Matthew from the right trader dot com back again with another video today, we're gonna be talking about Tesla's stock and what's going on with it.

It's up almost 20% today alone, and it's been absolutely skyrocketing.

We're talking about, you know, a 100 plus move here, which is, you know, almost never seen before.

Uh, when it comes to stocks of this size, right, this market cap, I actually made a price prediction video on Tesla, Uh, just a few weeks ago, and it was a $65 billion market cap.

So the market cap more than doubled in you know what, Just one or two weeks, right, Which is absolutely crazy.

Now, I've seen a bunch of stuff going on in the stock market.

I've been trading for over five years, but moves like this really, very really happened.

And I mean, to be honest, I've never releasing a move of this scale on a bigger stock like this, right?

I mean, this is the type off price action that you see with penny stocks.

So for it to be happening to a big brand names stock like Tesla is absolutely extraordinary.

But you have to be careful when things get like this, right, because I'm not saying there's not a reason for it.

But I'm saying there's absolutely reason to be cautious with a move like this.

Not that we can't go higher first or that we may finish the year at over $1000.

All these things are possible, but you also have to keep it realistic with how fast can you go up and you know, such a short period of time?

Right?

And I'll talk about all the details of that, and I'll do it.

Technical analysis as well in just a second, but first going back to Ah, the Yahoo Finance.

Paige.

I just want to go over real quick some of the headlines that we're seeing, right?

So it jumped 20% on Panasonic's earnings.

That was today.

Obviously, it got a $7000 price target for 2024 Ah, by Ark Investments.

And you know, these are the type of kind of hype headlines that you're going to see when a stock is moving like this, right?

So you know it's not a bad thing or a good thing It just is what it is.

But I didn't want to comment on them real quick.

Now definitely recommend watching my stock price prediction video for Tesla.

Ah, leave a link to the play that's below And my prediction was very accurate.

I called for a breakout above $400.

Within the next two months, I said that we're going to get a new all time high breakouts to at least 420 or $450 potentially even $500.

And all those things were reached very accurately.

So once again, very accurate prediction.

Based on what?

Technical analysis?

Quick plug for my course, of course.

Uh, but you know that it is what it is right when you get a new all time high breakouts right, which is known as Blue Sky breakouts.

Because it's a new all time high above $400 stocks 10 to do very well in those times.

Now, by very well, you know, I usually mean to move two for 20 maybe $450 on the high side, right?

Something like this, where you end up, you know, basically doubling in price is ah whole different level of, you know, a blue sky break out Now keep in mind when you have a blue sky break out you don't have any previous resistance levels.

So that's something to keep in mind, right?

And right now, we haven't faced any results at all.

We literally flew from $400 all the way to basically $780.

Literally.

Now, why does this move makes sense?

Because I didn't want to talk about that as well.

It's not just all hype and, you know, fallacies here, right?

What we can see is we've been in a consolidation between $180.290 dollars, and this is something that I talked about my previous video for several years, right?

Pretty much back in 2014 is when we entered entered this consolidation pattern and it continued, well, right up until now.

So when you've been consolidating like this for over five years and you get that break out above the resistance level, undoubtedly, you're going to get a strong move now, Like I said, this is an extremely strong move.

I pointed out how we were gonna, you know, start pushing higher on the arse I and that.

You know, we actually went up all the way to 90 on the inside, which is extremely overbought.

Now, keep in mind, things can stay over bought for longer than people expect.

So you gotta be careful.

We went parabolic on the Mac.

The obviously parabolic on the price.

No, zoom in just a bit.

Here s so you can see what we're talking about.

But basically, uh, you know, we started to go parabolic Really exponential price action here.

A huge amount of buying volume as well as you can see by these green bars here at the bottom.

Nonstop.

Very strong buying volume for days in a row.

And actually, I'm on the weekly time from here, which is actually even more interesting perspective.

Believe it on the weekly timeframe, Uh, for now, but basically, on the week of time frame, this current candlestick pushed us completely above the Bollinger band.

And this is on the weekly timeframe which extremely wear when a candlestick gets completely above the Bollinger been, That's this, uh, pink line right here.

It is almost guaranteed to fall back below the range off the Bollinger bands.

Right?

And I also want to point out we didn't actually test our breakout area of $390.

We did test $400 but, you know, 455 $100.

We actually never came back and tested those breakout levels, which is concerning right?

