Tesla Is Rallying Hard but Bulls Still Control the Trend

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Tesla Is Rallying Hard but Bulls Still Control the TrendTesla, Inc.BATS:TSLADomicChainaLooking at Tesla’s H4 chart, the stock is currently experiencing one of its strongest rallies since the beginning of the year. Price has fully broken out of the long consolidation zone around 390 – 400 USD and is now trading near 443 USD after an almost vertical bullish move. What stands out to me is how strongly Tesla continues holding above both EMA34 and EMA89. At the same time, EMA34 has widened significantly above EMA89 — a signal that buyers are completely controlling both the short-term and medium-term trend. However, after such an aggressive rally, I believe the market could soon see a technical retest. The key area I’m watching now is around 420 – 410 USD. If Tesla pulls back into this region while selling volume remains weak, there is a strong chance the stock could continue pushing higher toward 460 USD, with 480 USD becoming the next upside target.