Follow up to previous analysis Tesla motors is at a nice level that is certain to attract both bulls and bears. Please read notes on the previous chart to gain context.
Full story (if you like a nice story) here -> t.co/claKseKaas
Expect some profit taking from shorts towards EOD.
Yep.. Now is the time to keep an eye out on volumes. A common price action I see is that price usually rallies from these levels (but on low volume) only to fall back. I suspect, most traders would go long on seeing such rally only it is short lived. In terms of downward pressure, 19/2 red candle was on 16.42M. Y'days candle closed on volume of 13.67M. Last time, price left this zone it was on 18M... so unless volume today is higher than 18 and a bullish sentiment candle (Long spread with a good bullish body) it would be risky to go long immediately. Last time a fake rally happened, it was on avg. vol of 8 or 9M. Rally was capped at 235 @ 11Mn. Let Tesla chop around for a bit. Volume will likely hold key and the earnings in 2nd week of May.
A-shot
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yeah and i was one of the guys that actually added a bit on that 235. It was a bet, but a bad one.
A-shot
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I like that the solid part of the yesterdays bar is so within the area noted :)