Tesla stock price prediction

Tesla Share Price Prediction: Bear Flag Formation Development (see 4 hour chart below)

Tesla’s (TSLA) stock has been trading within a defined range recently, and the latest price action is printing a talked about technical pattern – a bear flag. Here’s a breakdown of what this means for the Tesla stock price prediction and its implications for traders and investors.

Why Tesla stock price prediction points to $360

• Bear flag pattern: Tesla forms a bearish continuation pattern.
• Anchored VWAP cross: Indicates weakening of bullish momentum when price crosses down.
• Price target: A potential drop to $360 based on the bear flag projection.
• Upcoming Catalyst: Tesla’s three-day earnings report could act as a trigger for increased volatility.

TSLA Stock Technical Analysis: Bear Flag Formation

• What’s happening: On the 4-hour chart, Tesla has formed a bear flag pattern. This bearish setup follows a significant pullback and has a consolidation phase angling upwards within a red channel.
• Key sign:
  • Price touched the upper limit of the red channel twice, establishing another touch point.
  • A lower high has formed, signaling weakened bullish momentum.

Anchored VWAP insight to Tesla stock analysis

• Key level: The purple line represents the anchored VWAP (volume weighted average price) from the start of 2025.
• What it means: Price crossing below the anchored VWAP shows that the average buyer is now underwater, potentially adding selling pressure as investors exit.

Tesla Stock Forecast: Key Levels to Watch

• Bear Flag Target: $360 aligns with previous support zones and the measured pull of the bear flag pole.
• Catalyst: Tesla’s three-day earnings report could provide the momentum needed to confirm this downward move.
• Key technical zones:
  • Lower limit of the bear flag for potential breakdown.
  • Stop placed above the upper limit of risk management.

TSLA Stock Price Prediction: Trading Strategy

• Bearish Setup:
  • Entry: Consider short positions on a confirmed breakdown below the bear flag. Or follow the ForexLive.com TradeCompass for possible past entries when you take quick partial profits (when the item succeeds) and can hang on to ‘runners’ for a swing trade.
  • Stopping: Above the upper limit of the channel.
  • Goal: Around $360, based on the measured motion projection.
• Risk management:
  • Earnings volatility can affect this trade setup, so position placement and proper stop placement are critical.

Forexlive.com TradeCompass On the Tesla stock

Conclusion: Tesla Stock Forecast Remains Bearish

Tesla’s 4-hour chart is flashing warning signals with the formation of a bear flag. The crossing of the anchored VWAP adds another layer of bearish confirmation. While earnings could introduce surprises, technically, a move towards $360 seems likely. Traders should monitor these levels and prepare for potential volatility.

Disclaimer: This analysis reflects the opinion of the author and is not financial advice. For additional views and insights, visit forexlive.com.