Where Does TSLA Land?
Trend
- Downtrend confirmed.
- Components of the channel chart:
The original downtrend channel plus a 100% extended channel.
Both channels divided in half by blue dotted lines.
The shaded zones furthest from the center represent "overbought/oversold forces," which counterbalance each other.
- Currently, the price is descending into the extended channel, suggesting a chance of reaching the lower band of the extended channel.
- Note that when the price enters the orange shaded zone, it could move rapidly in one direction, as there is minimal previous support and resistance.
- The trend lines serve as potential support and resistance levels.
100% Symmetrical Projection: Downtrend “N” Patterns
- A 100% Symmetrical Projection of the previous swing (from A to B) and then projected from C. As a result, D is the initial target price on the short side.
- The 0.5 level from C to D serves as a clear support, enhancing the value of this projection.
N Pattern’s Target Price & Fibonacci Price Cluster
- The target price of $116 at level D aligns with a major prior low on the weekly chart.
- Levels 1 & 2 are significant due to the price cluster effect, demonstrating the validity of the extension of the prior major swing.
- Consequently, Level 3 has a good chance of becoming a critical support and a potential target price.
Conclusion
- In comparison with symmetrical analysis, TSLA's trend channel chart provides higher reference value.
- The dynamic target price is the lower band of the extended channel.
- The fixed target price (strong support) could be $122, followed by $116.
Not Financial Advice
The information contained in this article is not intended as, and should not be understood as financial advice. You should take independent financial advice from a professional who is aware of the facts and circumstances of your individual situation.