Tesla Shares Break Resistance On Dojo Excitement

Tesla Rallying on MondayShares in Tesla are trading higher ahead of the open on Monday. The move comes amidst a surge of optimism linked to the Tesla Dojo supercomputer. The computer system runs computer vision video processing and recognition and will be used to train AI systems for the company’s self-driving vehicles. Tesla has outlined plans to funnel around $1 billion into development over the next year.   Morgan Stanley Upgrades Tesla TargetThe news has been met with a wave of optimism among Tesla-watchers and Wall Street analysts alike.  Leading the fan-fair is Morgan Stanley which has now upgraded its 12-18 month target for Tesla by 60% to $400. This is the highest target among Wall Street brokers and would put Tesla market cap around the $1.3 trillion mark.Wider Market ApplicationIn particular, Morgan Stanley is excited about the potential for the Dojo system to be used in wider application away from just self driving cars. Stanley also sees the technology as paving the way for an expansion beyond the firm’s current fixed price vehicle markets. In all, the news has seen a firm uptick in bullish sentiment towards the stock which should keep price underpinned near-term.Technical ViewsTeslaThe pop higher in Tesla shares today has seen the market breaking out above the 255.61 level resistance. While above here, and with momentum studies turning higher, the focus is on a break back above the 276.74 level and a continuation higher towards the 276.74 To the downside, should price slip back under the 255.61 level, 207.71 is the next support to note.