DKNG finally pushing nxt stop 55DKNG to 55 fomo will kick in and i can see 61 next week, if you got in my calls i mentioned should be up 300-400% on the 55c lottos and 90% on 12/24 contracts, congratz dkng fam
DKNG trade ideas
$DKNG Big Head and ShouldersThere's a pretty good Head & Shoulders on the Daily/Weekly for $DKNG. The right shoulder is surprisingly similar in structure to the left shoulder.. a peak, trough, then lower high. Neckline is a little bit dirty, but then again its COVID so not a lot of us are shaving regularly :)
Today saw a nice spike which MAY be the real move (news that they are launching gift cards for the holidays), or it may be a fake out- which is what I am hoping for. Either way this will be making big move shortly. My hopes is we end the day with a big upper wick/shadow and start TODAY.
The expectation would be a drop below the lower Bollinger Band and ride it down there mostly like a diagonal escalator, as seen previously. $40 is a nice price to hope for.
Options
IV30 Percent Rank is 10% today. Very low and subdued. Meanwhile term structure saw some signs of the beginning of Backwardation- in other words, the nearest expirations 12/18, 12/24 saw an increase in IV, while the mid-terms remained the same and the far-terms actually declined some. What this means is that the tail is starting to wag.
So how do we play this from an options viewpoint?
Long Puts
Vertical Puts
Long Straddles/Strangles or Debit Iron Butterflies/Condors
The 1/15/21 and 2/19/21 expirations have decent option chains, with Earnings expected to be about 2/11/21.
If IV rises significantly and you are strictly long puts, you have a great opportunity if this does make a significant move down as the shares are already Hard To Borrow. On stocks that are HTB if there's enough pressure they can run out of available shares to short or have such outrageous borrowing fees that the premium on Puts grows very high.
Though there isn't much to be gained from selling calls for credits- IV is so low, I have opened some Bear Credit Spreads to offset the cost of Bear Debit Spreads. Theoretically speaking, you're offsetting your loss if this stocks..does nothing. If it moves sideways, the loss on the debit of the Puts are largely reduced.
Good luck and happy trading.
DKNG time to boom! DKNG has been consolidating for about 2 weeks now, gave it a shot last week but with market sentiment being very uncertain now we have some certainty restored. Vaccines have been approved which is great for sports so we should see DKNG get a nice boost. Now we just need positive stimulus news and market will pump.
resistance: 50.91, 52, 53.71, 54.83
support: 49.06, 47.70, 47
My plan:
safe: 50C, 55C (12/24 - 1/15)
lotto: 55C, 60C (12/18) (high oi and vol with these contracts)
*keep in mind lottos are very high risk, set stop loss or let it ride out and secure profits whenever you want!
DKNGInfo only, not advice
Technical set-up for 5th wave
Second wave and top of wave 3 to the tick on expected levels
Consolidating nicely and expecting a jump in the coming month
trading along the regression trendline to $60
SPR crossed above its Bollinger band -> a sign of possible outperforming the market.
MFI crossed above its Bollinger band -> a sign of positive accumulative volume.
DKNG under 47.77DKNG is at a precarious spot right now although it held today. Volume is thin underneath this point and it can drop quick. A rally over the 51.18 level should flip this bullish.
Cup and handle with wedge formedHello, I’m not sure it’s possible to combine 2 kind of pattern into one . But It appears to be bullish either way.
$DKNG draft pointThis week will be key to direct further price action
Friday doji close breaking out from cup & handle or consolidating within bull flag - all says something is boiling.
DKNGLooking at the chart for the past two days several ideas came up to me: With the support level being retested at 47 instead of 45 it has bullish sentiment and after the most recent analyst calls they have absolutely affected price as can be seen 9/24, 11/20 & 12/7. 12/8 we see a Doji.....What if you had an idea to buy a stock but didn't like the current price so set a buy order at the lower support? After Friday's open & close we first saw a breakout then closed aftermarket higher.
Theory: Sports-betting will continue to be legalized, which is part of this hype. No analyst is going to change what the market has to say about the fact people are bullish in the stupidest bull trend we've seen. Because so many people are already bullish and only 3 of maybe 20 analysts are bearish people will pump this to the sky again. Maybe not to 60 but this support had some time to fall to 40 and the price action has shot up several days in a row after opening in the red.
I have calls set for 1/8 at 52$ looking to begin to cut the positions at 48.50
DKNG: Here is the perfect spot to buyDKNG has hit its correction target price and here is the perfect spot to enter long.
$DKNG long idea. Cup with Handle on the daily.Draft Kings is forming a possible cup with handle on the daily. long idea here with profit targets in green.
Do Not Bet on DraftKings Just Yet!!!I love this business model and concept. DraftKings has successfully brought in tons of sports fanatics turned customers. Sports betting is huge at a $150 billion dollar year industry that is becoming legalized step by step and state by state. No more will be the idea you have to go see a sport bookie at your local bar or driving all the way to the casino. This will be huge in the future and I only see them able to corner other markets as they become legal (poker, etc).
Now down to the chart and technicals. We have completed 5 waves, with divergence, and a broken channel trendline. The B wave has been completed rejecting the 0.618 area with a daily pin bar. The target is below $27 at Wave 4 and as deep as the $17 area. From there I'd recommend to buy and hold for years to come.
DKNG finally broke out C&H PT 60DKNG is a monster, its flagging here, fomo coming soon! key levels to keep in mind.
Resistance levels 54.90, 55.62, 58.35
Support levels 49.30, 47
Simple channelAfter today's bounce from the bottom of it, it appears the rise in the channel will continue.
