Tesla’s Stock Can Follow Footsteps of a High-Flying Tech Play: Analyst
Tesla's Stock Can Follow in Footsteps of a High-Flying Tech Play: Analyst
By CCN Markets: On CNBC, analyst Eddie Yoon of a think tank known as"EddieWouldGrow" overlaid a chart of Netflix from 2011-13 onto Tesla's chart since January. When a stock falls by 80% then goes flat for several months, then this can be a"highlighting blueprint" that may signal a long-term balance between buyers and sellers are achieved. Thus, bad or good news will transfer the inventory substantially in one direction or another. Will Tesla behave like Netflix? Source: CNBC Netflix isn't Tesla nor vice-versa. As such, that chart may be misleading. "You might say media and cars [are] completely different industries, but they are going direct-to-market to your degree. Stocks and companies like Tesla, among those things that's notable about them is if they compete against undermine. [from the auto industry] you've got people who buy fun cars and people who buy automobiles that are functional. Tesla has busted the compromise so that you can get in exactly the same vehicle." Netflix's fundamentals are entirely distinct from Tesla's. Disclaimer: The opinions expressed in the article are solely those of the author and do not reflect those of, nor should they be attributed to, CCN Markets.Tesla's inventory has fallen for reasons specific for this. You will find thousands of thousands of inventory charts going back over a century. It is easy to cherry pick any given portion of any stock chart then overlay it onto something similar and claim that a comparison exists. In this example, Netflix's stock dropped 80% for reasons particular to the business. Gosh, those charts look so similar. Perhaps Tesla's inventory is going to do the same item as Netflix's stock and create a comeback. Although this might make sense from the Tesla standpoint, it might be a tougher sell for Netflix. Yoon states: Patterns usually do not exist in a vacuum. They're a manifestation of fundamentals in addition to the end result of buyer psychology and behavior.