What's going on moong, i hope you're having a great day a handful of you have been reaching out to me asking about a tesla update video. So here it is in this video. I will be going over the most recent updates from wall street analysts and then, after that, i will be doing a technical breakdown of tesla stock i'll, be mapping out the key price levels that will be in play in between now and tesla's. Induction into the s p, 500, but before we get into all that fun stuff, i want to take a quick moment to say thank you.

This channel just hit 6 000 subscribers, and i wanted to let you know that your support has been absolutely phenomenal. If you have any suggestions of what you would like me to cover in future videos, please don't hesitate to reach out to me and now without further ado, let's get started as i was doing research for this video. I came across some pretty interesting comments from both the bull camp and bear camp. I thought it could be helpful to share both of them, so you can better understand the two viewpoints.

Let's start off with the bulls demand from china could help tesla exceed its 500 000 vehicle delivery target and the stock could soar as much as 56. China could be the golden goose for tesla, says dan ives of wed bush. I really like this analyst he's actually been featured in quite a few of my apple videos anyway. Mr ives believes that the demand from china could help tesla reach or possibly exceed its once implausible goal of 500 000 deliveries by the end of 2020..

I've sees tesla surging 56 from current levels to 1 000. A share in his bull case scenario. Dan explained that tesla has seen robust continued demand in china and if that continues in december, the evmaker could surpass its delivery target. In november, tesla sold roughly 22 000 model 3 vehicles in china.

Here's a quote from them. We believe that the company is tracking to another strong month of december in china, which could be the tipping point to get musk and co to hits or exceed its 500 000 annual delivery target. Now this is a pretty bullish scenario, but if it were to play out, that would be huge news for both tesla and its stock in the third quarter, earnings call tesla reiterated its goal of 500 000 deliveries. So if that were to be beaten, you can bet that the stock would absolutely skyrocket.

However, not all analysts are so bullish, as always, there has to be a negative nancy or two tesla is a prime candidate to see its stock plummet after it enters the s. P 500 tesla has been one of the hottest stocks of 2020, but at least one analyst says, the electric vehicle company's price is too high, contending it to be worth between 60 to 80, rather than more than 600 a share. You heard that right, gordon johnson, founder and ceo of some research form is calling for sixty to eighty dollars a share, as in he thinks tesla will crash more than eighty percent. Now before you get mad at me and hit the dislike button.

I wan na clarify these are not my opinions, i'm just sharing what the bear camp has to say: tesla's upcoming addition to the s p 500 set for monday december 21st, which johnson says could see shareholders who were putting money into the stock ahead of the anticipated Event pulling back and the loss of government-backed ev credits from rival automakers now to be fair, this evie credits thing is a valid point to bring up, but personally i believe this is where he goes off. The rails. Johnson believes tesla's stock should be viewed akin to the likes of overhyped stocks like cannabis, company tilray. He also puts tesla in the same ranks as renewable energy company sun edison, which filed for bankruptcy in 2016..

I mean honestly, what is he talking about? I really don't see the connection he's simply pointing out other stocks that shot up and crashed and saying that's going to be the path forward for tesla. This reminds me of the analyst from jp morgan who is calling for tesla to hit 90. I know i know these are fancy wall street analysts and i'm just a guy on youtube, but when it comes down to it, the bear camp has lost more than 25 billion dollars, betting against tesla. So clearly something in their analysis is off.

Personally, i find it a ludicrous notion that tesla will plummet more than 80 percent from a high-level view. The ev sector is pretty popular right now, and it's set to become even more popular over the next decade. Tesla being the leading ev company is well positioned to ride the wave. Maybe my analysis is off, but all i know is that people who have invested in tesla stock are up big right now, alrighty, as we are getting very close to tesla's induction into the s p 500.

The stock is trading at 623. Today's volume of total shares traded was a little light compared to its own 10-day average, but i'm expecting the action to be very heavy on both friday, the 18th and then again on monday, the 21st over the past week to the past year. Tesla is in the green and from the start of 2020 until right now, tesla stock is up a very impressive 644. This is the current technical situation that tesla is in for those of you who are new to the channel.

