TESLA’S STOCKS RISE ABOVE MA5 AFTER REPORT OF INVESTMENT INTEREST BY VOLKSWAGEN
Tesla’s stock is currently trading at 223.88-higher by 1.38% as compared to the previous closing price. In the pre-market trading session, the stock was trading higher by 2.30%. The stock has pared some of its earlier gains after the opening bell.
Tesla stocks surged today after Germany’s business publication Manager Magazin reported that Volkswagen CEO Herbert Diess is interested in acquiring a stake in the U.S. automaker. Manager Magazin further said that CEO Diess believes Volkswagen could profit from the U.S. automaker’s competence in the field of software and batteries.
A big sticking point for any deal would be landing approval of Volkswagen’s dominating owner families. The report comes after Walmart filed a lawsuit against the Silicon Valley electric-car maker alleging negligence as the company blamed roof fires at several stores caused by Tesla solar panels. Stocks of Tesla have fallen about 34% so far this year.
On the technical front, the RSI is currently at 45.08% and suggests that the market can move in the upward direction. The current price is above the MA5. The current price is below the middle line of the Bollinger Bands but is heading upwards.
TRADE SUGGESTION- LIMIT BUY AT 223.40 TAKE PROFIT AT 226.00 STOP LOSS AT 222.10