Tesla's stock (TSLA) fell 9.22% in the last session, or 71.45 points, settling at 703.55, with trading volumes surpassing 37.4 million shares, above 10-day averages of 33.1 million shares, becoming the worst performing stock on the NASDAQ as major shareholder groups oppose Elon Musk's Twitter acquisition plan for not being sufficient.
Tesla is also under pressure from US officials who received 758 complaints about unexpected deployment of braking due to the Autopilot feature, with Tesla has until June 20 to respond.
CEO Elon Musk reversed his stance on hiring and said the company's workforce will rise in the next 12 months although salaried workers won't change much.
Technically, the stock is facing pressures after piercing the main upward medium-term trend line previously, with negative pressure from the 50-day SMA, coupled with negative signals from the RSI after reaching overbought levels, hinting at negative divergence.
Therefore we expect more losses for the stock, targeting the first support at 623.00, provided the resistance of 780.80 holds on.
Expected trend for today: Bearish