Battery Charged:

We have seen some big moves in the automobile space. F and GM are now both off more than a third from their most recent 52-week highs. The former is battling with the very round 10 number and now yields 6%, and was thought of as being superior to General Motors after not suspending its dividend but both are clearly floundering. Of course, labor issues are weighing. RIVN REPORTED earnings and after a brief thrill above the 200-day SMA, it ended the session CLOSING underneath it. Names that are acting well include STLA which added more than 11% last week in the second-largest WEEKLY volume since early 2020. It seems allergic to the very round 20 number, but a few consecutive CLOSES above should see the figure could see this sprint higher. There should be no debate as to RACE being best of breed as it now rests off all-time highs. Below is the chart of TSLA, which has been held hostage to round number theory with resistance at 400 in late 2021 and first week of 2022 and 300 in July-September 2022 and this July. The 200 level now looks like a clear line in the sand. Last week delivered a bullish hammer candle to CLOSE above 200 (notice the bullish WEEKLY hammer at par the first week of 2023). On the WEEKLY chart that was a big area as it was support after breaking above a long downtrend.

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