TSLA Reports and goes for a deeper dive SHORTOn this 4H Chart, I find good cause to continue my lot of 10 put options on TSLA. TSLA has
dropped another $ 25.00 per share price during the earnings report time frame. While the
overall long time frame supertrend is up, TSLA is presently in a sustained pullback likely due
to significant fundamental and economic factors. The antics of its CEO demanding an award of
more shares so he can launch a big AI initiative within TSLA is not helpful. He has taken a big
haircut but he can easily afford it.
In the analysis, TSLA has put in a bear flag which suggests more bullishness in the continuation.
The ceiling of resistance right now is the POC line of the volume profile at 230. If price can
get through that then 265 at the top of the volume profile's high volume area might be
achievable. A bottom may be the second lower VWAP band at 175 which could be reachable
in the latter part of the upcoming week. Weakness in the Chinese economy is a heavy weight
on TSLA right now. Bright days ahead but some pain and chaos in the meanwhile
Trade plan: I will hold the puts until I see a reversal pattern on the 30-60 minute charts and
then close them. If no reversal pattern in the upcoming week, for purposes of time decay
complications I will roll the puts out another 28 days. Overall, TSLA continues to pay traders
well some of them might buy a TSLA to return the favor with the profits received especially
if there are more price cuts on the horizon that do not adversly effect margins and fec\deral
subsidies are extended they would be an uplift to sales, revenue and outlook overall.
