G20: what did the leaders decide?
The G20 summit took place in Bali, Indonesia, on November 2022…
Morgan Stanley has bullish forecasts on Tesla
Information is not investment advice
What happened?
Morgan Stanley, a huge investment bank, has warned investors about a “risk” not having Tesla stock. It means that those people who don’t have Tesla shares will regret it as Musk’s company will continue increasing its value.
Why is Morgan Stanley so sure about Tesla’s growth?
The key reason is Biden’s infrastructure plan, which is positive for Tesla. The US President intends to fight climate change and make the USA carbon-free by 2050. He will spend $174 billion to develop the US electric-vehicle ecosystem, where Tesla is the top performer.
“Auto investors face greater risk not owning Tesla shares in their portfolio than owning Tesla shares in their portfolio.”
However, Morgan Stanley cautioned that Tesla’s way up won’t be easy and fast. Indeed, this year the carmaker is down about 5%, which is not so bad actually. It can be viewed as a great opportunity for investors to buy Tesla at a lower price. In comparison, Tesla rose 743% last year. So, there is a high chance Tesla will catch up. By the way, last week, Musk’s company has published better-than-expected car deliveries even despite the global chip shortage.
Forecasts
Morgan Stanley set a price target for Tesla at $880. According to Bloomberg, the average analysts’ target is $651, with 17 buy recommendations, 13 holds, and 12 sells.
Technical analysis
Tesla has formed the ascending triangle pattern. The ascending triangle pattern shows that bulls are getting stronger. As a result, its slope goes up. If the price manages to break the high of April 5 at $708.00, the way up further to the next round number of $750.00 will be open. In the opposite scenario, the move below the low of March 31 at $640.00 will drive Tesla down to the lower trend line at $600.00.
Don't know how to trade stocks? Here are some simple steps.
- First of all, be sure you’ve downloaded FBS Trader app or Metatrader 5. FBS allows you to trade stocks only through this software.
- Open an account in FBS Trader or the MT5 account in your personal area.
Similar
The End of Era: What Might the UK Face Next?
The deafening news shocked the whole world yesterday: the British Queen Elizabeth II died peacefully at the age of 96…
Why didn't oil prices calm despite OPEC+ attempts?
After months of pressure from the White House, Saudi Arabia relented and agreed with other OPEC+ members to increase production.
Popular
Best Instruments to Trade This Week
This week, there are a few high-probability trade ideas I'd like to recommend to you. Trading these setups, be sure to implement a proper risk management approach.
European Currencies Ahead of the Banks' Statements
On Thursday, the 2nd of February, the Bank of England will publish its report concerning interest rates and inflation data for the Eurozone. Professionals and investors anticipate that Andrew Bailey’s lead team of policy makers will likely raise interest rates to 4%; the highest in over a decade, for the tenth time in a row.
Will the FOMC Surprise the Markets?
The first FOMC meeting comes after a buildup of anticipation from traders and investors alike, as the markets await what posture the Fed will take regarding the interest rates; would there be a hike or a cut in interest rates? Recall that the Federal Open Market Committee had previously ended the year 2022 with a 50bps hike, and an indication from Powell, the committee chairman, that the Fed could consider raising interest rates by 75bps in the course of the year 2023.
Choose your payment system
