On Wednesday, we took a look at support on the daily chart of GLD.
For today’s chart of the day, we’re going to take a look at Tesla, Inc. (TSLA).
TSLA is an American electric vehicle (EV) and clean energy company headquartered in California. It’s the largest auto manufacturer in the world based on market value.
Fueled by speculators getting in ahead of its 5:1 stock split, as well as anticipation of being included in the S&P 500, TSLA moved 74% higher in August alone.
Disappointment came in when TSLA was, in fact, not added to S&P 500 last week, and profit taking came in swiftly on the disappointment.
Let’s take a look at the daily chart below and see how TSLA looks now:
As we can see, TSLA found support from its previous high in July, and is starting to bounce.
Here’s the thing, though…
There’s no confirmation that this is anything other than a reactive bounce off support. If it fails, the next support level sits down at the lower Keltner Channel.
There’s no PowerTrend buy signal here — so we can watch it, but there’s no trade entry yet.
See ya tomorrow!
Analyst, Chart of the Day