{"id":24058,"date":"2025-06-06T06:06:01","date_gmt":"2025-06-06T06:06:01","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=24058"},"modified":"2025-06-06T06:06:01","modified_gmt":"2025-06-06T06:06:01","slug":"tesla-sinks-14-after-musk-trump-feud-erupts","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-ca\/analysis\/tesla-sinks-14-after-musk-trump-feud-erupts\/","title":{"rendered":"Tesla Sinks 14% After Musk\u2013Trump Feud Erupts"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"559\" src=\"https:\/\/www.vtmarkets.com\/en-ca\/wp-content\/uploads\/sites\/13\/2026\/03\/Image_fx-2025-06-06T140431.242-1024x559.png\" alt=\"\" class=\"wp-image-24059\"\/><\/figure>\n\n\n\n<p><strong>Key Points<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Tesla shares plunge 14% to close at $283.16 \u2014 down from $322.71 at the open.<\/li>\n\n\n\n<li>$152 billion in market value wiped out in a single session.<\/li>\n\n\n\n<li>Musk\u2013Trump political spat escalates into real economic consequence.<\/li>\n\n\n\n<li>MACD signals extended bearish momentum; RSI oversold territory in view.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity is-style-dots\"\/>\n\n\n\n<p>Tesla\u2019s chart broke down in spectacular fashion as traders reacted to more than just headlines \u2014 they responded to the possibility of a structural shift in federal support. The collapse, accelerated through every support level down to the $273.18 intraday low, has left the stock with its worst daily decline since September 2020.<\/p>\n\n\n\n<p>The fallout stems from a public war of words. Trump accused Musk of disloyalty and of benefiting disproportionately from EV mandates, while Musk clapped back, <a href=\"https:\/\/t.co\/hXToNlFgyv\" target=\"_blank\" rel=\"noopener\" title=\"\">claiming personal credit<\/a> for Trump\u2019s 2024 re-election bid and threatening retaliation across his commercial ventures, including NASA-linked SpaceX operations.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">US stocks ended lower as Tesla stocks suffered their worst one-day loss since March amid the escalating clash between CEO Elon Musk and President Trump <a href=\"https:\/\/t.co\/7ELqS5kPIF\">https:\/\/t.co\/7ELqS5kPIF<\/a> <a href=\"https:\/\/t.co\/RZwBKZMD9z\">pic.twitter.com\/RZwBKZMD9z<\/a><\/p>&mdash; Reuters (@Reuters) <a href=\"https:\/\/twitter.com\/Reuters\/status\/1930854664951439702?ref_src=twsrc%5Etfw\">June 6, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>While analysts at Wedbush called the selloff \u201cemotion-fuelled but not irrational,\u201d they noted that government contracts tied to SpaceX and Tesla\u2019s energy infrastructure business represent <a href=\"https:\/\/t.co\/ugojjlc1Pm\" target=\"_blank\" rel=\"noopener\" title=\"\">meaningful long-term revenue streams<\/a>. If tensions escalate into policy actions, the fundamental risks could grow.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Technical Analysis<\/h2>\n\n\n\n<p>Tesla (TSLA) has experienced a sharp decline in recent sessions, dropping over 12% from highs near $324 to lows around $273 before settling near $283. The 15-minute chart reveals strong bearish momentum, as indicated by all three moving averages (MA 5, 10, 30) sloping decisively downward with significant separation between them. This alignment signals sustained selling pressure and a lack of near-term recovery strength.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/www.vtmarkets.com\/en-ca\/wp-content\/uploads\/sites\/13\/2026\/03\/image-6-1024x450.jpg\" alt=\"\" class=\"wp-image-24060\"\/><\/figure>\n\n\n\n<p class=\"has-text-align-center\"><em>Picture: TSLA tumbles over 12% in a sharp correction, finding short-term support at 273, as seen on the <a href=\"https:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WA\" target=\"_blank\" rel=\"noopener\" title=\"\">VT Markets app<\/a><\/em><\/p>\n\n\n\n<p>The MACD further supports this bearish outlook, remaining firmly negative with no crossover in sight. The histogram bars continue to print red, underscoring the persistent downward momentum. Price action shows a minor rebound from the $273 level, suggesting this zone may be emerging as short-term support. However, without a clear reversal pattern or bullish divergence on the MACD, the recovery appears weak. Resistance is now expected near the $300\u2013$310 range, and unless buying volume returns decisively, TSLA may remain vulnerable to further downside.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Cautious Outlook<\/h2>\n\n\n\n<p>The next 48 hours could define the trajectory of this feud \u2014 and Tesla\u2019s recovery. A <a href=\"https:\/\/t.co\/7ELqS5kPIF\" target=\"_blank\" rel=\"noopener\" title=\"\">cooling of rhetoric<\/a> may lead to a relief rally, but if the spat worsens and federal contract scrutiny intensifies, further downside pressure cannot be ruled out. Traders should watch for volatility clusters and regulatory responses as this saga unfolds.<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/www.vtmarkets.com\/trade-now\/\">Create your live VT Markets account<\/a><\/strong><strong> and <\/strong><strong><a href=\"https:\/\/myaccount.vtmarkets.com\/login?_gl=1*1azgbap*_gcl_au*NjE5NTE3MjY4LjE3NDQ2MDA3NDI.*_ga*MTY4OTgwNTU5Mi4xNzM2NzQ2MTgy*_ga_J26NL1ZVX7*czE3NDQ5NDQ0NTYkbzEyMCRnMCR0MTc0NDk0NDQ1NiRqNjAkbDAkaDA.\">start trading<\/a><\/strong><strong> now.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Tesla stock cratered 14% on Thursday, the steepest single-day drop in over three years, following an explosive public fallout between CEO Elon Musk and U.S. President Donald Trump. &#8211; vtmarkets.com<\/p>\n","protected":false},"author":64,"featured_media":24059,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[31],"tags":[7,75],"class_list":["post-24058","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-stocks","tag-tesla"],"acf":{"acf_article_selection_author":""},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/24058","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/users\/64"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=24058"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/24058\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media\/24059"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=24058"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=24058"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=24058"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}