The last 2 weeks we saw the price trending neutral within a mini desending wedge while a Strong Bullish Divergence had formed on the Stochastic RSI. This basically foretold that a breakout was imminent however the strength of the breakout was and still remains uncertain especially since it was on relatively low volume at 107 million shares. The Market sentiment overall on Friday was a major factor and likely caused many shorts to be stopped out of their positions and/or cover theirs at least, but the move was still imho greater than the share volume dictated. I am no longer of the opinion that Tesla through the Springtime and early Summer will fall below $153.00 as it appears to have had significant resistance at that level and should it retrace yet again consider it a very fortuitous opportunity to Load Up One last time. I have placed Price Tags for Support and Resistance to show potential moves up and down but ultimately we remain within a descending channel.
Comment:
Looking at the chart today we have a Bullish MacdLE Signal that does not happen very often and to me is a definite Buy Signal even though we may have a small Pullback. My targets are $177.00 and possibly $185.00 and $190.00. As well it looks like before the end of the week it will be confirmed with a MA Crossover. If you review the Macd LE Signals as well as the MacdSE Signals the confidence is fairly high for both their Bullish and Bear moves after the signal has been generated. Usually the trend is already moving in the direction generated by the signal when it shows but in most cases there is opportunity to make a few more points.