Tesla Jumps 3.62% on Bullish Breakout With 77.7 Million Shares Traded

Tesla (TSLA) rose 3.62% in the latest session, closing at $319.91 with a high of $320.47 and low of $306.93, accompanied by elevated trading volume of 77.7 million shares. This price action signals a potential bullish breakout after recent consolidation and sets the stage for a multi-faceted technical analysis.
Candlestick Theory
The most recent candle shows a long green body with minimal upper wick, closing near the session high after a 3.62% gain. This bullish engulfing pattern invalidates the prior two days' indecisive candles and breaks above the August 4–5 consolidation range ($303–$312). Key resistance is established at $320.47 (today’s high), while immediate support lies between $305.50 (August 5 low) and $297.82 (August 1 low). The pattern indicates strong buying conviction, especially following the July 31 bearish marubozu that had established $306.10 as temporary resistance.
Moving Average Theory
The current price sits above all key moving averages, with the 50-day EMA ($313.50), 100-day EMA ($305.20), and 200-day EMA ($289.40) aligned in bullish sequence. Notably, the 50-day EMA crossed above both longer-term averages in late June, confirming a structural uptrend. Recent price consolidation near the 50-day EMA provided dynamic support, and today’s close above this level reinforces the bullish bias. The moving average ribbon remains positively sloped without compression, suggesting low probability of imminent trend reversal.
MACD & KDJ Indicators
The MACD histogram (12/26/9 settings) shows expanding bullish momentum, with the MACD line (0.85) crossing above its signal line two sessions ago. This alignment suggests strengthening upside potential. Meanwhile, the KDJ oscillator registers at K:72.10, D:65.30, and J:85.70, reflecting recovery from near-oversold territory (K<40 on August 1). Although the J-line now approaches overbought levels, the MACD-KDJ convergence supports the bullish structure. However, traders should monitor for potential divergence should prices stall near resistance.
Bollinger Bands
Volatility expanded significantly during the session, with price touching the upper Bollinger Band ($320.20) based on 20-day SMA ($310.25) and 2 standard deviations. Bandwidth increased 15% from yesterday, ending a five-day contraction phase. While the upper band touch historically precedes short-term pullbacks, the close near the band’s ceiling combined with strong volume suggests continuation potential. The lower band ($299.80) now offers critical support if profit-taking emerges.
Volume-Price Relationship
Volume surged 34% today versus the 20-day average, validating the bullish breakout with conviction. The volume profile shows distribution near $320–$325 resistance in late July, making today’s high-volume breakthrough particularly notable. Cumulative volume delta turned positive after three sessions of accumulation, reinforcing the breakout’s sustainability. Divergence concerns from late July (declining volume during price rallies) appear resolved.
Relative Strength Index (RSI)
The 14-day RSI calculates at 61.70 based on average gains of $4.08 and average losses of $3.25 over the period. This neutral reading avoids both overbought (>70) and oversold (<30) extremes despite the sharp rally. Historically, RSI has provided timely warnings prior to pullbacks when exceeding 75 (last observed July 28), but current levels allow room for further upside. Caution is warranted should RSI stall below 65 while prices test resistance.
Fibonacci Retracement
Using the swing high of $330.49 (July 28) and swing low of $297.82 (August 1), key Fibonacci levels emerge: 23.6% ($304.20), 38.2% ($310.80), and 61.8% ($318.10). Today’s close above the 61.8% retracement level indicates strong bullish momentum, targeting the 78.6% level at $323.50 and potentially full recovery to the $330.49 high. This structure aligns with Bollinger Band resistance at $320–$323 and gains confluence from volume-backed price action.
Across indicators, significant confluence emerges between the Fibonacci 61.8% break, volume confirmation, moving average support, and MACD/KDJ momentum. Key watchpoints include the $320–$323 resistance zone where Bollinger Band and Fibonacci levels converge. Bearish divergence is not currently evident, though overextension risks would materialize if RSI surges beyond 70 while volume contracts. The technical posture favors continued upside unless the price retreats below $310 (50-day EMA/Kijun-Sen confluence), which would invalidate today’s breakout signal.