Ark InnovationIf that was indeed a false breakout for Ark Innovation, then WATCH OUT BELOW!
Low risk long entries are NOT found here.
ARKK trade ideas
ARK Innovation, Breakout The Uptrend
Breakout strategy has proven effective for entering new positions. As you can see, two consecutive bullish candles are forming, indicating a potential breakout. Notably, the second candle lacks an upper shadow, which could be a bullish sign. A mid-term target for this breakout could be around 73. Remember to set a stop-loss (SL) for your trade, potentially around 60.
ARK Innovation. Granny Wood is Back — What She's Brewing..?!Hooray! Granny Wood 👵 is roaring back!
Well, here we are, The @PandorraResearch Team, to discuss what Ma'am Wood is brewing, since the epic things are almost there!
In a nutshell, Cathie Wood is an American investor and founder, chief executive officer (CEO), and chief investment officer (CIO) of Ark Invest, an investment management firm.
Her flagship ARK Innovation exchange-traded fund - AMEX:ARKK ETF has received accolades for its performance in 2017, 2020 and 2023, but is also considered by Morningstar to be the third highest "wealth destroyer" investment fund from 2014–2023, losing US$7.1 billion of shareholder value in ten years.
Overview of the ARK Innovation ETF AMEX:ARKK
The ARK Innovation ETF (ARKK), managed by ARK Investment Management and led by Cathie Wood, focuses on investing in companies that are at the forefront of "disruptive innovation." This term encompasses technologies that have the potential to significantly alter industries and consumer behaviors. The fund primarily targets sectors such as genomics, automation, AI, and energy, aiming for long-term capital appreciation.
Current Performance Metrics
As of January 31, 2025, ARKK is priced at approximately $64.50, reflecting a 1.53% increase on that day.
Over January 2025 ARKK has demonstrated a bold return of about 13.60%, following a volatile period marked by significant fluctuations in value. Notably, that ARKK's performance over January 2025 shows a stark contrast with U.S. stock market benchmarks (just compare - S&P500 Index SP:SPX demonstrates nearly +4% return so far in 2025 while Nasdaq Composite Index NASDAQ:IXIC has added just around 3% in first month of 2025).
ARKK Fundamental Analysis
Investment Strategy. ARKK employs an actively managed approach, focusing on companies that are leaders or enablers of innovation. The fund's strategy combines both top-down and bottom-up research to identify high-potential stocks across various sectors.
Sector Exposure. The ETF is heavily weighted towards technology and healthcare sectors, with significant investments in companies involved in AI and biotechnology. For instance, Tesla is often highlighted as a major holding due to its advancements in autonomous driving technology.
Technical Outlook
The technical outlook for ARKK shows signs of recovery and epic 200-week SMA Bullish breakthrough after a challenging period from late 2021 through much of 2023. The ETF has rebounded from lows around $36.85 in August 2024 to recent highs near $64.50 in January 2025, indicating a potential bullish trend if momentum continues.
Support and Resistance Levels
Support Level. Approximately $60.00 (recent low that corresponds to current 200-week SMA value)
Resistance Level. Approximately $71.50 (3-years high)
These levels will be critical for traders watching for potential supports or reversals.
Market Sentiment
Investor sentiment surrounding ARKK remains mixed due to its historical volatility and speculative nature. While some investors view it as an opportunity to capitalize on innovation-driven growth, others express caution due to its past performance dips and high-risk profile associated with its concentrated holdings.
Conclusion
The ARK Innovation ETF presents a compelling case for investors interested in disruptive technologies and long-term growth potential. However, its inherent volatility and the concentrated nature of its holdings necessitate careful consideration before investing. As the market continues to evolve with advancements in AI and other technologies, ARKK may offer significant upside momentum now, but also comes with considerable potential risk.
New Setup: ARKKTo help minimize risk exposure during Earnings, ETF's such as ARRK would be a safe swing trade providing they have the right setup for me.
