Tesla Fails to Rally Following Stock Split
Following a decent recovery rally over recent months, Tesla shares have stalled over August and have settled into a tight range between 281.39 and 315.77. The company posted solid Q2 earnings and 50% of the year’s losses before momentum fizzled out. Last week, the company underwent a 3.1 stock split though the move failed to spur the fresh wave of demand the company was hoping for given that much of the rally had occurred prior to the well signalled move.
Musk Focused on Self-Driving Tech
Speaking at an energy conference in Norway this week, CEO Elon Musk declared that his main focus this year was on the group’s SpaceX starship program and readying self-driving car technology ready for roll-out in the US and Europe, depending on regulatory approval. Speaking at the event, Musk said: "The two technologies I am focused on, trying to ideally get done before the end of the year, are getting our Starship into orbit... and then having Tesla cars to be able to do self-driving. Have self-driving in wide release at least in the U.S., and... potentially in Europe, depending on regulatory approval."
Technical Views
Tesla
The rally off YTD lows has seen Tesla shares trading up as high as 315.77 before stalling. For now, while price holds above 281.39, the focus is on a continuation higher, with 363.61 the broader objective for bulls. Should we slip lower here, the next key support is at the rising trend line and 255.61 level.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.