What's going on moon gang, i hope you're having a phenomenal day. My name is matt and in this video i will be discussing the leading electric vehicle company. Tesla tesla stock is about to have an incredibly important week because the company will be releasing their next earnings report. This wednesday on october 21st, make sure you watch the entire video because i'll be covering what the analysts are saying.

I'll talk about inclusion into the s, p, 500 and i'll be doing a technical breakdown of tesla stock. But before i get into all that, if you're new to the channel don't forget to join the moon gang by hitting the subscribe button, this channel just crossed 3 thousand subscribers. So i want to take a moment to say thank you. Your support has been truly incredible.

If you enjoy this type of content, it would be awesome if you could drop a like, because it really helps with getting this video in front of other people and now with that out of the way, let's get started as we are getting closer and closer to Tesla's next earnings announcement, it's being predicted that tesla will gain another 14, as the company closes in on 500 000 annual deliveries. Analysts at wedbush are saying strong third quarter delivery set tesla up for a healthy earnings b on wednesday, and a sales milestone before the year is out with electric vehicle demand rebounding from a mid-2020 slump. Tesla is on track to beat earnings expectations and reach a delivery milestone. The analysts lifted their price target on tesla from 475 dollars to 500, and wed bush maintains a neutral rating on the shares.

The 139 000 deliveries seen last quarter also brings tesla closer to the 500 000 delivery target this year. Pent-Up demand in china in areas of robust sales in europe are the key drivers for reaching the goal. The 500 000 delivery target marks a line in the sand. That was a pipe dream six months ago, as tesla has navigated this unprecedented rona backdrop.

Positive earnings represent the heart and lungs to bullish. Investors hopes after years of quarterly losses. I wanted to bring this article to your attention for a few reasons. The first is that it's always nice when wall street raises their price target on a stock that you're invested in, because there's a chance it could be followed by a bullish upswing.

Second, it's always good to know what specific metric analysts are paying attention to and for this earnings report it will definitely be deliveries and third, they mentioned positive earnings. This is key when answering the golden question will tesla be included in the s p 500. As i was doing research for this video. I came across this interesting article on barons.

Why the s p 500 can't afford to keep tesla out. Tesla is expected to produce another quarterly profit when it reports third quarter numbers after the market closes on wednesday october 21st, when numbers come out, tesla bulls and bears will pour over margins. Regulatory credits and statements from elon musk about production capacity and future demand a quarterly profit will restart another debate as well s p, 500 inclusion, one strategist on wall street, believes it is imperative for the index, not the company to include the electric vehicle pioneer tesla qualified For inclusion into the s p, 500, but the s p 500 has passed over tesla stock a couple of times since then, adding pool and etsy instead of tesla wall street analysts and pundits have speculated that s. P global spgi might be scared off by excessive stock volatility or the fact that regulatory credits help boost second quarter profits, not having tesla in the s.

P 500 is frankly a little odd. It's the world's most valuable automaker tesla's market significance is one reason to put it in, but another reason is the fact that the s p 500 is lagging behind peer indexes that already have tesla in it. The s p underperformance will pressure the committee to include tesla. Now this is a big deal because some believe s p inclusion will boost tesla stock because index funds will be forced to buy the stock.

A lot of money measured in the trillions of dollars, is indexed to the s p 500, but others think indexation will only provide a temporary boost to the stock. Previously, when tesla was snubbed from the s p 500, it did cause a decline in the stock. So if it is included after this quarter, i would expect a reciprocal upswing. I mean, after all, index funds would be forced to buy millions of dollars worth of the company and as demand goes up, so does the stock's price alrighty.

Then we covered that analysts have been raising their price target on tesla. We discussed that the stock will most likely be included in the s p 500 after this quarter, which will most likely prompt a bullish upswing. So now, let's do a technical breakdown of the chart. Tesla trades under the ticker tsla and when the market closed for the day the stock was just below 431 dollars.