Time for ARKK to Breakout?ARKK has been trading within a channel and finally appears like maybe it's time to breakout? When ARKF and ARKW signaled earlier in the day, figured it was only a matter of time when this one would go! With Fed tomorrow this on is a tricky trade and if anything this bear flag appears it retraced to the golden pocket on dropping volume. However, this one is my favorite one to trade when it signals.
Let me know if you think this is a bear flag ready to move lower with Fed speak or going to move higher?
The King Trading Momentum Strategy combines the 5 EMA crossing above the 13 EMA, RSI strength, favorable momentum as measured by ADX plus evaluating recent volume changes and even something that measures breakout momentum called Beta for this one! ARKK and over 100 equities are built into this script with optimal backtest take profits and stop losses and can be toggled on by simply checking a box (default they are turned off). This one has won a couple in a row and this algo likes to get streaky!
Full ARKK Reverse Gamma Scalping PositionThe basic essence of reverse gamma scalping is to do additive and subtractive delta adjustments over time to keep delta fairly neutral so that theta can do its dirty work.
Shown here is my full ARKK position that started as a delta neutral iron condor to which (a) I layered in an additional iron condor as a delta adjustment trade; (b) mixed and matched profitable put side with profitable call side to reduce units and/or risk; and (c) did an additive long delta short put vertical as a delta adjustment. Rather than continue showing each of these additive/subtractive delta adjustments as separate trades, I'm setting out the full banana here.
I've collected a net 3.22 in credits on a buying power effect of 11.78, and the position has a delta/theta ratio of -2.09/6.00. With 36 days to go, I'll primarily look at doing profitable subtractive adjustments first; then additive ones.
Why You Should Consider Buying ARKK ETF: A Gateway to InnovationOverview of ARKK
ARKK is the ticker symbol for the ARK Innovation ETF, managed by the investment firm ARK Invest, led by Cathie Wood. The ETF is renowned for its focus on high-growth, innovative companies across various sectors such as technology, healthcare, artificial intelligence, and renewable energy.
Key Features
Focus on Disruptive Innovation:
ARKK invests in companies at the forefront of transformative technologies, including:
Genomic research and biotechnology.
Robotics and automation.
Artificial intelligence (AI).
Blockchain technology.
Electric vehicles (EVs).
Active Management:
Cathie Wood, the fund's visionary manager, is known for her bold and aggressive investment strategies, targeting high-risk, high-reward opportunities in emerging industries.
Portfolio Composition:
ARKK's holdings include trailblazing companies such asTesla, **Roku, Zoom Video Communications, CRISPR Therapeutics, and Block (formerly Square). The portfolio is actively managed and adjusted based on ARK Invest's extensive research.
Risk-Reward Profile:
As a high-risk ETF, ARKK is characterized by significant price volatility. It appeals to long-term investors willing to weather short-term fluctuations in pursuit of substantial growth potential.
Performance:
Boom in 2020: ARKK experienced remarkable growth during the pandemic, fueled by a surge in tech stocks.
Challenges in 2022: The fund faced a steep decline due to corrections in the tech sector, rising interest rates, and economic uncertainties.
Expense Ratio:
ARKK has an annual management fee of approximately 0.75%, higher than the average for ETFs, reflecting its active management approach.
Target Audience:
ARKK is ideal for investors who believe in the long-term potential of disruptive innovation and are comfortable with short-term losses for the prospect of future gains.
Risks to Consider
Sensitivity to macroeconomic factors (e.g., interest rate hikes).
Vulnerability to downturns in the technology sector.
Heavy exposure to companies with low or negative earnings.
Why Buy ARKK?
Investing in ARKK provides exposure to groundbreaking technologies and industries poised for exponential growth. While it carries higher risks, it offers the potential for substantial long-term rewards. Whether you’re an experienced investor or a believer in the future of innovation, ARKK is a compelling addition to a forward-thinking portfolio.
Opening (IRA): ARKK February 21st 49/54 Short Put Vertical... for a .65 credit.
Comments: An additive long delta adjustment here to cut net delta of my position in half ... . It still leans slightly net delta short with a delta/theta ratio of -10.04/6.26, so not quite where I want it at <1.00.
