I got short squeezed but it's okay. I still think TSLA would go below 160. Probably next week. I don't see TSLA recovering or sustaining bullish momentum due to bad earnings. And I also think it was too soon to reach up to 165 level, attempting to go up to 170. It failed multiple times. Hence, I'm thinking, hard ceiling before it declines. Otherwise, perhaps, it's this week that TSLA was capped at 165 level, but next week might go higher. Nevertheless, I'm sure TSLA would try pump share prices higher because of that bad Q1 earnings. Would investors be satisfied? That remains unknown. Unless investors are impressed, my target price level for TSLA remains 158 for next week.
Comment:
Based on my quantitative research, TSLA's operating margin has been declining over the last three quarters. The significant drop to 11.4% says a lot about current dipping and I firmly believe that TSLA will continue downward trend to 158 level. Looking at FCF closely, I also see that TSLA has been declining FCF over the last three quarters. Inventory has been steadily increasing since 2020 Q4. This past earnings and conference call really did a number on TSLA and it placed TSLA on a short-term dilemma on moving three months forward (for the next earnings). Additionally, TSLA's operating margin has been steadily declining for the past two years. While some of the details I've mentioned aren't big of an issue, I would see it as a sign, with Elon's economic guidance into account, that TSLA may becoming weaker and it could potentially snowball into a problem. Though it is completely fixable and issues can be addressed. TSLA still remains strong, especially with its debt position and interest payments. One less things to worry about. Nevertheless, I would suspect that next earning would be stagnant. I wouldn't think it would necessarily be worse, but I wouldn't be surprised if it declined a little or pretty much stays the same. I believe TSLA would need approximately half of year to figure the current situation and the economic obstacles out. I don't foresee TSLA bullish in the near-term. While I wouldn't retract my optimistic 170 level, I am moreso bearish than bullish due to current situation.
Comment:
www.cnbc.com/2023/04...s-tech-earnings.html
"Future inches down as wall street awaits tech earnings"
I am assessing volatility is present, which can influence bearish momentum. If earnings are strong and there is an indication that forward quarters will be profitable, then that would be the start of bullish era. However, although earnings would be GOOD, I would think corporates would have LOWER guidance, which could, likely, have bearish momentum.
Still bearish.
"Future inches down as wall street awaits tech earnings"
I am assessing volatility is present, which can influence bearish momentum. If earnings are strong and there is an indication that forward quarters will be profitable, then that would be the start of bullish era. However, although earnings would be GOOD, I would think corporates would have LOWER guidance, which could, likely, have bearish momentum.
Still bearish.
Comment:
Per my pattern analysis, it did reached 158.70. I didn't took profit because I was still asleep as I live in middle of nowhere surrounded by pacific ocean and time difference is quite a huge. Nevertheless, I missed my chance to exit, however still recoup some of the losses, but no profit whatsoever.
Comment:
I will be updating another chart. If you're interested, please DM me.
Comment:
Sorry everyone, it's actually RISING wedge and NOT FALLING wedge. Anyways, I posted a part 2 in related ideas for tmrrw.
