Tesla - Hold and wait the end of the price retracement
Based on technical Analysis, the idea is to go long (trying to invest in the trend direction), but before going long wait the end of the price retracement. For a short term investement there might be a possibility to go short and then once the price has tested again the trendline, to go long again.
Fundamental News:
Tesla Inc. (NASDAQ:TSLA) dethroned Toyota (NYSE:TM) as the most valuable car company in the world this past week. Shares of the Palo Alto, California-based carmaker have almost doubled so far this year despite the ongoing pandemic, while its peers stumbled and had to cut their dividends to preserve cash flow. Is it still justifiable to value Tesla as a car manufacturer at this point?
On Thursday, Tesla registered a market capitalization of $224 billion, while Japan's Toyota ended up with $204 billion. On the other hand, Detroit-based auto manufacturers Ford (NYSE:F) and General Motors (NYSE:GM) together were valued at $60 billion--not even a third of Tesla's gigantic valuation.
Based on technical Analysis, the idea is to go long (trying to invest in the trend direction), but before going long wait the end of the price retracement. For a short term investement there might be a possibility to go short and then once the price has tested again the trendline, to go long again.
Fundamental News:
Tesla Inc. (NASDAQ:TSLA) dethroned Toyota (NYSE:TM) as the most valuable car company in the world this past week. Shares of the Palo Alto, California-based carmaker have almost doubled so far this year despite the ongoing pandemic, while its peers stumbled and had to cut their dividends to preserve cash flow. Is it still justifiable to value Tesla as a car manufacturer at this point?
On Thursday, Tesla registered a market capitalization of $224 billion, while Japan's Toyota ended up with $204 billion. On the other hand, Detroit-based auto manufacturers Ford (NYSE:F) and General Motors (NYSE:GM) together were valued at $60 billion--not even a third of Tesla's gigantic valuation.