Tesla
Long

TSLA daily chart shows clean channels for trading this week.

By DMT_Doctor
Updated
TSLA has clean channels on the daily chart, both to the upside and downside, for trading this week. TSLA closed just below the daily 10 SMA, which is the next key supply it must reclaim before going higher and potentially testing the daily 325 SMA and daily 50 SMA just above that. If it can reclaim the daily 50 SMA, along with QQQ building a strong base above its own daily 50 SMA, then TSLA will be in a strong position to push higher to the daily upper Bollinger Band, while continuing higher on the C to D leg of the Gartley harmonic discussed previously.

Alternatively, if QQQ continues to reject the daily 10 SMA and loses the daily 50 SMA demand, TSLA may lose its daily 200 SMA. This would invalidate the Gartley harmonic and TSLA would trade down to the next daily demand, which is the rising daily 100 SMA. I continue to be positioned long into next week, because I believe the upside potential is stronger on this name; however, it is important to always be prepared for both bullish and bearish scenarios in order to execute with confidence during the trading day. snapshot
Trade active
TSLA held the converging daily 5 and 20 SMA demand zones yesterday, and reclaimed the daily 10 SMA supply today, which provided excellent long entries.
Moving AveragesPivot PointsQQQqqqforecastSupply and DemandTesla Motors (TSLA)tslaanalysistslalongtslashort
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