Tesla Technicals Listened, Now What?

I said about a week ago, January 11th, "Today's action was a mini-short term breakout. The first of it's kind since the stock's been in a spiral-free-fall. There is still medium-term risk to lower levels, say 90 but for now technicals are giving it a chance to go up."

So today's up move of 7% is inline with technicals. Tesla Listened.

In perspective, its not amazing because it lagged the market meaning there's more sellers. It did well today with a report that discounts are working. Discounts help sales but hurt earnings. And since following TSLA, earnings are the driver to this stock. That's what all the analysts missed when I was a big lone sell-side bull a few years ago.

Still I think it will be short term overbought tomorrow or the next day but still has inches left to go in this move if it wants.

Fundamentals still have risk with demand, margins now based on discounts, and any more Musk margin calls.

Above is related to what we posted to subscribers in our post market update. Excluded from this post is the rest of our update (and of course our non-stop chat) which includes daily market calls, Fed calls, earnings calls, trading and medium term calls in other large cap tech stocks like TSLA and AAPL and key macro tickers like TLT, GLD, BTC and USO. Click this and you can try a free trial to get the rest, if you want. No pressure.

All investments have many risks and can lose principal in the short and long term. The information provided is for information purposes only and can be wrong. By reading this you agree, understand and accept that you take upon yourself all responsibility for all of your investment decisions and to do your own work and hold Elazar Advisors, LLC, and their related parties harmless. 'Model portfolio' trades are hypothetical to show direction, conviction and timing. If live trades are shown it is as an approximate snapshot at the time of publication and can change at any time in-between publications. Live Positioning section represents live trades and positions but excludes options hedges which can offset or change stated exposure levels. Elazar plans to but is not obligated to update changes in trades. Opinions given are at this moment and can change rapidly after this is published. If our calls are made public (outside the service) we may or may not update our opinions publicly. Elazar and its employees may take positions in the direction of the calls made in the service but also may add to or exit those positions at any time after this is published.