Watch These Tesla Price Levels as Stock Plunges to Pre-Election Levels

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Tesla Shares Have Fallen 55% From Their Record High in Mid-December

Timothy Smith

Mon, Mar 10, 2025, 9:17 PM 3 min read

Tesla shares fell more than 15% on Monday to lead S&P 500 decliners, closing below their Election Day level for the first time.
The stock soared in the wake of Donald Trump's election amid expectations that CEO Elon Musk's close relationship with the president would benefit the EV maker.
Since hitting a record high in mid-December, however, Tesla shares have fallen 55% amid investor concerns about potential fallout from Musk's extensive involvement in the Trump administration and weak sales figures.
Tesla shares fell below the closely watched 200-week moving average in Monday’s trading session.
Investors should monitor key support levels on Tesla's chart around $215 and $165, while also watching major resistance levels near $265 and $300.

Tesla (TSLA) shares tumbled 15% on Monday to lead S&P decliners, closing below their Election Day level for the first time.

Shares in the electric vehicle maker soared after Donald Trump's victory in the Nov. 5 presidential election amid expectations that CEO Elon Musk's close relationship with the president would benefit the company. However, since hitting an all-time high on Dec. 18, the stock has plunged 55% amid mounting investor concerns that Musk’s role as leader of the Department of Government Efficiency could hurt the Tesla brand and sales. Recent sales numbers from China and Europe have been weak, while uncertainty about the impact of tariffs on automakers also weighs on sentiment.

The stock, which has lost ground in each of the last seven weeks, fell an additional 3% in extended trading Monday after Musk said in an interview with Fox Business that he is running his businesses “with great difficulty.” Nonetheless, Musk added that he expects to remain in the Trump administration for another year.

Below, we break down Tesla’s weekly chart and apply technical analysis to point out key price levels worth watching out for amid the stock’s heighted volatility.

Stock Falls Below 200-Week Moving Average

Since a shooting star marked the stock’s record high in mid-December, Tesla shares have trended sharply lower, with the price falling below the closely watched 200-week moving average in Monday’s trading session.

Moreover, increasing volumes have accompanied the recent drop, signaling selling participation by larger market players, such as institutional investors and hedge funds.

While the relative strength index (RSI) confirms bearish momentum with a reading below 50, the indicator has moved into a region that has typically corresponded with bounces in the stock stretching back to May 2022.