DKNG real March MadnessDaily DKNG looks like an amazing long term buy. jump in some leaps. 110 by March 2021!
0ABA trade ideas
DKNG bullish tradeThis is my long DKNG trade (which I entered)
I'm taking advantage of the big dip last week, I should have probably bought the stock yesterday but wanted to be on the safe side and watch the market and how the election rolled out. Earnings are coming up on the 13th & sports betting is once again gaining traction. with only 47% of float held by institutions I believe there's plenty of room for them to start loading up again. My short term projection (for the end of the month) is $58, although I believe this can maybe go above if everyone starts herding into it again.
Why I like DKNG:
- 0 debt on the balance sheet
- Revenue growth rate YoY 42%
- Capex growth 22%
- Sector: outperform (my opinion) Projected to have 42 states legalize sports betting by 2025
Sports are coming back throughout 2021 and I believe the market will price this in sooner rather than later. In addition, I believe the NBA will soon start licensing their data for betting purposes, although they already have began doing so.
DKNG:NASDAQ - DRAFTKINGS INC - Recovery underway?Might just be the effects of the broader market, but NASDAQ:DKNG looks like it might be thinking about starting to head back up. RSI is in oversold territory but starting to point back up, and bolly has formed a base and starting to turn up.
The overall trend on the SuperTrail is still down though, but given the 22% range it will take a while to confirm and flick to a buy. Couple more days of an upward movement will help confirm direction and recovery. Earnings are close by though which should always be a cautionary signal. Lot of upside to recover. Stock is worth a watch.
$DKNG Draftkings Reversal trade
Potential reversal trade set up.
Stock has found some support as insider selling subsides.
Crossed above the Point of Control yesterday.
Bullish Divergence on Indicators.
Buyside volume increasing
1st target $40.50 to 100ma
2nd target $41.79 Fibonacci resistance
3rd target $44.79 to major pivot point
DKNG - Make or BreakWe have a completed correction on intermediate degree. We have a leading diagonal up and a deep ABC down. We just need to break above the red trend line for a confirmation.
Tremendous upside.
DKNG LongThis stock has had a lot of good news come out over the last two weeks. The MACD has been losing bearish momentum over the last 9 days. 35.15 has acted as a pivotal level many times before, and the last 3 times price has tested this support level the stock bounced to 40/41.
The 200 EMA is less than $1 away at 34.76. Betting that support holds and the election acts as a catalyst to push price to 41.
Also a falling Wedge pattern. AKA triangle breakout play.
Broke UpTrend but OversoldI wanted to go long on this at 40! Sheesh.
Bullish channel is very much broken.
Needs to bounce here at 35.40 or next targets are 31.41, 29.02 and 19.30
possible short squeeze levels to watch for dkngsmarter to bet on a short squeeze rather than a continuation here to be honest
dkng one of the most bearish monthly candle closes ive ever seennot actually shorting this but damn this is bearish
DKNG YOLO - My final trade of the yearDKNG has been beaten to death and more in the last month due to a combination of: pipe share lockup expiration, dilution from 2nd capital raise, market panic from European COVID 2nd wave (algo selling from COVID headlines), and political volatility which came with the Dow dropping 800+ multiple days (elections and failed stimulus talks). Additionally, in anticipation of the lockup expiration too many traders piled on the easy short trade all at once.
Trade Thesis:
- Potential double bottom at $37.50 on the 1hr, need confirmation tmr.
- 1.618 fibbonaci extension converging with major support/resistance.
- RSI divergence and oversold levels under 30 for last 2 weeks.
- Decreasing volume.
- Short side was too heavy all at once which led to the unnaturally rapid drop. Many shorts were also closed this week to make up for other losses.
- Safe to say at this point no stimulus is expected until after Election Day at minimum, but more likely to be after a confirmation (sometime before inauguration).
- Dilution and insider selling likely fully priced in.
- The two largest sports betting events are a few months away (Super Bowl and March Madness)
- Online betting referendum on 3 state ballots.
- Upcoming earnings on Nov 12, prior guidance spotty not accounting for college games, etc. and positive expectations from PENN.
- PENN earnings blew estimates nearly 100%, yet it could not hold any gains for longer than a few hrs. This is reflective of the general market uncertainty and not due to specific company or sector news, which shows that fear is currently controlling the narrative.
Risks:
- Market crash - hedge with VIX and SQQQ calls, long treasury zeros.
- NFL cancelling the remainder of the season - possible but extremely unlikely.
- If holding options, could see extended consolidation on the green support line during the contested election period up to 79 days from nov 4. But ballot referendum should be enough to move.
Catalysts:
- Nov 4 Election Day (expecting contested results, but we are looking for the referendum results from ML, LA, and SD)
- Nov 12 Earnings
- Additional stimulus announcement
I believe that with the majority of selling pressure now finished, when the overall market calms down we will see the spring that has been coiled up for a month plus be released all at once. Looking for big volume with upward price action exiting current channel, further supported by short covering. Due to the rapid drop with no consolidation at any point, a technical bounce alone based on no news can be 7%-12%.
I am entering half my position today, with the rest tomorrow to avg in the potential Friday sell off before the election weekend.
Entry: $37.69 (20 Nov $50 calls / $0.65)
Stop: $34.69
T1: $47 | Daily ichimoku cloud, 1 fibonacci extension
T2: $50 | Kijun line (red base line), .786 fib line
T3: $55 | Gap fill, .5 fib line
Draftkings Hitting Potential Reversal Zone Broke out of triangle consolidation, raced to new highs, became overextended and fell back to the breakout zone, which turns support. Bigger trend is up (well above rising 200-day) and RSI is in oversold zone (30-50), as it was in July. Looking for short-term upside catalyst.
dkng more than a retrace? i think sonot much that makes this chart look bullish besides bullish divergences on the indicators. i wont be trading equities until after the election but this chart looks bearish
DKNG Correction?Obviously the major turning point would be if sports games get shut down - they probably won't do it now to force the series to go through but after that is all fair play.
Looking at a possible B wave bounce then back down
Draft Kings has had a great year regardless of the 40% drop Fib retrace from the March lows to the Oct high shows a .5 at $37. Dead cat bounce to the .382. Next resistance zone and then further drop from there to the .618. Just some thoughts.
Knocking on Support. EnterTrying out this swing trade indicator. Looks like it is on support right now and the resistance levels are marked above (R1+).
If you enter best to use a tight stop loss just incase. Don't want to lose your shirt.
Hope this helps.
Good trading!
DKNG DraftKings Reach Oversold StatusInvestors are beginning to get spooked out of their shares due to multiple factors: COVID-19 Positive Test Results in the NFL and PIPE Shares officially becoming unlocked.
Shareholders are forgetting the Major Supporting Catalysts to this company:
-Exclusive Deal with ESPN/Disney
-Becoming an exclusive partner to multiple Professional Sports Teams and Leagues (NFL/MLB/PGA/NBA)
-Disney holding a Major Stake
I Highly Suggest you consider adding before this stock regains strength.
$DKNG Bull Wedge?I've been disappointed in $DKNG. I have a trade on and I'm currently upside down. I like the business model on this but I will let price action guide me. I am looking for this to break up and regain the 50 SMA where I have an alert. If it can do that I will be adding to my position. If not, I will be liquidating and re-evaluating. Ideas, not investing / trading advice.
