Long

Going long on $TSLA!

- Tesla - My thoughts.

I'm strictly a technical trader, I go off what the chart and price action say. I don't invest long term or hold positions long enough to really care all that much about a company's fundamentals. I'm not a growth investor. Too impatient for that lol.

I am what you call a "swing trader." I don't really day trade. I'll hold a position from a few days to several months and that has worked for me. I think day trading is mostly gambling, so I steer clear of that.

So with that being said, Tesla is nearing a major major structured level between $102-$113 in the red zone. (Weekly chart, chart 1)

We have not been to this level since January of 2023, and we had a HUGE rally off of that level at the time. (I actually bought that rally around $110 and got out at $150.)

Tesla rallied 193% off that red level to about $300 a share in about 7 months, which is pretty damn fast. We met the the major downtrend, rejected, and we have been selling off ever since, around July of 2023.

Now, this red level, if we reach it, will only be the 3rd test of this level in 4 years! (Check monthly chart, chart 2, and look left at yellow arrows.)

Breaks of support, resistance and trend lines typically happen between 4-7 tests of the area. So being only the 3rd test of this zone, and it being a major structured level, AND it being on a higher timeframe like the weekly, monthly, and quarteryl, that puts probabilities of a bounce very high.

(Trading is 100% about risk management and probabilities.)

I am also watching the green zone between $122-$132, which could also act as a major support level. Only reason is, is because we have the 2 month "coral" moving average and the Weekly 500 EMA coming in together to make that price zone. So we COULD bounce from there. Those moving averages can be pretty hard to break, so I'm keeping a close eye on this level as well.

So my personal plan of attack is buying some shares between $122-$125 of that level I just mentioned, just in case the train decides to leave without me.

Then, dollar cost average in (if it drops further) and buy some more shares, probably double the amount I initially bought, around $110.01. then I'm just going to hold on to it for awhile.

It can do whatever it want's after that.

It would not surprise me to see Tesla rally back to that upper red zone on the weekly chart of around $200 over time. That's almost a 100% gain.

I'm comfortable holding Tesla longer than I normally would hold a position from these price points as well.

Thanks for reading!

allout06

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