Opening (IRA): ARKK Feb 21st 45/50/61/66 Iron Condor... for a 1.43 credit.
Comments: An additive delta adjustment trade. With the short call of the setup I put on Friday (See Post Below) at -20 delta and the short put at 29, layering in an iron condor with the short call at the -28 delta and the short put at the 20 delta to flatten out net delta of the entire position. This is skewed slightly short to offset the slightly long delta skew of the setup I put on Friday, so am indicating that it's "short."
Metrics:
Max Profit: 1.43
Buying Power Effect: 3.57
ROC at Max: 40.06%
50% Max: .72
ROC at 50% Max: 20.03%
Since you can't close out an eight-legged setup, will either look to take off each iron condor individually at 50% max or mix and match profitable call side with profitable put side to reduce units/risk running into expiry.
ARKK ReversalSloppy line chart head and shoulders. Purple line is the neckline. Also drew some previous High/low support lines (white lines). Entry is past support lines and target is 1.618 extension from the last two daily candles.
Opening (IRA): ARKK February 21st 47/52/63/68 Iron Condor... for a 1.50 credit.
Comments: High IVR/IV. Doing a little delta neutral premium-selling stuff while I hand sit and wait for stuff to come in/be managed.
Metrics:
Max Profit: 1.50
Buying Power Effect: 3.50
ROC at Max: 42.9%
50% Max: .75
ROC at 50% Max: 21.4%
Will generally look to take profit at 50% max, roll in untested side on side test.
after the Doji CandleBottom indicator recently stopped flashing; followed by a Marubozu candle after a Doji candle was previously printed, and there is price action moving upward from the bottom of an upward parallel channel. The MACD (Chris Moody) is showing signs of possibly having a bullish cross over and stochastic RSI is in the oversold region. These confluences may indicate a possible future positive price action, please be safe and doublecheck the charts and have a nice day.
ARKK LongARKK is close to finishing it's consolidation move for a move back up to around $80. I'm long.
ARKK potential Breakout to 66 - 70s before new year !After an impressive climb, ARKK’s price has paused near $56.21, forming a classic bull flag pattern. This is a textbook signal: a strong initial rally followed by sideways consolidation, often hinting at continuation in the direction of the previous trend. The trendlines reveal the ETF is compressing, building energy like a coiled spring.
The moving averages are lined up perfectly for bulls. The short-term yellow moving average is trending well above the long-term blue one, confirming the strength of the upward momentum. This tells us the battle-tested bulls are still in control, with the bears retreating to lower ground.
The RSI is sitting at 70.14, signaling strength. While some might see it as "overbought," seasoned traders know this is where momentum players thrive. The ETF’s ability to hold this level without significant pullbacks shows strong buying interest from institutions and retail traders alike. It’s like a crowd gathering behind the archer, ready to release the bowstring.
The MACD histogram is glowing green, reinforcing the narrative that buyers are still active. As the histogram bars hold steady, there’s no sign yet of the bears staging a comeback. At this point, ARKK is testing the $58.38 resistance level, a successful breakout could launch ARKK toward its next resistance levels at $61.85 and $67.20, offering a significant upside for traders who act decisively.
Target Levels:
First target: $61.85
Second target: $67.20
Stop-Loss: Place a stop-loss just below $52.32 , the key support zone, to protect against sudden reversals.
As an options trader, I’ve entered the following positions:
ARKK December 20, 2024, $70 call at a premium of $0.12 (open).
ARKK December 20, 2024, $66 call at a premium of $0.24 (open).
ARKK LONGA lot of the top holdings in ARKK are breaking out, I like this ETF to $75+, can it happen fast? yeah, I bought time.
ARKK Innovation ready to Boom? Kathy Woods ARKK Innovation fund has been completely beaten down over the course of 2 years, down over 80% from the peak of the 2021 bull market.
After trading in an accumulation zone for many months, we have broken out of the value ranges, as well as the overall consolidation zone marked in the green box, which presented to be a resistance zone that should be turning into support.
Technology and innovation will likely lead the market gains with new developments in AI as well as Crypto that could really send this ETF far above previous highs.
