Stock of the day: Tesla
04 October 2023
Tesla, a titan in the stock market, hovers on the precipice of a crucial trading signal, embroiled in the narrowing ends of a symmetric triangle pattern. This pattern, typically signifying a period of lower volatility, has traders poised for the emergence of increased momentum and subsequent breakout, inevitably thrusting volatility into a new realm.
As delineated by black lines on the chart, the converging apex of the triangle becomes a crucial juncture: a breakout above its upper line whispers of a buy signal, aiming for a first target nestled at the yellow horizontal resistance of $315. Conversely, a breach below the lower line nudges traders towards a sell signal, casting eyes towards a potential target at $213, where support is gently marked with an undulating green color, promising a complex trading scenario in the times ahead.