Is Roku An Outperformer?

2 Jun

ROKU 6/7 Leader

As discussed in my previous post IWM has started to outperform the markets. Long story short rotations are favoring small/mid-caps at the moment, so we need to find the leaders of the small/mid-caps. Now with this being said we are not necessarily looking for % wise but more of a structure. ROKU is another ARKK name. Overall ROKU is one of the leaders in the arkk name.

Right now, price action wise ROKU is trading within a range but as labeled in the chart within the range we took out buyers and sellers and now we are back in the range.

What is the plan? - The plan here is simple. Since we took out both sides and rotations favoring small/mid-caps, I will be looking to add to my long exposure and pick up either ITM Calls at the $57 strike or ATM Calls at the $58 strike expiring 6/7. Entry is a continuation of momentum at market open. If momentum seems to be dying down, we will wait for a later entry if given. Add another contract either at market open if you bought at market close or vice versa. 1st TP is 50-70% of your initial contract value.

4 Jun

Catatan

update : no entry, it gapped out without us in it, so we will look for more opportunities elsewhere