- 1 Tesla stock price (TSLA) gained 7.82% intraday.
- 2 The rise is attributed to a growing Chinese market and price cuts.
Tesla stock price gained after the China Merchant Bank International reported that the EV maker might deliver a strong quarter in the EV market. The car insurance registration data disclosed by the bank showed 106,915 new Tesla vehicles were registered in China from January to mid-March. China is a critical market for Tesla and EVs in general, and Tesla’s performance in China often makes for the difference in whether it has a profitable quarter.
U.S Government and Tesla CEO
When Elon Musk, CEO of Tesla, announced price-cuts for Tesla vehicles, many took it as a sign of debacle and predicted the automaker’s fall. The strategic price cuts boosted Tesla sales driving its market share in Europe and across the globe. European Union registrations of Tesla cars rose to 19,249 in February, as per European Automobile Manufacturers Association. In recent months, battery-electric vehicle (BEV) sales have amounted to roughly 20% of all new cars sold in China and almost 6% in the U.S. in 2022.
Apart from this, the Biden administration is promoting sustainable tech-growth and adoption of EVs by the citizens. Biden established national monuments in Nevada and Texas and a marine sanctuary in U.S. waters. In the past, many emission-reduction pledges and a sweeping spending bill were introduced.
These proposals reward American households and businesses for switching to EVs and replacing oil and gas powered operations with solar, wind and other greener options. Amid this push to sustainable energy, Tesla can capture a broader market and establish a pseudo-monopoly in the EV segment. Recently, Tesla finally rolled-out the Full Self-Driving Beta v11. It is a significant update that has Autopilot with the Full Self-Driving Beta Software stack.
Tesla Stock Price Action
Tesla stock price rose, turning the market bullish for the automaker. The trading volume for TSLA shows high volatility. The TSLA stock price witnessed a slight downtrend when Musk jokingly proposed to buy SVB when it collapsed. That negative momentum was reversed afte news of of a positive quarter broke. Tesla stock price rose by 7.82% during the intraday session.
The Fib retracement levels show Tesla prices currently in the third level. The rally may face resistance near $215.05. If the primary resistance is breached, the uptrend may reach near $259.35, marking a new high for 2023. The RSI spikes up, crossing the half line and enters the buyer-driven zone. The MACD nears a convergence and records descending seller bars. The indicators suggest this are the initial stages of a bullish momentum.
Tesla stock rose in the intraday session. The rally is attributed to the positive reporting by the Chinese bank regarding increased sales of Tesla cars. The possibility of Tesla having a profitable quarter can amplify the rally and mark new highs for 2023. Tesla holders can rely on the support near $160.00.
Support levels: $160.00 and $102.75
Resistance levels: $215.05 and $259.35
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Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.