Usually what you'll see is if we look back over here, for example, we always come out again.

We got our break out right here, right?

But we came back and tested it very shortly thereafter, right to test and close that breakout gap, and then we could move higher again.

So that's something that hasn't been done in this move.

And trust me most of the time, it absolutely needs to happen.

So I'm not saying that I'm necessarily seeing this coming crashing back down to $390.

But, you know, at least coming back down to $500 seems absolutely necessary right to continue this move higher.

So who knows how that's gonna happen?

Could we continue stretching out higher?

Yes.

We could go up to 809 $100,000 before really facing resistance.

We could also tomorrow fall back down significantly and start moving back to $500 to get that bouncer.

Who knows?

Maybe it'll really need to close that gap at $309 test this white middle bin again.

All these things are possible.

And basically, if I could make a couple predictions right now for Tesla, it's gonna be that one.

I would expect very volatile and very strong price action for at least the next six months, if not the entirety of 2020 for Tesla, both to the upside and to the downside.

So at this point, I wouldn't be surprised to see Tesla you know, either in the next few months or in the next six months, test the $1000.

That seems like a real possibility.

Who knows?

We could even see test let $202,400.

Nothing would surprise me at this point.

The move is obviously based on hype to a certain extent, but I think people are realizing that Tesla is more than just a car company.

It's really a tech company, and that's why that's $65 billion valuation that I've talked about many times is just too low, right when you compare it to companies like Amazon, for example, that aren't a $1 trillion market cap.

You know, obviously they're not in the same industry, but these air tech companies, right, Apple, $1.3 trillion market cap.

Tesla isn't at that level yet, obviously, and there's a bunch of things that would normally be wrong with making that comparison.

But in this scenario, where Tessa was maybe looked at too much by institutions as just a car company, and now they're seeing wait, they can actually expand into a whole bunch of energy and tech industries.

They're seeing that this could be 200 billion, 500 billion, even $1 trillion company in the future.

And that's why we're seeing this big change, right?

And obviously no one wants to miss out.

So everybody is jumping in right now.

That's how it goes.

So once again here, I just zoomed in on the daily time frame.

We've been overbought for a while here, but this move is typically an exhaustion candle, which means it's a overexaggerated candlestick higher above the Bollinger band, and it's kind of that one last big push before the drop.

To be honest, that's usually what it is.

So typically, you know, might the next day maybe test $800 after that it's it's gonna be back down.

We've got a lot of gaps to fill here.

And, you know, one of those bottom gaps that we need to fill is right around $430.

So it looks like it's exactly at $430.70.

So at the very least, that gap normally should be closed sooner rather than later.

And, you know, like I said, I'm kind of calling the exhaustion candlestick here.

Not to say that Tessa won't have other huge moves later in the year.

Uh, I would expect it at this point, but like I said, wild, volatile price action for the next couple months is very likely.

And that's really my My one biggest prediction that I can make is that it's gonna be bouncing up and down after something like this.

There's gonna be consolidation stuff like that.

But the wild moves will continue for Tesla for better, for worse.

And you know, don't be surprised if we see $1000 plus this year.

Anything is possible I would, you know, keep my mind open to any possibilities with Tesla, both to the upside and the downside.

But to be honest, yes, I do see a pullback happening, like I said, but also could see it going higher as well.

Uh, maybe even making new all time highs.

Then, you know, 1 $800 high later this year.

So be careful for that.

Gap most likely will need to go back to 500 or $430 to close those gaps and, you know, closed outbreak of those breakout levels or even $390 but also upside potential career.

Let me know your thoughts on Tesla.

I would be interested, toe.

Get your opinion.

Also, don't forget to check out my full Tesla's stock analysis and price prediction for 2020.

I think you'll be surprised by the accuracy of my calls, and we'll give you may be a better idea of what's more reasonable for.

Maybe tests let it happen, but that's it's already kind of broken.

You know, the reasonable bound of things with this crazy move.

Higher with that being said, Thank you so much for watching.

Don't forget to turn on my technical analysis.

Master course links that description.

It's less than $20.30 day money back guarantee.

If you want to be able to learn technical analysis and, you know, make calls that are accurate based on not just nothing based on technical analysis like I did with Tessler, right?

The predictions were very accurate.

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And it comes with this 30 day money back guarantee You have nothing to lose.

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This is a cheap, is it?

Guess and as good as it gets.

Thanks for watching.

We'll have a great day.