Welcome and here's a quick summary of. What's been going on, this rally up to the last relative high of 502, was prompted by the excitement of the company's 5 for 1 stock split. Unfortunately, when that stock split actually went through, there was a plummet down to 326. from there.

The stock ping pong back and forth, making lower highs and higher lows, which formed this bullish pennant. Eventually, there was a breakout and a double top rejection right at 462., then in a pretty bearish manner, from mid-october until the start of november tesla did sell off and it even broke through this trendline. Eventually, support was found at 380.. After this correction, a new relative high was made followed by a new relative low.

I would like to point out that, from march of 2020, until right now, tesla has consistently been making higher lows, which is telling me that the stock is in a clear bullish. Uptrend, then, in mid-november it was announced that tesla would be included in the s p. 500, this is precisely the time that elon musk took tesla stock. Put it aboard a spacex rocket ship, hit the big red button and launched it all the way up to the moon.

The current all-time high is 654 and, from the point of the s p 500 announcement. The stock is currently up 52 percent. If this bullish momentum were to continue, the first resistance would come at 654, which would be a gain of almost 5 and past that we would be in the region of new all-time highs. So we would have to let price discovery play itself out in terms of support.

The first one would come just above 600, which is actually where the stock bounced today and two times previously, and also back in late november. It acted as resistance past that i would recommend watching the region between 560 and 540, both of which were supports, and now it would contain this trend line from the most recent close to get to the middle of that region. It would roughly be a decline of 11 percent. Obviously it would be quite a bit of a decline for tesla to get to 500, which was the last all-time high from september.

But if that were to happen, i would view it as an excellent investment opportunity. As things currently stand, i am favoring the bull case and that's because well there's a lot of bullish momentum. I would like to bring your attention to the rsi, though, if we take a look at these last two peaks just below 80 they're, essentially the same value. But if you look at the stock chart, the stock did make a new relative high.

This is referred to as bearish divergence and it's commonly indicative of a future decline or period of consolidation, and that's what we've been seeing over the past five days. An ideal situation moving forward would not only be for tesla to make a brand new all-time high, but we would also want to see the rsi get above the previous peak, so we can get rid of this divergence now to get a better idea of what might Happen over the next few training days, let's check out the 4 hour chart as a quick side note the name of this charting software is trading view and, if you're interested in testing it out, there's a link to a free 30-day trial. In the description of this video alrighty back to tesla, so from the point of the s p 500 announcement up until the start of december, the stock was caught in this bear flag that eventually broke down and found support. At 541.

from here, there was three failed attempts to get back into this channel and on the third rejection, the stock was knocked down to 566. This point really illustrates the bearish divergence. I was talking about the stock made a new relative high, but the rsi didn't - and this was followed by a brief decline. In fact, from december 10th until now, the stock has essentially been range bound between 600 and 640..

I'm expecting these small range days to stop pretty soon, because the upcoming volatility will most likely prompt, considerable swings. Now i can't tell you, which way tesla will go in the immediate future, whether that's up or down, but i can share my personal plan, so i'm already invested in tesla and my cost basis is exactly 400. If the stock were to drop, i would consider buying more between 540 and 560, and then i would definitely buy more at 500 and then, if and really most likely, when tesla makes a new all-time high above 654, i would lit the stock. Do what it does best ride, even higher, as i've already said, i am fully expecting some sizable swings over the next few days, so i would highly recommend proceeding with caution and paying attention to these technical levels of support and resistance and watching for divergence to be Formed in the rsi, as things continue to develop, both fundamentally and technically, with tesla i'll make sure to keep you updated in future videos, in fact i'll most likely be putting out another one very soon, so make sure you have your notifications turned on.

I would love to know your thoughts on tesla in a comment below what do you think that the stock will do on both friday, the 18th and then on monday, the 21st? Do you think that the stock will skyrocket, plummet or trade sideways and, if you have any questions, feel free to post those as well and i'll make sure to answer them in future videos, if you enjoyed this video, don't forget to drop a like, and if you Haven't already don't forget to join the moon gang by hitting the subscribe button? All that support really helps this channel out and is truly appreciated and as a quick reminder, if you're interested in free stocks make sure to check out the link to the weeble trading platform. In the description of this video, thanks for watching and until next time best of luck in the markets, you.