Tesla is currently down 7% I think after hours are actually around $38 and you guys remember in yesterday's video we said that this was most likely going to be the top for Tesla going by our strategy we would have taken profits for a 13% return and no longer where we bullish the reason for this is simply because of buying and selling pressure there's two main things that I'm constantly focused on one is Market structure that can be dictated by looking at price action and understanding what the general trend is if we're making higher highs if
we're making higher lows that's showing that we're in a directional uptrend the second thing and the main aspect that most people Overlook is the buying pressure just because you think a stock is undervalued or just because you think a stock is going to move does not mean it has to move logically the only way that a stock can move is if somebody who has enough money to move the market or Collective amount of people who have enough money to move the market all agree on the same direction and bid the stock higher or lower the
way that I track and monitor buying pressure is through an indicator called the BX trender this is a free indicator on trading View and we have a course called the elite Traders Playbook that's completely free that shows you how to set all of the custom settings up how to get started with it and I even give an exact standard operating procedure on exactly how to use this it's completely free the link to all of that and our other courses are in the description when the BX trender flips from green to Red this is a signal
that buying pressure is no longer present you can see as an example back here on August 9th we would have taken a 7% profit and then once we flipped red price Consolidated for about a week and a half before breaking out another 4% price once again Consolidated for a couple of days broke out and then once we took profit and we flipped from green to Red you can see that we actually dropped close to 16% within just 2 weeks now that's not what I'm expecting here on Tesla what I think is going to happen this
time is basically what occurred back here between October 28th to November 6th we saw the BX trender turned red and price Consolidated within a bull flag pattern and yesterday when we said that we were no longer bullish it wasn't a call to grab puts like I did not get puts I did not short this it would have been obviously phenomenal if I did but that wasn't my intent my intent here is to wait for price to pull back down into a support level so that I can actually look to go long once again now I'm
currently holding 2027 calls but when I say go long again I mean like a shorter time frame trade I'm looking for another one of these setups where we get buying opportunities within that pullback if we zoom out to look at this weekly chart you guys will remember that the main area of resistance that we were talking about was between $260 to $280 this is called a liquidity level because price has tapped this level multiple times before now the more times that we come up to a level like this the higher of a chance we have
for price to break out which is exactly what happened we saw price run from $238 basically two weeks ago up to highs of $358 it wouldn't be crazy to watch price action pull back down to 300 maybe even 280 or 2 290 or maybe even 280 before we retest off of that support to start moving our way back up to $400 into next year something to note though is that the weekly BX trender is showing higher highs which is a good sign and that's ultimately why I think price will pull back down to $300 and
bounce within this area now my goal is not to just enter Because price is pulling back there's really two main ways I'm going to play this number one and the more conservative approach to this would be selling cash secured puts you know maybe for next Friday down at maybe 295 or 290 hoping to assume or buy shares at that level in the meantime I'll make a couple percent return maybe half of a percent to 1 and a half% return on those premiums but what I'll realistically do is wait to see price pull back and then
flip from red to Green you'll see last time that happened we had a 16% trade then after that we had a 13% trade and I want you to understand that you don't have to be right all of the time like we are up nearly $3.8 million this year and I'm only right 65% of the time the whole point of this is that when we are right we're getting the best opportunity within an uptrending Market but we're waiting for buyers to actually step in and so in the case of Tesla could we potentially bounce tomorrow off
of this level come back up to test 3 30 of course but I'm going to remain to keep my foot not off the gas cuz it's Tesla but off of the accelerator until we see the BX trender flip back to green if you guys want to get access to all the courses they're completely free you can learn my exact strategy free of charge but if you guys do want to get access to all of these alerts and all of my trades you can join our Discord community and our private Academy the link to that is
down in the description we're currently doing a pre-black Friday sale where you can start for 90% off your first month the link to that is Market 10 so market and then the number 10 there's a limited amount of coupons because I don't want like thousands and thousands of people in our Discord Community I'm very big when it comes to the culture and the people that we have there it's something that I've been building for 4 years and it's something that I really want to keep so if you think you'd be great be a part of
the community go ahead and check it out learn our strategy get access to all my trades and I'll see you next time
