It's been awhile since I wrote up TSLA, a fact that should not in any way be interpreted as a lack of enthusiasm for intermediate to long term prospects for share price appreciation. In fact, I've been keeping an eye on TSLA ever since the May 12th breakout above the descending parallel trend line coming down off of the Dec 2024 all time high @ $488: TSLA - Daily: May 2025 Breakout As impressive as this six-month breakout appeared at the time, we knew from past trading experience with TSLA (and TSLL, the Direxion 2X Bullish TSLA ETF) that the real trigger for gains will be the advent of a Wave 3 rally at multiple degrees of trend. That finally happened Monday and since we haven't bought any TSLA/TSLL calls since May, it's time to dive back in, going out to Dec 2025 expiration. Option analysis below. TSLA 180 Minute I've stripped down this 3-hour chart to its most salient message: A third wave in its early stages and at multiple degrees of trend. Note that key target levels are $450-500 and from there, $700 to $1,200. I don't expect the latter target zone to be reached this year, although anything is possible with this stock. The bet now, via Dec calls, is for the bare minimum, i.e., $450-500, with $700 as a potential outlier by or before Dec expiration. The equivalent for TSLL, trading now at $13 and change (+10% on Monday), would be a minimum target of mid-$20's and an outlier target of $40. TSLL Daily TSLL Calls: Targeting mid-$20's by Dec Expiration At TSLL $25, the Dec $20C will be up 5X; approaching $40 and its knocking on the 10X door. TSLA Dec Exp A little pricier than TSLL calls, but TSLA calls are sporting just as attractive leverage, in fact a tad better, with Dec strikes @ $475-$500 being the sweet spot for "bullish into Christmas."
