Tesla Stock Price Forecast: Is Optimus a Good Catalyst for TSLA?

Summary:
• Tesla share price has sold-off lately as concerns about the company’s growth. The stock has crashed in the past eight straight days

Tesla share price has sold off lately as concerns about the company’s growth. The TSLA stock has crashed in the past eight straight days and is trading at the lowest level since July 6 of this year. It has fallen by more than 30% from the highest level this month. Other EV stocks like Xpeng, Nio, Fisker, and Li Auto have all retreated sharply.

Is Optimus a good catalyst?

Tesla is a leading automaker in that sells thousands of electric cars every month. The company has done relatively well in the past few months. Its Chinese sales soared to 83k in September, up by 8% from the previous month. These numbers were a sign that the Chinese economy is doing relatively well. Other Chinese companies like XPeng and Li Auto also recorded strong sales.

Another possible catalyst for the Tesla stock price is Optimus, the company’s upcoming robot. Tesla unveiled its Optimus / Bumble C robot during its AI Day. Tesla was able to show Bumble C, which will be a low-cost and mass-producible robot. The company expects to sell thousands of units when it starts production.

Tesla has made a strong progress in the past few months. It has made a lot of progress in 6 to 8 months while its competitors like Boston Dynamics have spent decades. The robot will also cost about $20k to manufacture while Boston Dynamics Atlas costs about $75k. While it is too early to make predictions, there is a likelihood that the product will have a strong market share in the robotics space.

Tesla share price forecast

The daily chart shows that the TSLA stock price has been in a strong sell-off in the past few days. As it dropped, the stock managed to fall below the important neckline of the triple top pattern at $265. In most cases, a double-top pattern is usually a bearish sign. 

This trend has been supported by the 25-day and 50-day moving averages while oscillators have been falling. Therefore, the Tesla stock price will likely continue falling as sellers target the next key support level at $200. A move above the resistance at $235 will invalidate the bearish view.