen on Cyber Monday? Upgrade your skills by signing up for FXStreet’s Premium service, offered at a discount of up to 50%. Fellow traders have already taken advantage of Black Friday profits. What about you? 

Subscribe now!