Taking a zoomed out look at TSLA does give some signs to the possible path forward.
First, we can see that there was a steach rise in the early 2010's which was followed by chop for 6 years. Pre-split, TSLA was ranging in the $180 area.
After the final drop in early 2019, momentum really started to pick up. Buyers flew in and demolished anybody that was short on TSLA. There was a quick and sharp rise followed by a steep retrace - this is key.
Whenever you have a steep retrace followed by a move to new highs (I'm talking about in 2020), you can expect that there won't be a huge retrace until a major top is put in.
In late 2020 / early 2021, we saw a pullback, but it was not significant enough to even make mention of. It was followed by a quick mini parabolic move to the ATH and then started a major pullback.
If my count is even somewhat correct, we should be working on wave (iv) of a major continuation to the upside, but what do we need to do next in order for this to remain true:
1. Remain bullish above $100
2. Get more bullish if we take out $206 - we're close
3. Don't even think about puts on TSLA if we take out $315
Targets on this would take us to about $950 and that is post split! Don't get antsy and by all means, don't go mortgaging your house or anything. This game is all about probabilities. We hit a major 38.2% retracement which would be ideal for a wave 4, which means we're probably in the beginning stages of wave 5. Ideally we won't see much in terms of a pullback and we'll continue through the levels I mentioned (206 / 315).
Tesla automotive revenues rose 33% YoY last year with a gross profit of 13% YoY increase. Margins are down 466bps but total revenue is up 37% YoY indicating that other revenue streams are bringing in cash as well. Operating expenses are down. Revenue is up. Really isn't that bad. Competition is the only major concern with other concerns being around battery production and items related to mining the elemnts required to manufacture them.
First, we can see that there was a steach rise in the early 2010's which was followed by chop for 6 years. Pre-split, TSLA was ranging in the $180 area.
After the final drop in early 2019, momentum really started to pick up. Buyers flew in and demolished anybody that was short on TSLA. There was a quick and sharp rise followed by a steep retrace - this is key.
Whenever you have a steep retrace followed by a move to new highs (I'm talking about in 2020), you can expect that there won't be a huge retrace until a major top is put in.
In late 2020 / early 2021, we saw a pullback, but it was not significant enough to even make mention of. It was followed by a quick mini parabolic move to the ATH and then started a major pullback.
If my count is even somewhat correct, we should be working on wave (iv) of a major continuation to the upside, but what do we need to do next in order for this to remain true:
1. Remain bullish above $100
2. Get more bullish if we take out $206 - we're close
3. Don't even think about puts on TSLA if we take out $315
Targets on this would take us to about $950 and that is post split! Don't get antsy and by all means, don't go mortgaging your house or anything. This game is all about probabilities. We hit a major 38.2% retracement which would be ideal for a wave 4, which means we're probably in the beginning stages of wave 5. Ideally we won't see much in terms of a pullback and we'll continue through the levels I mentioned (206 / 315).
Tesla automotive revenues rose 33% YoY last year with a gross profit of 13% YoY increase. Margins are down 466bps but total revenue is up 37% YoY indicating that other revenue streams are bringing in cash as well. Operating expenses are down. Revenue is up. Really isn't that bad. Competition is the only major concern with other concerns being around battery production and items related to mining the elemnts required to manufacture them.