Carter Worth says that Tesla will say something in their earnings that people either like or hate that will make the stock move substantially one way or another. He says it is highly unlikely that it stays range bound.
Guy Adami thinks the stock will bounce post earnings, and then you sell it again.
Guy thinks there are a lot of chapters left in this Tesla story.
Guy Adami thinks the stock will bounce post earnings, and then you sell it again.
Guy thinks there are a lot of chapters left in this Tesla story.
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NewsTranscript
00:00 a Tesla reports earnings after the bell tomorrow and the chart master says the electric automaker is sitting on a knife's edge heading into the report.
00:07 So let's bring in Carter worth of worth charting with the technical tale. Carter take it away. Well that's right. I mean you can feel the tension.
00:15 It's it's the definition is a nice edge. It's sitting finally balanced between success and failure. We have this tight tight range. You see it
00:22 annotated there on the screen. Every chart we look at is the same chart over different time frames. So basically if you take it back a little
00:28 further we've been I would call this high volatility low variance. We're not moving anywhere but we're stuck with these wild gyrations of 20
00:39 percent between essentially 600 and 800. If you pull it back even further you'll see basically where this debate or standoff is occurring.
00:47 It's occurring under the trend line having broken trend. So again it's near perfect equilibrium bears and bulls balanced evenly. And of
00:54 course we know exactly what's going to resolve it. As is so often the case the funny metals. They're going to say something in their
00:59 earnings that people generally hate or like enough to move it substantially higher or lower. Highly unlikely that it stays range bound like
01:06 this. Now it's now. Is it a coin toss. It's as close to that as you're going to get. We've put out reports saying that we think it's going to
01:13 break the downside. But I'll just tell you this. Some 2000 respondents both at the institutional level the individual level and on Twitter.
01:19 It's running 60 40 that it will go down. 40 percent are saying no it's going to get resolved up.
01:27 Really interesting stuff there. That is quite a tight range looking at those different time periods. Thanks Carter. Guy where do you
01:34 stand on where Tesla is going to go from here. You in the 60 camp the 40 camp.
01:40 Before I say that I'm sure Karen will get a kick out of this. Clearly Carter coming to us from the Guggenheim at the Kandinsky
01:47 exhibition. Wonderful job by Carter. Number one. Number two. You know I'm with Carter on this. Listen last quarter that April quarter
01:55 was astonishing and the stock traded up to I think eleven hundred. Obviously only to sell off to low six hundreds. And here we are
02:01 now. I think you're going to see a similar move. I think the stock probably bounces post earnings but you sell it again. And I
02:08 don't think I don't think we've heard the last of former President Trump's rants about Elon Musk and I think they're going to
02:16 get more directed and may come more at him in terms of Tesla the stock. So I think there are a lot of chapters left in this
02:23 Tesla story and I'm going to be having my popcorn on the sideline. But I think higher post earnings lower after just like