Tesla TSLA Follows our Bearish Rounded Arc as Expected

Sep 1, 2016: 10:09 AM CST

Tesla (TSLA) shares are precisely following our analysis that a sell-swing is coming, via the beginning of a Rounded Arc pattern.

What was the original analysis? See the prior post entitled:

“Beginning a Bearish Arc Lower for Tesla TSLA” and compare that with today’s collapse.

It’s exactly what should have happened:

On the Daily Chart we’re seeing the acceleration lower as price completes a Mirror Pattern.

Think of it like a “Rounded Reversal” or “Rainbow Arc” pattern where the right side of the pattern – as it develops – mirrors (looks like) the left side of the pattern.

Once price broke under the $220 level, odds favored an acceleration lower toward $200 then the $190 level.

Again, that’s EXACTLY what is happening in real time.

Here’s the intraday chart for clarity on the arc:

Once again, we’re seeing the Arc Pattern play out with a bearish phase lower, allowing opportunities for aggressive intraday and short-term traders.

If you missed this opportunity, stay with us for more examples like this and study this pattern for a reference for the future.

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Corey Rosenbloom, CMT

Afraid to Trade.com

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1 Comment

One Response to “Tesla TSLA Follows our Bearish Rounded Arc as Expected”

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