Friday saw a gap down for TSLA, falling to 192.80 shortly after the open. TSLA then traded in a narrow range, with a slight upward bias, throughout the day. The fact that Thursday's 191.78 low held was important, as that is my Wave 4 low, and a break below 187.61 would invalidate the count, and likely mean a top was in. After holding those levels, TSLA moved markedly higher at the open, gapping up to 208.22 before a slight pullback. Another move higher brought the stock to 209.42, which proved to be the high of the day. From there TSLA fell slightly into the close, ending the session at 207.60.
A very short term count would call for a move higher from the close, followed by a pullback of 6 to 8 points. This move higher has a lower limit just below today's high, but the upper limit gives it a large range to work with. That would set up a final move into the 212-234 target area mentioned Thursday. On a cautionary note, another move higher at the open could put TSLA in that target range, so close monitoring will be needed from this point. One possibility would be for the initial move higher to carry to a point where the 6-8 point pullback keeps it above the 212 target.
On the downside, I am watching the 191.78 and 187.61 levels. A break of those would seem to be near term bearish. Should be an interesting couple of days.
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