This is a potential scenario apart from the previous TA on TSLA for how the 5th wave would end based on the Ending Diagonal Pattern
In the previous TA, I predicted the share price might hit above $359 in the 5th wave, but over the last few days, the market seems to form an ending diagonal on the 5th wave. This means the 5th wave might end at a lower price point.
The subways I could count follow 3-3-3-3 pattern with a decreasing in market strength (volume) over the previous week.
I would still ladder my orders starting at $355 up to $370 for this trade with a stop loss at $380.
The ending diagonal pattern is hard to place a trade as the price action gets smaller in magnitude and the market becomes more unpredictable.
Ending Diagonal Pattern becomes invalid when any of the sub wave is longer than its previous, then this TA will pretty much become invalid and we might stick to the previous one.
Disclaimer
Opinions only
In the previous TA, I predicted the share price might hit above $359 in the 5th wave, but over the last few days, the market seems to form an ending diagonal on the 5th wave. This means the 5th wave might end at a lower price point.
The subways I could count follow 3-3-3-3 pattern with a decreasing in market strength (volume) over the previous week.
I would still ladder my orders starting at $355 up to $370 for this trade with a stop loss at $380.
The ending diagonal pattern is hard to place a trade as the price action gets smaller in magnitude and the market becomes more unpredictable.
Ending Diagonal Pattern becomes invalid when any of the sub wave is longer than its previous, then this TA will pretty much become invalid and we might stick to the previous one.
Disclaimer
Opinions only
