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Essendy
Jun 4, 2020 6:41 PM

TSLA Short

Tesla, Inc.NASDAQ

Description

Head & shoulders broke down (blue line). Now breaking down from rising wedge. Targets below
Comments
SamSzulc
Aren't you a bit premature in calling this a Head & Shoulders? Shouldn't the breakaway gap be taken out first @ $835? What can be said is a gap was filled on 6/2/20 @ $908.66 on SpaceX launch (topping on good news) from the gap down on 2/24/20 coming into the highs (but not taken them out) of 2/20-2/21 ($912 {5 min high], & $913.06). This could become a Head & Shoulders, and I believe TSLA did top out making a recovery high, but let's see if it doesn't get taken out in the near future before we decisively conclude that. Again, trading under $835 would be strong evidence.
Essendy
@SamSzulc, You're on a different time frame than I am. This was basically an intra-day pattern that didn't play out how I anticipated because I read it wrong. From the top of the head (I used 907) to the neckline (I used 871) was 36 points. Where I screwed up was subtracting the 36 from the 871 neckline which gave me an 835 target that perfectly lined up with the gap fill. After giving it a 2nd look, what I should have done was subtracted 36 where the neckline was rejected at 895 to get a target of 859, which did get hit. Hope this helps.
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