Presently, I would like to see liquidity tapped just above $70, marked on the chart. Before a slight pullback and rip.
We are currently approx 25% away from this zone, which will likely be a take profit zone.
One major confluence for a strong rally for me will be a break and acceptance into the previous range sitting at $75. From there, the range point of control sits a whopping 60%, which could initiate a large move higher.
The anchored vwap from the high may provide some resistance at the moment, I would look for a break and retest as a confirmation that the trend is truly changing here.
As always, only time will tell.
Good luck!
I am not bearish this time!Find one person on this platform who published more bearish ideas about ARKK in the past 4 years and I give you 1-month free access to this platform (1500 TV coin)!
ARKK Breakout: Targeting $80 with Volume and Momentum on Its SidARKK is looking primed for a breakout, with some exciting moves on the chart.
Resistance Break: After grinding below $54, ARKK finally pushed through, eyeing a bold target around $80—a potential 48% gain from here.
The Gap Factor: ARKK left a gap around $48 on its recent run-up, hinting at strong demand. If momentum cools, this gap could act as a magnet for a quick retest, adding some extra intrigue to the setup.
Trend & Momentum: The SMA 150 is starting to level out, suggesting a potential shift in long-term momentum. RSI is touching overbought territory, signaling heavy interest, though a brief pause wouldn’t surprise.
Bottom Line: Volume is backing this breakout, and with well-defined patterns and targets, ARKK’s chart is setting up for an interesting ride ahead.
$ARKK caught a #Whale in $55C 1/17/2024 (Profit Target @ $69)5,000 Open Interest on this contract until this morning when we found a whale/institution buying up probably 10k 55C contracts for Jan 17...
This is a HIGH RISK HIGH REWARD PLAY given the holdings in AMEX:ARKK , but something tells me it can get to MONKEY ie $69 , and some whale or some bank also believes the juice could be worth the squeeze on this former high flyer... Past All Time Highs at $158 ... $53 now = Buy Low?
- Probabilities_R_Us
ARK Innovation fund ETF - consolidation then upside break Bullish on ARK so long as and I expect that the price can stay above the bottom ascending sloping trend line. Then breaks to upside out of some form of consolidation shown as for example a triangle pattern.
The market has miss priced her fund - I do not own any and no biased love listening to her updates and its really tough being in innovation and waiting for the rest of the world to catch up to her ideas.
Fingers crossed that Kathy's dreams come true! Love to have a sit down and have a cup of tea with her and her team! She always has good people around her.
That her funds price takes off and gets back to where it should be ! There are lots more ideas out there, financial modelling big picture thinkers! World needs more of these people!
A fund could buy on the trend line and remain in the green
Opening (IRA): ARKK October 18th 36/43/43/50 Iron Fly... for a 3.68 credit.
Comments: >35% IV. Doing a smidge of nondirectional here in ARKK, which is toward the top of my ETF board for 30-day IV behind BITO, TQQQ, and SMH (which I already have positions in). Structuring this as a risk one to make one, which is what I like to see out of these.
Metrics:
Buying Power Effect: 3.32
Max Profit: 3.68
ROC at Max: 110.84%
25% Max: .92
ROC at 25% Max: 27.71%
Will look to take profit at 25% max. These generally aren't managed intraexpiry; they work or they don't ... .
ARKK building a base ready to launchARKK has been building a base with two sets of 1-2, 1-2 waves, which erased RSI divergence of the previous pivot. On the weekly it is also wrapping around the 50 MA in an ascending channel. Last week's momentum signals it is most likely to launch to break out of the channel.
Opening (IRA): ARKK Sept 20th 38 Covered Call... for a 36.93 debit.
Comments: High IVR/IV (77.6/43.3). Selling the -75 call against long stock to emulate the delta metrics of a 25 delta short put, but with the built-in defense of the short call.
Metrics:
Break Even/Buying Power Effect: 36.93
Max Profit: 1.07 ($107)
ROC at Max: 2.90%
50% Max: .54
ROC at 50% Max: 1.45%
