How Tesla Inc (TSLA) Could Get To $400 In 2018

Tesla Inc (NASDAQ:TSLA) shares have suddenly reversed a previously bearish technical pattern, according to one prominent analyst, and now look poised for big gains heading into next year.

That’s according to technical anlayst Todd Gordon of TradingAnalysis.com, who explained his bullish thesis to CNBC this week:

“I like the consolidation that we’ve seen over the last several months, and we’ve just broken higher on news that Pepsi’s going to put a pretty big order in for trucks,” he said Thursday on CNBC’s “Trading Nation.” “That was the catalyst we needed to break out of the consolidation.”
According to Gordon, a descending wedge pattern has formed in Tesla, along with a consolidation that is now serving as a support level just above $300. “We should be able now to get a little push up towards $400 in early 2018,” said Gordon.

Gordon also says that Tesla shares recently bounced very strongly off the lower end of an upward trend channel. It’s now running toward the high end of that channel, which reaches to the $380 level. This, he notes, is a key level for the stock to break as Tesla gets closer to its next earnings report toward the end of February.

Tesla just opened its first-ever “full stack” retail store in Manhattan this week. The location sells not only Tesla vehicles, but also home solar power systems and batteries to store the energy, marking the first time all of its products are being sold under one roof.

Tesla Inc shares rose $4.31 (+1.28%) in premarket trading Friday. Year-to-date, TSLA has gained 60.55%, versus a 20.30% rise in the benchmark S&P 500 index during the same period.

TSLA currently has a StockNews.com POWR Rating of C (Neutral), and is ranked #18 of 24 stocks in the Auto & Vehicle Manufacturers category.

Let's block ads! (Why?)