jangseohee

TSLA, watch out for the neck line

NASDAQ:TSLA   TESLA INC
523 21 4
Few days ago, i just learn from a trader friend that this is not a Classical H&S because there shouldn't be anything on the left. Hence i call this as Pseudo H&S

Nevertheless, price wants to break the neckline but was rejected twice within a span of 3 trading days as can be seen from the wicked.

A close below 50ema would be an evening star rejection which would translate into a short for me.

P.S.: Always take note of potential false break out to test the slanting resistance, break the resistance to fill some gaps.
I was told the ugliest head and shoulders patterns "not the classics" are more likely to play out. I remember DDD when it was 80, not an obvious head and shoulders, but you had to nearly tilt your head and readjust your eyes just to see it....but the drop was a beauty
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jangseohee lmsmith
Hi Smith,
Yes, from my previous post on TSLA, my friend here Ivan also shown me that a Classical Textbook H&S topping pattern must have NOTHING on the left. Maybe i am still green in the trading arena, but as far as my own trading style is concerned, my definition of H&S consists of LS, H & RS only (even when this 3 have same resistance level!) irregardless of whether there are something on the left to negate it :-)
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jangseohee lmsmith
there are two H&S to me here :-)
Stock topped up before the index
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Happy Holidays my friend! Love your post!
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jangseohee lmsmith
Merry X'mas & Happy New Year 2015 to you and families, Smith! :-)
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play4trade jangseohee
Check out the bigger neckline dating back to 5/2013... That's what we are going to test around 240ish(maybe 254 as overshoot), then down to 158 which is where the move began and left untested.
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jangseohee play4trade
Good observation, but i don think it is a neck line rather an uptrend line :-)
thanks for that, long term view is better.. u
snapshot
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play4trade jangseohee
snapshot
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play4trade jangseohee
snapshot
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jangseohee play4trade
i will be vary of the resistance at 245 as it coincide with the downtrend resistance line as well
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play4trade jangseohee
Like Ms. Smith pointed out, the uglier the H&S, the more likely it is to play out because it take more to notice it... I wonder where she learned that from ;-)
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jangseohee play4trade
a H&S is a H&S, as long as i can find LS, H & RS though might not be a perfect symmetrical one, we will ask Smith (Mr/Ms) when he is back in Jan 2015 :-)
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play4trade jangseohee
Sounds good.
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jangseohee play4trade
what do your mind trick you to see now :-)
snapshot
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play4trade jangseohee
snapshot


Right Angled Broadening Formation
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jangseohee play4trade
that is another perspective :-)
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play4trade jangseohee
High volume on that drop right at the start of the leg that took us up... many people will look for right shoulder to develop... But I think momentum says higher...
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play4trade play4trade
Momentum on higher time frame(MONTHLY & WEEKLY) No distribution at all , IMHO... If right shoulder plays out, then maybe I will look for pullback... but bullish right now...
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play4trade jangseohee
Thanks for showing me this. I think I will get some Jan 15 $CELG 115 calls on Monday... I like a move to 130-132 Should explode...