Tesla stock has been particularly volatile as of late. Shares have moved more than 4%, up or down, eight times over the past month. That kind of trading can leave investors breathless—and looking for some direction.
Stock charts can help. Technical analysts don’t make fundamental calls on shares of Tesla. Instead, they look at charts and market history to understand investor sentiment and where investors might buy more or sell more of any stock.
“Tesla has been working its way higher since the [August] breakout,” says Fairlead Strategies founder Katie Stockton. Breakout, or breakdown, are technical terms that indicate something has changed in investors’ thinking and the stock is in a new trading pattern.