TSLA, F and GM Forecast – US Automakers Soften in Premarket

TSLA Technical Analysis

The market for Tesla looks like it is going to pull back just a bit in the early hours on Monday as pre-market trading is slightly negative, but we are right around the top of the potential W pattern and consolidation that we have been in for a while. And we also have had an extremely bullish run over the last six or seven trading sessions. So, a little bit of sideways action here does make a certain amount of sense. If we pull back, I suspect you’ll see support right around the $250 level. If we can break about $300, that almost certainly will cause the next FOMO trade into Tesla and off we go to the $360 level.

F Technical Analysis

The market for Ford is slightly negative in pre-market trading as we approached on Friday the crucial 200-day EMA. At this point, it looks like a short-term pullback makes a bit of sense, but if we can break above the $10.50 level, then I think the market goes looking toward the $11.25 level, if you will. All things being equal, I do think this is a market that may have exhausted itself just a little bit, but I think given enough time, we could see buyers on dips as we continue to go to the upside.

GM Technical Analysis

And finally, we have GM, which looks like it’s going to drop by about 25 cents pre-market. But I think you have a situation where traders will continue to look at this through the prism of whether or not it’s forming a basing pattern with $42, about $3 below current levels, being the ultimate floor in the market. I think a lot of sideways action here makes quite a bit of sense.

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