Tesla recently posted a cash balance increase to $5.3 billion and reported a profit of $1.86 per share, shattering analyst expectations for a loss of 42 cents per share.
Elon Musk promised a 2020 rollout of a cheaper SUV and more self-driving technology to stay ahead of larger rivals rushing into the premium electric vehicle market he created.
Looking at the chart of Tesla, we can see that it traded between the range of $250-$390 for almost 2 years (mid 2017 to mid 2019), before breaking to test a major support level at $180.
From there, it has made a strong recovery, with a whooping 70% gain from its June 2019 bottom.
Now, prices are close to $300, and it looks poised to test the highs of $390 again.
I will continue to hold and look for opportunities to accumulate more again.
After trading for 18 years, reading 1500+ books, and mentoring 1000+ traders, I specialise in helping people improve their trading results, by using tested trading strategies, and making better decisions via decision science.
