Shares of Tesla Inc. (TSLA) surged 4.3% in premarket trading Tuesday, to extend the recent run up that retraced more than half of the bear-market selloff ( ) earlier this month. The electric vehicle maker's stock has soared 27.1% over the past four days. At Monday's closing price of $419.62, the stock has retraced 53.2% of the 33.7% plunge from the Sept. 1 record close of $498.32 to the Sept. 8 closing low of $330.21. Many on Wall Street would say the stock's bounce has now satisfied the second key Fibonacci retracement target ( ), which is based on the mathematical ratio of 1.618 ( ), which is also known as the Golden Ratio. The next key retracement target of 61.8% would be satisfied with a close at or above $434.10; Fibonacci followers believe if retracements remain below the 61.8% target, the pre-retracement downtrend remains intact. The bounce comes ahead of the much-anticipated Tesla Battery Day, scheduled for Sept. 22. The stock has rocketed fivefold (up 401.5%) year to date through Monday, while the S&P 500 has gained 4.7%.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
September 15, 2020 08:41 ET (12:41 GMT)
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