TSLA Tesla Weekly Chart; Tesla Stock Chart Goes Parabolic Printing All-Time Record High at the 969 Palindrome

A couple weeks ago, Keystone posted the Tesla monthly chart. The projection is for it to place a major top in the February-April time frame and this can be fine-tuned as time marches on. TSLA is the talk of the town this week as Tesla price spikes parabolic printing an all-time record high at the 969 palindrome. The move is one for the record books. Traders are tripping over each other to buy Tesla stock as if the shares were tulip bulbs.

TSLA stock was heavily shorted creating the mother of all short-covering rallies. Analysts say Tesla is making its production numbers and is cash flow positive, which is uber important, and lately are saying that demand is strong. The last claim may be misleading if the demand boost is based on China sales. One-half of the Tesla cars sold in the States are for California. Here in scenic beautiful Pennsylvania, spotting a Tesla car is as rare as hen's teeth. A practical person asks why would I buy an electric car when there is a gas station on every corner? It is doubtful that all of a sudden the demand increases.

In China, the communists are simply using CEO Elon Musk. Perhaps he does not care since he plans to skate from the company in the months ahead. China steals the technology so it does not matter that Tesla may be ahead of other glorified electric golf cart manufacturers, the technology is currently handed over to the Chinese manufacturers for nothing. The Tesla electric car dominance will likely only have a shelf life of a few more months or year or two.

The TSLA monthly chart continues showing long and strong indicators pointing to more new highs after any pullbacks may occur on the monthly basis. The RSI and stochastics are overbot on the monthly so that will create a pullback but the long and strong indicators will then boost price up again. There are likely a couple jog moves required to make the RSI and MACD neggie d so that may be a down, up, down, up where then the top will occur. So after this rocket ship ride this week, Tesla will likely print its long-term top in March-May (the analysis on the monthly chart has not changed).

TSLA will likely be very volatile until that top occurs. In the weekly chart above, the overbot RSI, stochastics and money flow, and neggie d on the stochastics, along with the overbot conditions on the monthly, will create a pullback. This may only be for a few days or a week and then price will rally again due to the long and strong RSI and MACD. The RSI is pegged into the ceiling with nowhere to go but down. The money flow has a hitch higher going on so the estimate right now would be for a down week, then up week, that will flatten out the RSI and money flow turning them neggie d, so a down week then occurs, but then up again for a week since the MACD is long and strong, and then that is the top in the weekly timeframe which will lead to several weeks of down and a potential short opportunity.

Thus, TSLA is a no-touch long or short right now. You do not want to typically mess with parabolic stock moves. Commodities are known for these parabolic price patterns and they all end the same way--they all come straight back down. Put TSLA on the list as a potential short in about 2 to 4 weeks when the weekly chart should top out with neggie d. The chart will have to be looked at then to see if it is ready. Although the short side can likely be played from say, late February into late March, TSLA will then come all the way back up again after that because of the long and strong monthly chart. In that March-May time frame, Tesla may set up as the short of the century. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added 9:51 AM EST: TSLA trades down 84 points, 9.4%, to 803 a recoil off the joyous 969 high. As explained, Tesla is likely a no touch for a couple weeks or so when the weekly chart potentially sets up for a short with negative divergence. Until then, make some popcorn and simply watch it.

Note Added Thursday Morning, 2/6/20, at 5:34 AM EST: TSLA crashes 152 points, -17%, to 735 with a LOD at 704. There is likely lots of choppiness ahead. Give it a couple weeks to breathe and watch to see if the weekly chart sets up with neggie d. By definition, price will have to come back up to matching or higher highs to then look at the indicators to see if they negatively diverge. This -17% pullback is likely due to the grossly overbot RSI and stochastics.