Tesla Shares Continue to Soar to New Highs
Tesla (TSLA) shares reached a new all-time high on Wednesday, marking the sixth consecutive day of gains following a significant post-election rally. The stock has been on an upward trend since breaking out from an ascending triangle pattern early last month.
Analyst Recommendations Drive Bullish Sentiment
Wednesday’s gains were fueled by positive comments from Wall Street analysts. Goldman Sachs highlighted Tesla’s potential in self-driving cars and robotics in the era of artificial intelligence (AI), while Morgan Stanley named the stock its « Top Pick. » This bullish sentiment pushed Tesla shares up by 5.9% to $424.77, reaching a record high not seen since November 2021.
Technical Analysis Indicates Potential Price Targets
The technical analysis of Tesla’s weekly chart shows a clear breakout from the ascending triangle pattern, signaling continued bullish momentum. The relative strength index (RSI) suggests overbought conditions, but also confirms the stock’s positive price trend. Investors can use the measuring principle technique to forecast a potential bullish price target at $585.65.
Monitoring Key Support Levels
As Tesla’s stock enters uncharted territory, it is crucial for investors to keep an eye on key support levels. The $380 mark is an important level to watch for potential retracements, followed by $300. Failure to hold these levels could trigger a pullback in the stock price.
Source : www.investopedia.com