We will look at the past performance of the 1H Hour Elliott Wave chart of Tesla Inc. ($TSLA). The rally from 10.31.2023 low unfolded as a 5 wave impulse. So, we expected the pullback to unfold in 3 swings (ABC) and find buyers again. We will explain the structure & forecast below:
Here is the 1H Elliott Wave count from 11.10.2023. The 5 waves rally from $193.86 peaked at blue (A) and started a pullback to correct it. We expected the pullback to find buyers at (B) in 3 swings at $212.13 – 204.70.
Here is the 1H update from 11.12.2023 showing the bounce taking place as expected. The stock reacted higher after reaching the equal legs area allowing longs to get a risk free position. We expect the stock to continue higher towards 238 – 258 before a pullback can happen. Alternatively, if the stock is unable to break above $227 at blue (A) then a double correction lower can happen (WXY) before higher.