Chart of the Day: Does Tesla Need to Recharge its Batteries?

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Tesla rallied more than 50 percent from its lows of the year through earlier this week. But now it may be running out of juice.

The main pattern on today’s chart is the price area around $939. It was the opening price on May 5 before TSLA knifed under its 200-day moving average and proceeded toward $600. Price touched that level on August 4 without closing above it. The same thing happened on Tuesday, resulting in a potential double-top at a previous breakdown level.

Next, there’s …

For more, please click here to view the related idea and chart analysis on TradingView.

Tesla (TSLA), daily chart with selected patterns and indicators, courtesy of TradingView.
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David Russell is Global Head of Market Strategy at TradeStation. Drawing on nearly two decades of experience as a financial journalist and analyst, his background includes equities, emerging markets, fixed-income and derivatives. He previously worked at Bloomberg News, CNBC and E*TRADE Financial. Russell systematically reviews countless global financial headlines and indicators in search of broad tradable trends that present opportunities repeatedly over time. Customers can expect him to keep them appraised of sector leadership, relative strength and the big stories – especially those overlooked by other commentators. He’s also a big fan of generating leverage with options to limit capital at risk.