Hello there moon gang, i hope, you're having a great day. My name is matt and in this video i will be discussing not one but two of the most popular electric vehicle companies. I will be doing a technical analysis of tesla stock and workhorse stock, because both of these stocks are approaching pivotal levels, which means there will be some opportunity to make some money now before i get started. If you enjoy this type of stock market content and want more, you should consider joining the moon gang by subscribing to the channel, hitting that big red button is absolutely free and you would be helping me hit my goal of 5 000 subscribers by the end of This year, i would also love to know your thoughts on tesla stock and workhorse stock in a comment below.

I will make sure to respond to all of you now with that out of the way, let's dive into it, the stock market just closed for the day and tesla which trades under the ticker tsla ended the day just below 414. This means that in the month of october, tesla is currently down just under eight percent. To give this a little bit of perspective, though, over the past three months, it's up 51 over the past six months, it's up 280 and from the start of 2020. Until now, tesla is up an incredible 400 and, as a quick reminder, this purple line is the simple 50-day moving average and here's.

My previous technical analysis, as you can see, tesla stock is in this overall wedge structure and the bulls and bears are currently battling. It out at this top blue trend line on october, 1st tesla stock managed to break out of this overall wedge structure, but that was short-lived and we've spent the last three trading days reaffirming this support at 412 dollars. This is an incredibly important line in the sand because the stock has caught itself here on multiple occasions and at one point back in august, it even served as resistance if the bull camp wins this particular fight. That would reaffirm this upward trend because it would mark the fourth higher low since early august and if the stock can manage to get above this previous resistance at 462, that would officially mark a new higher high, which would set up a test of the all-time high.

Just above five hundred dollars from the most recent close, the previous high would be a gain of eight percent. The first major resistance would be a gain of 12 percent and the all-time high is 21 away, but on the other hand, if tesla doesn't bounce here, i would look for demand to be found at this bottom trend line, which also aligns with the 50-day moving average And the stock managed to bounce here twice before i would argue that tesla's daily chart is favoring the bulls from a risk to reward perspective. The stock is currently sitting at a previous support, and the next support would only be a decline of 5 percent, and on top of that, the overall technical structure is a bullish wedge and we're consistently seeing higher lows. As soon as we see our first new higher high, i think we'll be off to the races and test the all-time high at 500, but to get a better idea of what might happen in the immediate future, let's switch over to tesla's 4-hour chart.

Now we can get a better idea of what might happen with tesla in the coming days, even though the stock is at a region of high support, there is a considerable amount of resistance. Just overhead, as you can tell, the stock did a lot of consolidation in between 430 and 462, and it was even previously rejected halfway through that region. On october 1st, this means that if tesla were able to bounce at 412 dollars, it would have to battle it out just below 450, and if it's able to surmount that there would be another resistance close by at 462.. Now i don't think the stock will have an easy time getting above this resistance, but if it does there's a high likelihood, it would be on its way to testing the all-time high.

So, in other words, once we get above 462, you can pretty much say hello to 500 and in terms of risk. If the stock doesn't immediately bounce here, there could be demand found at the psychological level of 400, which could potentially align with this top trend line. And if the bears pushed the stock below that demand could be found at this bottom trend line. As long as the stock isn't making lower lows, my short-term thesis on tesla will remain bullish.

Now, let's switch gears to workhorse workhorse trades under the ticker wkhs and its stock is currently sitting just below 24. In the month of october, workhorse is down almost 7 and over the past one month, it's up 21 over the past three months, it's up 43 and over the past six months, it's up an incredible 1 300 from early july. Until the end of september, workhorse was essentially range bound in between 14 and 18, but then, when september started, it was able to break out and similar to tesla. It's now in this bullish, wedge structure, but unlike tesla workhorse has been unable to break outside of its wedge, which means, even though we're making higher lows we're also making lower highs.

I recently bought more shares of workhorse on this dip and my average cost was just below 23. and at the time i thought it was a little early, because i wanted to wait for this region of support. But then, the next day the stock was trading higher and even early this morning we were on our way to testing this blue trend line, which would have marked a breakout. So i thought i may have gotten lucky.

Unfortunately, it was rejected at this area, which includes the psychological level of 25 and now we're sitting at 24.. The next few trading days for workhorse should prove to be pretty interesting. I see three possible scenarios. The first scenario, the bullish case, would be if the stock retests this resistance and is able to break out above the trend line and move on to test the 29.

This would mark a gain of 19. The second scenario, the bear case would be if workhorse stock continues to decline and even breaks below this bottom trend line, which would be a decline of four percent. If this does happen, that would set up a test of this support at 22, which would mark a decline of almost nine percent, and the third scenario would be when workhorse keeps us on the edge of our seat and continues to fill out this wedge, which would Be possible all the way up to october 12th, for this uptrend to continue workhorse would have to make a new high above 2862 and a downtrend would be confirmed if the stock breaks below 22.50. Now, let's take a quick peek at the four-hour chart, so we can get a better idea of what might happen in the immediate future.

The only level on this time frame that wasn't evident in workhorses daily chart is this key psychological level of 25. Beyond being a number that we give importance to, the stock was previously rejected here, consolidation support and another rejection in early september, depending on how long it takes this wedge to break. There is a chance that this resistance could align with this top trend line, which would make it even more difficult for the bulk amp to push the stock above. But if the stock does break out, i would expect it to have an easy time on its way to testing the next resistance just below 29.

And of course, if we get above that, that would then set up a test of the all-time high at 31. For those of you interested, the first resistance would be a gain of 4. The next resistance would be a gain of 20, and if we were to test the all-time high, that would be a gain of almost 30 percent and on the flip side, the first support would be a decline of almost 9. The last major low would be a decline of almost 15 percent, and the second major support would be a drop of almost 18.

All in all, workhorse is consolidating tighter and tighter in this wedge structure, even though i want it to break upward, there isn't much that can be done until it breaks one way or the other and, as a quick reminder, don't forget to pay attention to the overall Market, the s p 500 is tracked by the etf spy. Obviously this isn't a golden rule, but if the market breaks below the support it could increase bearish sentiment, but if the s p 500 manages to catch itself or bounce off of this previous support at 331 dollars and then return to 342. That could bolster the overall market and i would be specifically excited if it manages to break out above this previous resistance from a long-term perspective, i'm bullish on both tesla and workhorse. They are solid companies that should be able to easily ride the massive electric vehicle wave from a short-term perspective.

Tesla is approaching a technical support, where i think there is a decent chance that the stock could bounce and, on the other hand, workhorse is approaching a technical resistance where honestly anything could happen. But i had my fingers crossed for a breakout, as things continue to develop i'll make sure to keep. You updated in my future. Videos make sure you're watching the overall market because it could be used as a barometer of sorts and with respect to workhorse, make sure you're paying attention to any announcements related to the usps contract.

But with all that being said, these are just my personal opinions and i'm not a financial advisor so make sure to do your own research. I would love to know your thoughts on both tesla stock and workhorse stock in a comment below and also feel free to post any suggestions or recommendations for what i should cover next, if you're interested in my charting software there's currently a free 30-day trial and if You're, looking for a group of traders who talk about this type of stuff on a daily basis, i would recommend smd trading, there's a link for both of these things in the description of this video. If you enjoyed this video, let me know by hitting the like button and if you want to join the moon gang subscribe to the channel and help me hit that goal of 5 000. thanks for watching and until next time.

Best of luck in the markets, you.