Tesla (TSLA) Reaching a Critical Level! Will This Reversal Hold?Market Structure Overview
* TSLA has been in a downtrend channel, forming lower highs and lower lows.
* It has now entered a reversal zone, potentially signaling a short-term bottom.
Supply and Demand Zones
* Support Zone: $217 - $230 (Reversal Zone)
* Resistance Levels: $250, $270, and major resistance at $304.50.
Key Technical Observations
* Falling Wedge Pattern: The stock is testing the lower trendline support, indicating a potential breakout.
* MACD Crossover: A possible bullish crossover is forming, suggesting momentum shift.
* Stochastic RSI Oversold: TSLA is rebounding from oversold conditions, indicating potential upside.
GEX Analysis & Option Flow Insights
* IVR: 85.5 (Elevated Implied Volatility Rank)
* IVx Avg: 103.6
* Call Walls (Resistance):
* $250: Moderate resistance
* $270: Strong resistance
* $300: Major breakout level
* Put Walls (Support):
* $217: Strong support
* $200: Extreme support level
Trade Scenarios
Bullish Case (Breakout Above $250)
* Entry: Above $250
* Target 1: $270
* Target 2: $304.50
* Stop-Loss: Below $230
Bearish Case (Breakdown Below $217)
* Entry: Below $217
* Target 1: $200
* Target 2: $190
* Stop-Loss: Above $230
Final Thoughts
TSLA is currently in a high-volatility reversal zone. Watch for a breakout above $250 for confirmation of trend reversal, while a breakdown below $217 would signal further downside.
Disclaimer:
This analysis is for educational purposes only and does not constitute financial advice. Always perform your own due diligence before making trading decisions.