Top in $TSLA Was Outlined Weeks in Advance at Key Hidden Levels
The “TIME AT MODE” method of analyzing price consolidations and subsequent trends nailed the top in $TSLA in the latest peak.
Very simply stated: We outlined the top based on the # of weeks at the last consolidation. Once a market “breaks away” from that consolidation by “range expanding” as shown with the yellow triangle, you can begin counting down time based on the # of bars (in this case, weekly bars) that touch the most frequent price (mode).
Once time has expired, as shown, the price can correct back towards the start of the trend.
Wishing you all good fortune in the markets.
I also outlined fundamental reasons for the decline in $TSLA, which I will outline in a subsequent comment to this chart.
Best regards,
Tim West
Very simply stated: We outlined the top based on the # of weeks at the last consolidation. Once a market “breaks away” from that consolidation by “range expanding” as shown with the yellow triangle, you can begin counting down time based on the # of bars (in this case, weekly bars) that touch the most frequent price (mode).
Once time has expired, as shown, the price can correct back towards the start of the trend.
Wishing you all good fortune in the markets.
I also outlined fundamental reasons for the decline in $TSLA, which I will outline in a subsequent comment to this chart.
Best regards,
Tim West
Comment:
Look at this level...
The S&P500 ADD LEVEL has been an IMPORTANT PRICE LEVEL this week. I count it has the MID-POINT of the day that it was added to the S&P500 Index ($SPX500, $SPY). I marked it in yellow and put a horizontal ray going from that midpoint to the right from December 21st. I use GREEN TRIANGLES for earnings reports and I use Purple Triangles for other important news. I also have YELLOW TRIANGLES at an ANGLE to represent BUY SIGNALS and SELL SIGNALS from daily or weekly setups when a "range expansion" occurs from a mode or "resting zone" to kick off a new rally phase.
Have a good weekend.
Tim West
Friday, March 12, 2021 4:34PM EST
Look at this level...
The S&P500 ADD LEVEL has been an IMPORTANT PRICE LEVEL this week. I count it has the MID-POINT of the day that it was added to the S&P500 Index ($SPX500, $SPY). I marked it in yellow and put a horizontal ray going from that midpoint to the right from December 21st. I use GREEN TRIANGLES for earnings reports and I use Purple Triangles for other important news. I also have YELLOW TRIANGLES at an ANGLE to represent BUY SIGNALS and SELL SIGNALS from daily or weekly setups when a "range expansion" occurs from a mode or "resting zone" to kick off a new rally phase.
Have a good weekend.
Tim West
Friday, March 12, 2021 4:34PM EST
Comment:
$TSLA is still in "correction mode" as it works off the 12-week advance and the addition to the S&P500 "overbuying wave".
Moody's Upgraded $TSLA's debt yesterday AND I read that $TSLA was able to raise prices for Model Y in China. There was also a fire at the Fremont, CA factory at the "giant-press" that is key for Model Y which may have added to the downside selling pressure this week. The $SPX500 Level is an important level to keep an eye on as investors are likely to add if the price is under that level, but also represents weakness IF the price is under the level.
For now, I'm watching each day to look for news that can get $TSLA moving again. The valuation of $TSLA is extreme in that it was more expensive than most of the other automakers combined. Couple that valuation with the $50B in expected revenues and $500+Billion Mkt Cap and you can see the market has already built in the future growth of Tesla going out 5-10 years growing at 50%/year.
Stay tuned.
Tim 8:37AM EST March 26, 2021 $TSLA $635 pre-market
$TSLA is still in "correction mode" as it works off the 12-week advance and the addition to the S&P500 "overbuying wave".
Moody's Upgraded $TSLA's debt yesterday AND I read that $TSLA was able to raise prices for Model Y in China. There was also a fire at the Fremont, CA factory at the "giant-press" that is key for Model Y which may have added to the downside selling pressure this week. The $SPX500 Level is an important level to keep an eye on as investors are likely to add if the price is under that level, but also represents weakness IF the price is under the level.
For now, I'm watching each day to look for news that can get $TSLA moving again. The valuation of $TSLA is extreme in that it was more expensive than most of the other automakers combined. Couple that valuation with the $50B in expected revenues and $500+Billion Mkt Cap and you can see the market has already built in the future growth of Tesla going out 5-10 years growing at 50%/year.
