On Monday (7th) Tesla fell below the key level of $ 200 per share, erasing the earnings of the past 17 months and analysts believe Tesla’s future is not good.
Tesla plunged 5% Monday to $ 197.08 per share, the lowest close since June 2021, closing some gains on the S&P 500. After Musk took to Twitter on October 27, Tesla was down more than 12%. Compared to the broader market, the S&P index remained almost unchanged.that fingerIt fell only 1.9%.
Despite Tesla’s lower-than-expected vehicle deliveries in the third quarter, the temporary suspension of production at the Shanghai plant due to China’s anti-epidemic policy, the Federal Reserve’s rising interest rates, weakening consumer demand and Tesla’s massive price cut in China, Tesla’s share price is up this year, staying above $ 200 per share,
Analysts believe Twitter is responsible for Tesla’s fall below the $ 200 mark.
Investors worry about the distractions of Musk, who runs multiple CEOs, and want Musk to focus on Tesla, who is having a hard time in an environment of high inflation, slowing car demand and chain problems. of supply. However, the costs of raw materials are still high.
Musk’s controversial behavior has also worried investors. Since Musk took the helm, Twitter has seen massive layoffs and uncertainty over its content moderation policy, which sees advertisers suspend paid ad spending. Musk previously cited links to websites known to spread fake news in connection with the attack on US House Speaker Nancy Pelosi’s son-in-law, and later deleted the retweet.
Tesla dipped below $ 200 per share on Monday, hitting a 52-week low, shortly after Musk tweeted to his 114 million followers on Monday advising US voters to vote Republican in the midterm elections.
In terms of technical analysis, Tesla dipped below $ 200 per share and the basic pattern of head M was established, releasing a sell signal. Katie Stockton, founder of Fairlead Strategies, believes that if Tesla falls below $ 200 per share, then the key A next level is around $ 180 per share.
22V Research technical strategist John Roque believes that if there is more bad news about Tesla’s economy or fundamentals, Tesla could drop to $ 100 per share.
