Tesla - oversold or has the 'bubble' burst?
The Tesla daily chart is one I have been pushing of late, with the multi-year trend break getting some airtime. The new development is that price has closed through the 200-day MA for the first time since 18 March 2020. The last time price broke the 200-day it was a one-day affair before we saw a monster 412% rally over the coming 80 days. Naturally, it's hard to see that repeat again, especially with many technical measures showing TSLA is grossly oversold - but oversold can stay oversold - but it does highlight this is make or break time for the big EV – it is the posterchild of so many of the momo and low/no earnings stocks, so if price breaks down it could be well worth going with the flow.
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