Stay tuned.
Tim 8:37AM EST March 26, 2021 $TSLA $635 pre-market
Comment:
I posted extensively on $TSLA in the Key Hidden Levels chat room over the past few weeks. I neglected to update this chart for everyone. The TIME of the correction can continue for a few more weeks, but the downside price movement is likely done because it was so extreme into the recent lows. I'll update with more info and another chart. Stay tuned. 4/22/2021 11:50PM EST
Comment:
Tesla has one more week to complete a 12-week correction after the 12-week rally from the 12-week mode, as shown at the top.
Tesla is also in a large triangle or sideways consolidation period as it is in a downtrend and an uptrend on the weekly and daily time frames.
So - wait one more week and expect more of the same action - choppy sideways with lots of fake break-out and fake break-down moves to frustrate trend-following methods.
All the best,
Tim. 12:08AM 4/23/21 EST
Tesla has one more week to complete a 12-week correction after the 12-week rally from the 12-week mode, as shown at the top.
Tesla is also in a large triangle or sideways consolidation period as it is in a downtrend and an uptrend on the weekly and daily time frames.
So - wait one more week and expect more of the same action - choppy sideways with lots of fake break-out and fake break-down moves to frustrate trend-following methods.
All the best,
Tim. 12:08AM 4/23/21 EST
Comment:
$TSLA is still in a triangle and working off the 12 week rally after the 12 week mode setup.
Keep a close eye on this pullback as $TSLA is UNDER where it reported earnings last week which is a negative sign. Simple rule: If above the "earnings level" it is bullish and if below the "earnings level" it is bearish.
I think I was an unusual bear when $TSLA was peaking when calling for a correction of 12 weeks and now that we've had a substantial correction and plenty of back-and-forth choppy action it is about time for this consolidation to end.
I'll make my call when I see it. For now, set alerts above the "KEY EARNINGS LEVEL" and let's analyze it when that happens.
Cheers,
Tim
10:31AM, April 29, 2021 Thursday
$TSLA is still in a triangle and working off the 12 week rally after the 12 week mode setup.
Keep a close eye on this pullback as $TSLA is UNDER where it reported earnings last week which is a negative sign. Simple rule: If above the "earnings level" it is bullish and if below the "earnings level" it is bearish.
I think I was an unusual bear when $TSLA was peaking when calling for a correction of 12 weeks and now that we've had a substantial correction and plenty of back-and-forth choppy action it is about time for this consolidation to end.
I'll make my call when I see it. For now, set alerts above the "KEY EARNINGS LEVEL" and let's analyze it when that happens.
Cheers,
Tim
10:31AM, April 29, 2021 Thursday
Comment:
I like how $TSLA fell back and tested the S&P500 ADDITION LEVEL there marked with a yellow triangle and line at the $660 level.
Based on how the stock had sold off from the high at $780 two weeks ago back down to $660 this week and has turned up, I think it is showing signs that it want's to move back up to the "EARNINGS LEVEL" and then work back up to the $800 level over the follow 6-12 weeks.
Cheers,
Tim
11:14AM EST, April 30, 2021 Friday
I like how $TSLA fell back and tested the S&P500 ADDITION LEVEL there marked with a yellow triangle and line at the $660 level.
Based on how the stock had sold off from the high at $780 two weeks ago back down to $660 this week and has turned up, I think it is showing signs that it want's to move back up to the "EARNINGS LEVEL" and then work back up to the $800 level over the follow 6-12 weeks.
Cheers,
Tim
11:14AM EST, April 30, 2021 Friday
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There is an important concept of SUPPORT/RESISTANCE that is defined by the following logic: The LESS TIME that a market spends at a level, it means that both sides of the market AGREES that is the wrong price.
Looking at the chart, you can see that Tesla fell to the price where there was the LEAST TIME on the chart where there is only 1 day and 1 week at the level where $TSLA found support where buyers were sitting hoping to absorb stock from the panicked margin-longs who were being liquidated.
If you are looking for targets for your trade setups, entries & exits, try to put the "lowest time" level on your "Key Levels List".
All the best,
Tim West
8:58AM EST 3/11/2021