Today's bullish price action invalidated the bearish divergence developing yesterday, which means 176 was the very short term low. We are now either in the topping process for the corrective wave B of the correction or we are already starting big wave 3 going up. Correction here = down from 217 so corrective wave B = up. Wave 1 = 102 -> 217 so wave 3 will make new highs. Either we are going to make higher lows and higher highs from here until we reach 250+ or we are going to get rejected at 200 and go down to 146. I'm pretty certain we will see 200 - 205 as the RSI just made new highs on the hourly timeframe. Whenever this happens, it means there is more room to go up. But that's only the very short term picture. Longer term, aka after P&D is a mystery. However, I'm still leaning toward we'll go down, purely going off the chart. Again, this is only because TSLA is not going up on its own but is piggybacking off a relief rally in SPY. Price action prior to today still looked corrective to me.
The credit upgrade certainly changed the short term picture a little bit, creating more tailwinds for the bulls pre- P&D. This rally/bounce from 164 looks a lot like the rally from 102. The way it can play out is we pop tomorrow to 200-205 before selling off to 187, testing today's opening gap. If 187 holds and we close the day without filling the entire gap, then I can say with a lot more certainty 164 was the end of the correction.
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