Following a sharp sell-off at the end of last week, Tesla shares managed to recover. Yesterday, they closed the trading session at $408.43, offsetting most of their losses from June 5, when prices tumbled to $391. Heightened volatility was driven by strong US labor market data, which raised concerns about the Federal Reserve’s (Fed) hawkish stance and triggered profit-taking in the tech sector.
This week, however, brought some changes, offering Tesla stock several pillars of support, with JPMorgan’s revised outlook taking center stage. For the first time in eleven years, the bank upgraded its recommendation on the firm’s shares from a long-standing “Sell” to a hold-equivalent “Neutral”. The target price was also increased to $475. According to JPMorgan analysts, Tesla is seen not just as a carmaker, but as a high-tech company developing self-driving vehicles, robotics, and artificial intelligence (AI).
Market optimism is also underpinned by the launch of a driverless Robotaxi service across the entire Austin metro area. Investors view this project as one of the key long-term drivers of Elon Musk’s business.
Nevertheless, fundamental risks remain in place. Electric vehicle (EV) sales in the United States continue to face pressure as government incentives are scaled back. At the same time, price competition keeps weighing on the company’s profitability. On top of that, the postponement of the new Roadster’s unveiling to August has once again reminded traders of Tesla’s recurring delays in executing its product plans.
Turning to the technical picture, the daily chart shows an attempt to erase the June 5 losses. The Stochastic Oscillator confirms this setup. Its %K line has just climbed above the %D one, forming a bullish crossover after exiting oversold territory—a clear sign of a strengthening uptrend. The Chaikin Oscillator, however, is dampening the mood, staying in the negative zone despite its modest growth. Thus, the current upside has yet to find solid footing.
Try out the following trading strategy:
Buy Tesla stock during a short-term rebound near $410. Place Take profit at $440. Set Stop loss at $384.
The forecast remains pertinent from June 9 till June 16, 2026.
