Tesla dumfounded, earnings and Fed to blamed.
“Tesla latest earnings report posts significant growth albeit lower than consensus.”
Tesla share price nosedived last week following the release of quarterly earnings report which worries investors. The Texas-based electric vehicle maker delivered 343,830 units in third quarter, which translates to 42% of growth. However, the company missed forecast of 359,000 units, which Tesla places the blame on challenging logistic and costs balancing. Moreover, with Federal Reserve expected to raise interest rates further, investor’s expectations towards US equities continues to dampen.
Quick recap on TSLA
Bearish tilt is apparent on Tesla as previous attempts to recover from the lower boundaries remains fruitless.
TSLA Weekly Technical Analysis
Tesla share price extends lower as it retraces from strong resistance near 311.
TSLA Daily Technical Analysis
From daily perspective, the pair is expected to move further down, towards the support of 258. This will be the key support level to lookout, for further confirmation on bearish tilt.
Trading Idea
ORDER: SELL STOP
ENTRY: 250
STOP LOSS: 255
Target 1: 240
Target 2: 230
ZFX Analyst’s Comment
Overall, Tesla share price may thread lower in the mid and long-term as bears continues to place pressure from the upside. Thus, a substantial close below the nearest support would provide further confirmation.
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Risk Warning: The above content is for reference only, and does not represent ZFX’s position. ZFX does not assume any form of loss caused by any trading operations carried out in accordance with this article. Please be firm in your thinking and do the corresponding risk control.
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