TESLA BREAKDOWN
$TSLA breaking down on daily chart and closed below 100ma for the FIRST time in 6+ months... it did have nice bounce in the session back to 427+ but the selloff into close was pretty strong....
So what does this setup on daily chart mean?
>> In general, losing 100ma is a clear signal of mid-term weakness, which often comes with lower low tests to fill major gaps down....
>> BUT, in case of Tesla, last time it lost 100ma, it came back above it the next day and never dropped below it for the following 6+ months.....
>> Good signal today was the lack of heavy volume, meaning that bulls were reluctant to sell at this price level.... maybe waiting for earnings?
Moving forward, we should keep an eye on how 50ma moves around 100ma - if 50ma starts to dead cross 100ma, that'd be a very bearish technical signal... But if Tesla pulls back up, alarm off....
Key support levels below: 414 409 402-404 391-392
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