Shares of electric vehicle maker Tesla (TSLA -3.21%) are up sharply on Wednesday. As of 10:30 a.m. EDT, the stock had risen 3.5%.
There doesn't seem to be any material news behind the stock's move. But shares might be rebounding from a sell-off on Monday and Tuesday.
Shares of Tesla had slid a total of 7% on Monday and Tuesday amid news that the National Highway Traffic Safety Administration had opened a formal safety probe into Tesla's driver-assist technology, Autopilot.
Perhaps some investors think the decline in the electric vehicle's stock went too far and are buying shares after the recent pullback. It's also possible that some investors who were shorting the stock are taking their gains and closing out some of their bets against shares by covering their positions.
Whatever the reason for the sharp gain today, there seems to be some technical support for the stock in the $670 and $680 range for now.
Tesla stock has been an underperformer in 2021. Shares are down 2.5% year to date, even as the S&P 500 has risen nearly 19%. But the automaker's business has been doing well. The company reported more than $1 billion in quarterly unadjusted net income for the first time in the second quarter. In addition, management reiterated expectations for deliveries to rise more than 50% this year.