Weaker technical forecast for Tesla as stock downgraded to Sell Candidate.StockInvest.us, 2 months ago
The Tesla stock price fell by -0.54% on the last day (Tuesday, 12th Jul 2022) from $703.03 to $699.21. and has now fallen 3 days in a row. During the day the stock fluctuated 4.99% from a day low at $685.11 to a day high of $719.32. The price has fallen in 6 of the last 10 days and is down by -4.84% for this period. Volume fell on the last day along with the stock, which is actually a good sign as volume should follow the stock. On the last day, the trading volume fell by -4 million shares and in total, 29 million shares were bought and sold for approximately $20.46 billion.
The last rating was given by Wells Fargo on Jul 11, 2022. The price target was changed from 900 to 820.Over the last 90 days, this security got 10 buy, 14 sell, and 1 hold ratings.
The stock lies the upper part of a very wide and falling trend in the short term, and this may normally pose a very good selling opportunity for the short-term trader as reaction back towards the lower part of the trend can be expected. A break up at the top trend line at $741.95 will firstly indicate a slower falling rate, but may be the first sign of a trend shift.Given the current short-term trend, the stock is expected to fall -29.49% during the next 3 months and, with a 90% probability hold a price between $326.22 and $523.15 at the end of this 3-month period. Do note, that if the stock price manages to stay at current levels or higher, our prediction target will start to change positively over the next few days as the conditions for the current predictions will be broken.
A buy signal was issued from a pivot bottom point on Tuesday, May 24, 2022, and so far it has risen 11.31%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. The Tesla stock holds sell signals from both short and long-term moving averages giving a more negative forecast for the stock. On corrections up, there will be some resistance from the lines at $709.19 and $701.67. A break-up above any of these levels will issue buy signals. Volume fell together with the price during the last trading day and this reduces the overall risk as volume should follow the price movements.
Tesla finds support from accumulated volume at $699.00 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
This stock has average movements during the day and with good trading volume, the risk is considered to be medium. During the last day, the stock moved $34.22 between high and low, or 4.99%. For the last week, the stock has had a daily average volatility of 5.59%.
Tesla holds several negative signals and we believe that it will still perform weakly in the next couple of days or weeks. We, therefore, hold a negative evaluation of this stock.Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Hold/Accumulate to a Sell candidate.Check full Tesla forecast and analysis here.