Tesla Price Levels to Watch as EV Maker Continues to Rally
Tesla (TSLA) shares are moving higher again Tuesday, extending a post-election rally that has sent the stock soaring to record highs.
Wedbush on Monday lifted its price target to $515 from $400 but noted that the stock could reach as high as $650 by the end of next year, arguing that the incoming Trump administration will give the legacy EV maker’s self-driving and artificial intelligence (AI) initiatives a boost.
The stock was up 2.5% at around $475 about two hours before Tuesday’s opening bell.
Through Monday’s close, Tesla shares have surged about 85% since the start of the year, with most of those gains coming after the Nov. 5 election on optimism that CEO Elon Musk’s close ties with President-elect Donald Trump will streamline the automaker’s approval processes.
The shares have trended sharply higher after breaking out from an ascending triangle, though the relative strength index signals extremely overbought conditions, which could lead to short-term profit-taking.
Bars pattern analysis, which extracts the stock’s sharp trending move from late June to early July and overlays it from the ascending triangle’s top trendline, forecasts a bullish target of around $510.
Investors should monitor key support levels on Tesla’s chart near $360, $300, and $265.
Read the full technical analysis piece here.
–Timothy Smith
