TSLL stock price’s 3% jump came on news of Tesla’s charging partnerships with other automakers—ETF traders view this as a multi-quarter growth driver for leveraged Tesla exposure. This has helped the EV maker to erase most of the losses suffered in the first half of the year. The strong trend is likely to continue if Tesla comes up with an earnings beat. The electric carmaker saw favorable earnings estimate revision for the to-be-reported quarter, which is generally a precursor to an earnings beat (read: Can Tesla ETFs Maintain New-Found Winning Momentum?). In the case of TSLL, the RSI reading has hit 28.0 — by comparison, the RSI reading for the S&P 500 is currently 54.3.
A bullish investor could look at TSLL's 28.0 reading as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Volume spikes in TSLL stock price (+35% above average) suggest growing speculative positioning. Traders cite a confluence of bullish Tesla headlines and sector-wide ETF flows as catalysts.
