Despite the current bull rally in Tesla I see a great opportunity for a short position in 262-264 area. This area is previous resistance and would also be 61,8% retrace of the earlier AB movement. Before going short we will need to see a clear reverse candle stick.
Loss is limited to 271 and profit should be taken 222.30 and/or half size further down at 205.8.
This is my first post on this site so please feel free to give me feedback. Thanks to all for great ideas!
Comments
TB11741
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great visual
admin
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Nice idea! Thank yo for sharing!
MarvinMartian
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There are three waves with a period of around 147days and 186days. I say by end of Jan or Feb, we'll be cresting a 4th wave.
timwest
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I could add that you were going for a very aggressive trade (meaning you had very low risk to a very high reward) and it is easy to miss your entry. If you get a great trade setup, try averaging in over time and that way you can get into the trade slowly and keep a wide stop initially and then as time goes on you can reduce your stop and lower your risk.
RCP_
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Hi Tim,
Thanks man! I'm still working on my entry in these kind of trades. Still got the trade though, but your "scaling-in" advice would definitely have made this even more profitable.
timwest
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Nice setup and projection - it just didn't get up to your targeted entry level. Nice going. I'll still submit this one to "bullseye" because at least there were other opportunities to go short after the giant engulfing/reversal bar. And welcome to TradingView!