A Fresh Look At Tesla’s Chart: Up 71% In Just Weeks

Tesla Motors Inc (NASDAQ: TSLA) shareholders have had quite a bumpy ride so far in 2016. Incredibly, after starting off the year with about a 40 percent dip down to around the $140 level, Tesla has rebounded and is now down only 1.7 percent on the year.

But how much technical damage did the big dip do to Tesla’s chart, and has the big bounce-back put it on a more bullish technical trajectory? Here’s a closer look at Tesla’s chart.

THE GOOD NEWS

The good news for Tesla bulls is that the stock’s recent surge has broken it above the downward-sloping resistance line that had been in place since mid-2015. The stock also had no difficulty re-claiming the $180 level, which had served as support several times prior to the stock’s 2016 swoon and could have potentially been significant resistance during the bounce-back.

It’s hard to believe that a stock can make a 71 percent push higher in a matter of weeks and not have a more bullish chart, but unfortunately Tesla’s January sell-off did a lot of damage to the chart.

THE BAD NEWS

Despite the big surge, Tesla has…

Click here to continue reading

Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common SenseI don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Sense is now available on Amazon, and tradingcommonsense.com is always available on your local internet!