Asset Watch
Tuesday, November 22, 2022
Fundamentals aside, Tesla confronts a constructive technical backdrop. The stock ended the Nov. 18 session near its March and May 2021 lows, and an intraday rally helped it close above its November 2022 lows.
Furthermore, while Tesla’s stock has been making lower lows for some time, its daily RSI has been making higher lows. This signals that the selling pressure has become less intense, and the development often precedes reversals. As a result, with the momentum becoming less bearish, the next chapter after a consolidation is often a rally.
So, with support present in the $177 to $180 range, will Tesla regain pole position, or does the downtrend have more room to run?