Is TSLA posturing for a bullish run? I’m double-minded.

Greetings Investors & Traders,

Although, I remain neutral / bearish on TSLA based on my previous idea (see link below), I do like the recent breakout from the ascending pattern and the pullback to this pattern that occurred today. Nonetheless, I’m double-minded on TSLA. Here is my bearish case:

  • Original ABC pattern still plausible on 10D chart.
  • Descending Triangle pattern isn’t fully complete, which indicates that TSLA could pullback near the bottom of the triangle and even breakout to the downside.
  • Overall market (SPY, QQQ) and ES1 / NQ1 futures are overbought IMHO and due for a correction/pull-back, which would obviously impact tech stocks (all stocks really) like TSLA.
  • Potential bearish MACD crossover on 1D chart


Here’s my bullish case:

  • TSLA broke the Ascending Triangle pattern to the upside, subsequently pulled back and tested support, and bounced to the upside. This is a classic precursor to a bullish run, spastically speaking.
  • 2H WaveTrend indicates a LONG signal, which I interpret that TSLA may retest the resistance channel around $680-$700 soon. If this occurs, Call options between $650-$700 would appreciate nicely given the right expiration date. I’m also watching the WaveTrend on the 4H charts.
  • Bullish 20/50 MA crossover on 1D chart.
  • Bulls control the 1W volume chart with a VMWA of $654. The accumulation/distribution on the weekly is bullish.
  • 2-day candle indicates a bullish piercing pattern.


In my current strategy, I’m minimizing risk/reward by selling call verticals, until I’m confident which direction TSLA is headed. I’m cautiously bullish to a $700 retest.

Happy Trading!

Daily Chart:
快照

Volume Chart:
快照
Chart PatternsTechnical IndicatorsTrend Analysis

更多:

相關出版品

免責聲明