In a bearish trend on Tesla, we are going to be shorting Tesla stock further till the $650. The market currently is residing at the resistance level. This level if respected, will tap the market to continue moving down. Market has formed lower lows and lower highs. With this structure, we need to attend to the bearish trend as towards the support level. We will be taking our position towards the lower side once market retests the resistance.

The ascending trendline has been broken out for sells. The candles will validate the breakout sells after the candles have opened and closed below the trendline. Once the validation, we will re enter on the resistance where there is a confluence of trendline breakout as well.

The retracement level of 61.8% resides at the resistance level is in confluence with the overall structure. This would be a prime short sell area once the market retests this.

Both the EMA 50 and EMA 200 are bearish with the bearish death cross. The EMA 50 has been broken out for sells and is retesting the resistance level. This resistance level will be catered to with other technical factors. EMA 200 is above the current market conditions. 

RSI and CCI, both are at the neutralized levels. These levels once start to fall in the bearish region, we will have other technical factors to assist them with the bearish pressure. We have a window towards the over sold side, which can make the stock go further down. 

Tesla shorts till $650

Jun 09 2022

Stop Loss -12.46%

Holding time 52d18hr

252.15

Entry price

283.55

Stop loss price