tesla stock prediction 2025, why is tesla stock dropping?

**Tesla Stock Analysis – Potential Bounce from FVG and Order Block Zones**

Hello Traders,

Today we’re analyzing Tesla (TSLA) stocks, which have been on a downtrend for the last few weeks. As illustrated in the chart below, two key technical zones have formed during the decline: a Fair Value Gap (FVG) and an order block zone. These zones are critical areas where buyers could step in.

### Key Observations

- **Downtrend in Recent Weeks:** Tesla’s stock price has been falling, creating notable areas of support.

- **Formation of Two Key Zones:**  

  - **Fair Value Gap (FVG):** This gap indicates a price imbalance where demand might eventually push the price back up.  

  - **Order Block Zone:** This area has acted as a point of previous buying interest, suggesting that institutional buyers might look to re-enter if the price approaches this level.

### Price Projection

Currently, Tesla is trading at approximately **$350.73**. Based on the analysis:

- There is a possibility that the price may retest the lower boundary of these zones, potentially dropping to around **$295**.

- After reaching this level, we expect a strong pump, as buyers may step in to capitalize on the perceived undervaluation.

### Trading Strategy

- **Wait for a Retest:** Monitor the price as it approaches the FVG and order block areas.  

- **Entry Signal:** A confirmed bounce from the support zones, especially after a retest, could serve as an ideal entry point for a long trade.

- **Risk Management:** Use stop-loss orders just below the support zones to limit potential losses in case the downtrend resumes.

### Conclusion

While Tesla’s stock has experienced significant declines recently, the presence of the FVG and order block zones suggests a high probability for a rebound. If the price reaches around **$295** and holds at this level, traders should be prepared for a potential pump, making it an attractive buy opportunity.

Stay tuned for further updates and trade smart!

*Note: This analysis is based on technical observations and does not constitute financial advice. Always conduct your own research and manage your risk accordingly.*