Tesla may have downside to $165 or potentially $109/share, technical strategist says
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Fundstrat technical strategist Mark Newton believes that electric vehicle maker Tesla (NASDAQ:TSLA) may have a lot more downside from current levels and potentially could hit as low as $109/share.
He expects Tesla (TSLA) to sell off between late December and March to May, Newton said in an interview Tuesday with CNBC. He sees $165 potential downside, though the EV maker may hit $109 in an "extreme case." Tesla shares fell 3% in regular trading Tuesday after dropping 5% on Monday.

This is "obviously a big decline, much bigger than many people would think possible given recent trading history," Newton said. "The stock has been abnormally weak over the last couple months. Momentum certainly rolling over. Now we are seeing the price really confirm this recent breakdown. This stock is certainly, in my view, something to be avoided in the short run."
Tesla shares hit a 52-week low and have dropped 46% this year, including a 16% drop this month after Tesla CEO and billionaire Elon Musk completed his $44 billion purchase of Twitter late last month.