TESLA CEO SAYS CONSIDERING BUY GM PLANTS, STOCK ABOVE ALL MAs
In the Premarket trading session on Monday, Tesla’s stock was trading at 363.40- higher by 1.52% as compared to its previous close.
In recent news, Tesla’s CEO Elon Musk said in an interview with CBS that the company would consider buying the factories that General Motors intends to idle. It would not be the first time the automaker is buying a GM plant. The Tesla Factory in Fremont, California is a former GM plant that closed in 2010 but reopened later that year under CEO Musk.
The CEO also said that he doesn’t respect the SEC but was adhering to the agreement because he respects the U.S. justice system. The SEC forced CEO Musk to step down as chairman of the board for three years. Tesla named Robyn Denholm, who was already on the board, as chairwoman.
CEO Elon Musk further disclosed that the long-awaited $35,000 version of the Model 3 will “probably” be available in five to six months.
On the technical front, the current price is above the MA5 (357.80) and MA20 (347.67). The current price is above the middle line of the Bollinger Bands and is heading upwards. The stock is expected to open higher today.
Overall Bias is Positive and short-term trades can be initiated with tight Stop Loss and Profit targets.
TRADE SUGGESTION-LIMIT BUY AT 362 TAKE PROFIT AT 367 STOP LOSS AT 359