Just like the rest of the stocks listed on NASDAQ, TSLA had a terrible day in the market yesterday. Tesla share price was down 11.62% for the day which brings its weekly loss to 20.32%.
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Tesla Share Price, Daily
Aside from risk aversion stemming from the coronavirus pandemic, the stock was hit hard by downgrades to its price target. An analyst from Morgan Stanley, Adam Jonas, downgraded his 1-year price target for Tesla share price. It was initially set at $500 but given how the coronavirus has impacted Europe, he revised it to $480. According to him, vehicle sales for the electric car-maker will likely to be dampened this year because of the pandemic.
Tesla Share Price Outlook
On the weekly time frame, we can see that Tesla share price is already testing support at the Fib levels (when you draw the Fibonacci retracement tool from the low of June 3, 2019 to the high of February 3, 2020). Reversal candles around 483.00 to 575.00 could mean that the stock may soon trade higher to its recent highs at 968.99.
On the other hand, if the sell-off continues, the Tesla share price could fall to its near-term support at 360.00. This price offers a confluence of support with: the rising trend line (from connecting the lows of June 3, August 19, and September 30), previous highs (from January 2018 to December 2018), and the SMAs (100 and 200).