This means that tesla has a market cap just above 400 billion and over the past month, it's down two and a half percent over the past three months, it's up 37 and over the past six months, it's up 214, if you watched any of my previous technical Analysis, videos on tesla, you know that we've been paying attention to this primary wedge structure and this subsequent breakout. Thus far in the month of october, tesla is up 0.42, as things currently look. It does seem as if tesla will continue downward, to see if it could find demand in between 425 and 412. As of the most recent, close 425 would be a decline of 1.3, which could potentially align with this blue trend line and 412, which is a proven support, would be a decline of 4.3 percent now, obviously, when it comes to the stock market, anything could happen, but I think there's a low likelihood that tesla trades below the low set on october 6th from a technical perspective.

This is a bullish breakout and we made a new higher high and from a fundamental perspective, it seems as if tesla is doing extremely well with their vehicle deliveries, and if this holds true, i bet it will be met with praise by the stock market. If this scenario becomes reality at the next earnings report, which is on october 21st from the current levels, the first resistance at 449 would be a gain of 4. The next at 462 would be a gain of 7 and if the bull camp can get the stock above that, we would then be testing the all-time high at 502, which would be a gain of almost 17 from a technical perspective. Tesla stock is putting in higher highs and higher lows, which makes me personally think we will be testing the all-time high just above 500 in the near future, but keep in mind big announcements could alter the fundamentals of this company, which would change the trajectory of the Stock, so to get a more detailed understanding of what we should be looking for.

Next, let's switch over to the 4-hour chart. The wedge structure that you see on the screen now is different from the one that i had on the daily chart. This region represents the breakout of the previous wedge, and this new one is connecting the post-market lows with the two most recent highs. I think that this time frame does a better job at showing why i think the stock will bounce in this particular region.

Not only is there this blue trend line, but there's also this incredibly important support that has been tested on four separate occasions because of these two things, i think there will be a lot of demand in this area which will most likely trigger a bounce. If this prediction comes true, the bull camp definitely has their work cut out for them there's resistance at 449 462, and then we have this top trend line just below 470.. If the stock gets above this - and that's a big - if because this is a lot of resistance, it would then be clear sailing to the all-time high at 502, and just so you know there is an all-time extended hours, training high of 437 in the short to Medium term, as long as the stock remains above 412, i will remain bullish on the company, but if it happens to break below that, i would become worried here and then, if it gets below 450, i would start to become extremely worried, but i should also add From a long-term perspective, i will remain bullish on tesla because i believe in the company, and i truly think that elon will be able to hit all of his goals and on more of a personal note, just to keep you updated, i do still own all of My shares of tesla and my cost basis is just above 400.. This is now a profitable trade for me because my risk is set to 412.

So in the worst case scenario, i'm still making about seven dollars a share. Clearly, i don't want this situation to play out and i would prefer to realize my gains closer to 550 and 600. If i decide to do anything with my shares of tesla i'll make sure to keep you updated. To sum things up, i personally think that tesla stock is about to have a very interesting week, so i would definitely recommend paying close attention.

Both the earnings report and s p, 500 inclusion decision are big deals that could easily prompt a notable swing in the stock. So as things continue to develop i'll make sure to keep you updated in future videos, but with that being said, everything expressed in this video and really all of my videos are my own thoughts and opinions and i'm not a financial advisor. So make sure to do your own research. I would love to know your thoughts on tesla stock in a comment below.

Are you buying, holding or selling also feel free to post any suggestions for what i should cover next, if you want a free 30-day trial of the charting software that i use, there's a link in the description of this video and there's also a link to smd Trading, this is a training group full of awesome people who talk about this type of stuff on a daily basis. I would highly recommend checking both out if you enjoyed this video and you want to support my efforts and making more there's a few things you could do to help me out. You could drop a like leave a comment and join the moon game by hitting the subscribe button thanks for watching and until next time. Best of luck in the markets, you.