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From 2017 to 2019, Tesla was trading between the range of $180 to $400.

All that changed when it broke above $400, then went to $500, then $600, then $700, then $800, then $900, all within the span of a few weeks. Will it hit $1000 next?

In this video, I explain my reasons for buying Tesla stock, how I screwed up the trade, and how you can tackle parabolic charts such as this.

Enjoy the video, and remember to “like” and “subscribe”!

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I first posted about Beyond Meat (NASDAQ: BYND) in my free Telegram channel when I spotted an accumulation pattern in the price action, followed by a successful breakout.

 

The next few days, prices continued to surge, making us very decent profits for this trade.

 

Now, let’s take a look at the current price chart.

 

Prices are still a bit volatile, and although the medium-term trend looks bullish, we can expect choppy movements.

The next earnings announcement is on 5 Feb 2020, which is pretty soon.

I will continue monitoring this stock for more trading opportunities, and post my analysis in my Telegram channel.

See you on the inside!

With a confluence of good news, Tesla (NASDAQ: TSLA) has been one of my best stock investments to date.

The shares hit a record high after beating estimates for vehicle deliveries in the 4th quarter, and Tesla’s Chinese Gigafactory has started delivering its first cars.

 

Looking at this weekly chart, we can see that the general pattern is a trending trading range.

From 2014 to 2017, the stock traded between $180 and $280, which was around a $100 range.

From 2017 to 2019, the stock traded between $250 and $380, which was around a $130 range. There was a brief period where is also dipped down back to test the prior range bottom of $180.

Depending on where you bought, your returns could range from 80% to 140%, which is pretty awesome for your portfolio.

And now that prices have broke above the $400 level, I am expecting price to stabilise and form a new trading range.

At this point, it is hard to tell where the boundaries of the range is going to be, but if you are looking to buy, then it is best to buy near the bottom of the range once it gets established.

I will continue to monitor this stock since it is in my portfolio, and post any new updates or buying opportunities in my free Telegram channel.

See you on the inside!

Tesla recently posted a cash balance increase to $5.3 billion and reported a profit of $1.86 per share, shattering analyst expectations for a loss of 42 cents per share.

Elon Musk promised a 2020 rollout of a cheaper SUV and more self-driving technology to stay ahead of larger rivals rushing into the premium electric vehicle market he created.

 

 

Looking at the chart of Tesla, we can see that it traded between the range of $250-$390 for almost 2 years (mid 2017 to mid 2019), before breaking to test a major support level at $180.

From there, it has made a strong recovery, with a whooping 70% gain from its June 2019 bottom.

Now, prices are close to $300, and it looks poised to test the highs of $390 again.

I will continue to hold and look for opportunities to accumulate more again.

 

If you’ve been reading the news, you will know the US stock market is at an all-time high, and quite possibly one of the longest bull runs in history. According to Zerohedge, this is the longest bull run since the great pyramid boom of 2580 B.C.

Article: https://www.zerohedge.com/news/2018-08-22/longest-bull-market-great-pyramid-boom-2580-bc

Also, the US economy seems to be doing pretty well, especially with the booming tech sector, and even the banks are hitting record profits.

Article: https://www.zerohedge.com/news/2018-08-23/us-bank-profits-hit-record-60-billion-q2

But I think the big question on everyone’s mind is this:

 

Is this a Good Time to buy Now?

If you believe that markets follow the boom and bust cycle, such as the 10-year cycle, you will know that we are “overdue” for a big correction. Logic dictates that we aim to buy after a big crash to get the best value (and most potential upside), hence buying at the all-time highs might not seem like a good idea to many people.

 

If you look at the current chart of the S&P 500, you will see that the price is just testing the prior highs, which means that it is at a very critical point.

If prices get rejected at this level, it could end up forming a double top reversal pattern, which is very bearish and could see a decline to the 2280 levels.

For the strong uptrend to continue, prices need to confidently break above the prior highs and stay above that level.

 

What Could Go Wrong?

With escalating political tensions with many countries, and the trade war with China, a confluence of negative factors could adversely affect the fundamentals of the US economy.

Article: https://www.zerohedge.com/news/2018-08-23/trade-war-escalates-us-china-slap-each-other-fresh-16-bn-tariffs

With the risks in mind, I will not be aggressively accumulating positions at this time, and will have to focus more selectively on key sectors.