Tesla has been building this rally in a very consistent manner with buyers stepping up so that only 9-days are at the same price at each interval for the past two months. This will be the 3rd such "MODE" formed along the current rally.
Normally, in a healthy advance, the price will advance "AFTER THE MODE" by the amount of trading range around the mode but in the last instance, TSLA just failed by a little to reach the upside target.
The new mode is at the $246 level and the range is 252-238 or 14 points. So, the measuring amount is 14 points up from 246 or 260 for a target for this 9-day mode.
The current trading range is the smallest of the three ranges, which implies to me that sellers are capping the advance and that sellers are increasing in size up here near $250.
The next news on the horizon is early July which is over a month away.
I wanted to put this chart up before today was over, just so you knew that this trade was setting up.
Stay tuned for tomorrow to see if we get an entire range over $246 which will turn into an actual buy signal.
Tim
1:53PM EST May 27, 2015 246.90 last TSLA
Normally, in a healthy advance, the price will advance "AFTER THE MODE" by the amount of trading range around the mode but in the last instance, TSLA just failed by a little to reach the upside target.
The new mode is at the $246 level and the range is 252-238 or 14 points. So, the measuring amount is 14 points up from 246 or 260 for a target for this 9-day mode.
The current trading range is the smallest of the three ranges, which implies to me that sellers are capping the advance and that sellers are increasing in size up here near $250.
The next news on the horizon is early July which is over a month away.
I wanted to put this chart up before today was over, just so you knew that this trade was setting up.
Stay tuned for tomorrow to see if we get an entire range over $246 which will turn into an actual buy signal.
Tim
1:53PM EST May 27, 2015 246.90 last TSLA
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