Let me start this off by saying that this is not going to be me teaching you Elliott Waves. It is too much to put into a blog, there are so many rules, and ways to go about confirming the difference between impulse and corrective waves, 5x3x5 or 3x3x3x3x3 waves, and did you know there are 3 different types of corrective waves?!?! Ya ok... makes sense.
Anyway, I have been really trying to get into it because there is always something I found fascinating by the psychology of traders in the stock market. This really does put all of that into action by a lot of "if true, then" price action. What I do like about the Elliott Wave is that it does give you an idea of what price targets could look like, what to look for if there could be a reversal coming and a lot more.
One of the negatives though is that your chart could look like this...
The thing about the Elliott Wave Theory is that there are so many possibilities that need to be either validated or invalidated based on all these rules. I have no idea how someone is able to use this method without having a cheat sheet because it is giving me anxiety just looking at this chart.
Personally, I have been messing around with TSLA lately and am trying to use that as a model for learning the Elliott Wave.
Right now I am using this as a way to hold myself accountable and to see if I am making any progress.
So without further ado, here are my EW predictions for TSLA: