Saad Ullah
⬤ Tesla shares are sitting near the top of a multi-year rounded bottom pattern on the monthly chart—a sign the stock's been building a long-term base rather than gearing up for a quick move. During the recent earnings call, management shifted focus away from older, lower-impact products toward AI and robotics projects, including the Optimus humanoid robots. The chart shows price holding steady near a zone that's been important historically, but there's no breakout just yet.
⬤ The rounded bottom pattern took years to form, which typically means a slow accumulation phase rather than explosive momentum. Tesla tested resistance at the top of this structure recently but hasn't closed above it on a monthly basis. The Relative Strength Index sits in neutral territory—not overbought, not oversold—suggesting the market's still figuring things out.
⬤ Old resistance levels are now acting as support, which has helped keep the stock from sliding during this pause. Monthly volume hasn't spiked, meaning there's no rush of buying or selling pressure—just a market reassessing where Tesla's headed long-term. The lack of sharp rejection from current levels points to underlying stability rather than distribution.
⬤ The setup matters because it shows how traders are positioning around Tesla's strategic pivot. A rounded base near resistance suggests the market's waiting for confirmation—specifically, a sustained move above key levels—before deciding what comes next. Until that happens, expect more sideways action within this longer-term framework as participants watch whether Tesla can finally push through and hold above resistance.
Saad Ullah
