ABC Correction on 10D chart? SHORT to $465

2021년 6월 19일

Greetings,

As a TSLA fan, it pains me to take a SHORT bias on this monster stock. However, after examining the 10D chart, I clearly see an ABC pattern with a target around the $465 area. Note the bearish MACD crossover, which is distinct on the 10D chart.

Initially, I was optimistic after spotting the ascending triangle pattern on the daily chart, which is usually a bullish pattern. However, technically, the triangle is a continuation pattern, which I interpret that TSLA may continue the trend previous to this pattern, which is a downward trend.

I’ve added a FIBO retracement series to the chart, since TSLA may climb to the 38% ($675) area in a false breakout, before completing the C wave.

Daily Chart:


Strategy:
I may sell a few SHORT CALL verticals around the $650/$700 strike

Happy Trading!

2021년 6월 23일

노트

Very nice breakout from the Ascending Triangle pattern, with a strong move in volume. If TSLA can breakout the larger descending triangle pattern, as shown below, then my bias is bullish.

BTW, I'm LONG the 20 Aug 640C.

Happy Trading

2021년 6월 24일

노트

There was plenty bullish volume on this breakout. Use the Swing pivots as upside targets. TSLA will test R1 again and again, until it breaks above to test R2.

2021년 6월 25일

노트

Second test of trend resistance failed at R1 (~$700), with strong volume. Will TSLA close the $657 gap, and bounce upward, or fall back into previous resistance around $630? Time will tell.

2021년 7월 1일

노트

Waiting to see if TSLA breaks to the upside or downside from this small channel. My current bias: Bearish.