I called out numerous cases of bearish TSLA divergence last week. Tesla melted up regardless, but the bear divergence still applies. We can see MacD, TRIX and RSI all displaying a triple top pattern. Selloff on Friday 9/10 was all the confirmation I needed. I expect to see TSLA pullback to the 695/700 ascending support zone.
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The day after posting this, price dropped to 709 before immediately rallying back to previous levels. This may have been the market reaction to this bearish divergence, validating a pullback then quickly resuming a bullish trend. I closed my short position at 20% profit.
Great idea! I have a similar outcome in my analysis and simply waiting for the price to break down further. The recent bounce looks like more an overextension in the shorter time frame oscillators so I believe that price will break down further in the next trading days.