From a broad perspective, $TSLA has just completed its corrective abc pattern wave 2 from it's initial wave 1 impulse drop. At the end of the trading day Friday 9/18 the market is looking like a sell-off. If Tesla follows suit with a gap down on Monday, we could be in the Cycle wave three and expect another impulse wave down below the initial wave 1. I am targeting below $325 for wave 3. This will happen fast. My theory would be invalidated if we break above $460.
This wave 2 that just ended looked like a major rally so expect something similar, though more flat for Wave 4. Ultimate wave 5 target could reach sub $200 or $195. Good Luck.
This wave 2 that just ended looked like a major rally so expect something similar, though more flat for Wave 4. Ultimate wave 5 target could reach sub $200 or $195. Good Luck.
Comment:
For those who don't think that technical analysis works on $TSLA. See that the reversal that occurred the other week happened at the third fib extension from Cycle Wave 3. Is this just a coincidence? I did not post an idea but in the stocks chatroom I recommended shorting at this point and made $$$.
Trade closed manually:
This wave 2 is going to be extended and ruin option holder positions. Options have been so wack for tesla that I closed my position for now. I think they hold this here for a while then whip saw people out of their positions. Not worth it until clear direction is found.