Shares of Tesla Inc (NASDAQ: TSLA) slipped 3.5% on Friday heading into the Labor Day weekend, leaving bulls on the back foot. The drop capped a tough second half of the week for the stock and once again raised questions about whether its rally, which has been going on since April, can be sustained.
On the one hand, the uptrend remains technically intact. Tesla broke out to the upside of the tightening pennant pattern we flagged last month, a move that carried it to new short-term highs. But on the other hand, the stock continues to run into a brick wall of resistance between $350 and $360.
