Three major bullish indicators:
- Purple: Descending triangle
- Orange: Ascending triangle (was my most prominent idea until it broke below)
- Blue: symmetric triangle
My predictions:
(1) Once Tesla passes the apex of the symmetric triangle I can see support begging to form, climbing up the blue support line, following this I am looking for a breakout above the orange resistance line.
(2) Alternatively, Tesla can be exhausted as seen on the MACD, lower volume levels, and volatile charts (longer candles on the 1D chart), following this idea Tesla must break below the purple support level and then slowly climb down the old blue resistance line. The thick red line will act as heavy support, if this level is broken we might be witnessing a triple top and shoulders formation (variation of head and shoulders).
Price targets (3-4 month):
under scenario (1): $536
under scenario (2): $285
Notes:
This week is very crucial for price action and TA, I believe the apex of the symmetric triangle is the most critical point. I am bullish and believe scenario 1 is the most possible. I also believe we will see further price volatility which might cause a fake breakout either above the orange resistance or below the purple support.
I will update this chart throughout the week!