DraftKings are going to turn into water-boys. The DKNG weekly chart is topped-out with neggie d. What a run it had from 10 to 60+. It nearly tagged 65 so that is a big +550% gain within one year's time. A lot of crooks made a lot of money in that one. You got to know when to hold them, when to fold them, and when to walk away, as Kenny would sing. DraftKings is ready to fall off its throne.
The red lines show the rising wedge pattern which is bearish. Price prints a double-top and the red lines show universal negative divergence across all indicators. DKNG does not have any more gas in the tank to drive price higher on a weekly basis, therefore, it should fall like a rock, probably a repeat of the October fractal (orange box).
The upper band is violated so the middle band at 51 and lower band at 36 are on the table. Price is extended above the moving averages so a mean reversion lower is in play. The 30-45 support looks strong; there is lots of congestion there.
The Aroon shows maximum possible euphoric bullishness in DKNG. It is impossible for the stock to become anymore joyously bullish. If you enjoy some nice profits, get out. Short sellers can enter DKNG. Keystone has never played it long or short and probably will not going forward since there are a huge number of other short opportunities in the market. Short DKNG is the path ahead since a multi-week down move should begin. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.
Note Added Sunday, 2/21/21: DKNG drops marginally last week to 60.91. Treasury Secretary Yellen is promising big fiscal stimulus spending so stocks recover and rally to end the week. The Queen of the Doves promises money as far as the eye can see. Nothing has changed with DKNG. Cash out of it or short it going forward.
Note Added Friday Morning, 2/26/21, at 6:14 AM EST: DKNG drops from 64.78 to a low at 52.67, a -18.9% crash, in only 11 days.
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