What do we do with Tesla.... Breathtaking run up has shorts scrambling for cover.
I'm initiating a Sell... I think this is an important inflection point. Analyzing price structure on a weekly log (to get adequate perspective) I believe this recent run up represents a wave 4 of a large "A" wave in the long term view. EW alternation of wave 2-4 exist here. Wave 2 was complex wave 4 at this point appears simple. Risk-reward at this point is ideal. Notice the current weekly Doji that just printed at the point of MAJOR confluence. I will use this as a stop point...
I will be updating with shorter term charts as the move unfolds.
Weekly View
Weekly Doji
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Charting TSLA in LINEAR vs LOG format will give you wildly different perspective. In the longer term view I believe this stock it's in a wave 4. Here is an alternate wave count in LINEAR mode. This count suggest a short term top fallowed by a significant rally taking out the Feb 9th high.
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I have a saying..."live by he LOG die by the LOG" Here are my graphic thoughts... WEEKLY LOG LINE chart.... I believe the correction this stock has been in since Nov '21 is a wave 4. That being the case price should tag the lower yellow channel line at some point. How it gets there is the trick. The current position is a good risk-reward point for this possible scenario. I have not initiated my short yet. Waiting for the set-up that has yet to materialize.