Usman Salis
⬤ Tesla is sliding into a key demand zone between $380 and $400—a level that's triggered strong rebounds in the past. The stock has broken below a short-term rising trendline and is now descending straight into this high-interest area. Technical analysts are watching closely to see if buyers step in at this historically important support level.
⬤ Policy uncertainty isn't helping. Talks around new tax reforms and potential cuts to green-energy incentives are adding stress to the EV industry. Higher corporate taxes could squeeze margins, while reduced subsidies might hurt smaller suppliers—some could even face bankruptcy. There's also concern that top engineering talent might leave for better-funded tech sectors if innovation budgets get cut. For Tesla, these broader risks are piling on just as the stock hits a critical technical level.
⬤ The $380–$400 range is Tesla's immediate line in the sand. If it holds, we could see a bounce back toward the broken trendline. If it fails, Tesla might enter a deeper correction—especially with macro headwinds and rising competition in the EV space. Either way, this test could set the tone for the stock's direction over the next few weeks. Traders and institutional investors alike are bracing for what happens next.
Usman Salis
