Time to sell TSLA at $250
Tesla has gained 126% this year in 2023, and in the last one month it has gained 44%, which is quite impressive and has been one of the 7 stocks that helped boost the S&P 500 in the last one month. If you are not aware, the 7 stocks are Apple, Microsoft, Amazon, Nvidia, Alphabet, Tesla & Meta, and their combined weight is around 26.8%.
Tesla ytd 2023 performance gained 126%!
The stock price has gained recently due to partnerships with Ford and General Motors on joining Tesla's Supercharger network. Both Ford and General Motors electric vehicles are adopting Tesla's North American Charging Standard which could boost electric vehicle adoption in the US. It is projected that electric vehicle adoption is expected to soar until 2030 to more than 50% market share.
Also, China deliveries have rebounded from a difficult 2022. According to China Passenger Car Association, Tesla has delivered 422,875 electric vehicles in the first quarter of 2023, showing 36% YoY growth.
Technical Analysis RSI 85 & Weekly 100 MA resistance
Tesla daily chart - RSI 85
Looking at the daily chart, the RSI on 14 timeframe has reached 85, indicating that it has been overbought. Also it is approaching a major downtrend line since November 2021, hence investors would likely be cautious in taking long positions at this time. It is likely the price action will reject the $250 level, considering that the 200 daily MA is still on a downslope. If you are looking for a long, wait for support to form either at the 50 daily MA ($183) or 150 daily MA ($175).
Tesla weekly approaching 100 weekly MA
On the weekly chart, there is a likely rejecting off the 100 weekly MA as sellers are most probably looking to take profit after such a strong run in the last month, posting 4 very strong candles on the weekly timeframe.
It is also possible that the 200 weekly MA will this time act as resistance, which is around $183 level, and that will coincide with the 50 daily MA.
Hence it is better to be cautious and take your profits now, or hedge your positions by buying put options or selling covered calls (eg around $260 strike) and collect some premiums, if you expect that the price action might drop or not increase much.
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We have great support levels on this. Will not drop tesla to strong. Green friday with big rally power hour
Growth is over and ballon will explode, now follow fall the in the rest of the year.
This P/E over 70 is enormuos, and competiton is bigeer and bigger, and margins lower.
Tesla's stock is revving up like a Tesla Roadster on Ludicrous Mode! 🚗💨 Buckle up for the ride
Tesla's performance is electric! It's charging ahead faster than my phone battery drains
Wow, Tesla's on fire! 🚀 With gains like that, I might start calling it Teslamazing
Straight down its also not usual too, but Tesla was 108$
Great ariticle, would you like to share it?
I'm so amped up, I might just rename my dog "Elon Musk
Tesla's gains are shocking in the best way possible!
TSLA to the moon on a Space X rocket..!