TSLA and Astrology: Does JP Morgan’s Price Target Align with Planetary Positions?
#167 Is JP Morgan still using Astrology?
Introduction
J.P. Morgan recently reduced Tesla's (NASDAQ: TSLA) rating to Underweight and lowered their price target to $130.00 from $135.00 for the next 12 months. This happened after the automaker reported weaker-than-expected earnings for the sixth consecutive quarter and lower year-over-year profits for the fourth quarter. According to the J.P. Morgan analysts, Tesla's profit expectations have declined, and despite Thursday's sell-off, the stock has barely noticed, indicating that there is still significant downside potential. Source: Investing.com
In my article from December 2022 titled "Is TSLA a canary in the coal mine?" I reported that TSLA was returning to a long-term downtrend using a mirror image foldback plotted from the all-time high. Although TSLA retraced shortly after this post, we may have yet to see the lows, and the longer-term foldback may still be valid.
Last week, when I looked again at my TSLA charts, I wondered if JP Morgan still used astrology. There is a famous saying from JP Morgan that goes:
"Millionaires don't use astrology; billionaires do."
If you review the recent chart and the return of Mercury and Venus from important pivot points, it looks like JP Morgan’s price target aligns with the return to the previous positions or angles of these planets where a change in trend occurred.
The foldback suggests the stock might be up for a short rebound. Please note that foldbacks are often caused by planetary moves through the zodiac, but at some point, they may cease functioning.
Upon further review, I used the W.D. Gann square of nine method, along with examining the planetary positions of Mercury, Venus, and Mars, to determine potential price and time targets. I have also evaluated the short-term and long-term cycles for our premium subscribers, which are outlined in the post below. By using various methods to forecast TSLA, we can gain a better understanding of where the stock may be headed in terms of price and time.
This analysis is intended for general informational & educational purposes only. Hypothetical or simulated performance based on past cycles has many limitations. Cycles can contract, extend, and invert. Anomalies can occur. Hence, past performance is no guarantee for the future. No advice. Please take a look at our full disclaimer.
Disclosure: No positions at the time of writing.