Updated: Sep 18, 2019
UPDATED POST - August 1, 2019
BotTrigger Trade Alert: $OKTA sold entire position here @ $133.58 for a 63% gain since entry.
We have a mild near term topping pattern showing up on Okta with a bearish crossover showing up on both MACD & the Stochastics momentum oscillators on both the 1day & 2day time frames, along with RSI values showing bearish divergence right now. This is incredible momentum stock with the earnings growth to back it but we also have a consistent history of the stock tending to pullback anywhere from -10% to -20% every quarter along it's uptrend. We will look to add this one back once we get that next pullback cycle... whether that happens lower or higher from here. Ideally lower but if higher then we always wait for the next relative pullback. Also now notice our AAPL spreads that we reduced on Monday are now trading slightly lower. This whole downside move on the broader market & AAPL will end up being a huge gift that we intend to capitalize on. In a separate AAPL post we will be outlining some new call spread models that have huge upside potential if we can get AAPL to pullback anywhere around the $190 to $200 area.
UPDATED POST - January 31, 2019
BotTrigger Trade Alert(S) 2: $OKTA we've cancelled our limit order to buy OKTA @ $70 and are now forced to buy the breakout: $OKTA bought the common stock here @ $81.47 at the bottom range of this bull flag formation that has been fleshing itself out here on this near-term 5min chart.
The text book "measured move breakout target" on this pattern calculates to a push up to around the $84 area. I want to distinguish something on this play. This is categorically what we call a CHASE..and although it's not our ideal style to CHASE a breakout ...rather we are adjusting our thesis to the reality of what's transpired in price & volume. We have both happening with a breakout to ATH that's occurring on accelerated volume on the weekly chart. PRICE ACTION is KING. It's one thing to FOMO and it's another thing to play the trade on the basis of understanding that FOMO is causing the greater market participants to CHASE this higher. So we're bucking up to ride that momentum. Once we get our "NEXT RELATIVE PULLBACK" we will either rotate our common stock into a call option / call-spread position or exclusively dedicated an entirely new position to an options play. For now, nibbling long on the common stock is a fine play at this level. We're simply taking a bite (suggested allocation is anywhere from 3% to 5%). To those who want to play it tight, consider creating a stop-loss @ $80.98 as your threshold for any further downside. We're going to hold thru this considering the power of the move that has occurred...we're far more confident in any near term fluctuations being resolved.
ORIGINAL POST: January 22, 2019
BotTrigger Trade Alert: $OKTA placing a GTC (good till cancel) limit order to buy the common stock @ $70.00.
The pattern cultivation that has transpired is extremely bullish on this name, with a very pronounced INVERTED CUP & HANDLE breakout pattern that has been fleshing itself out over the past 6 months...a pattern that has already catalyzed a breakout to new all time highs on this name. However, it's not uncommon to get said breakout & then shortly thereafter get a retest of the original breakout zone. We want to be placing a limit order towards the upper range of the neckline. If OKTA takes off from here without a retest of the $70 area then we'll simply wait until we get the next relative pullback. Right now, OKTA has the strongest earnings acceleration growth in the cyber security sector and what we would classify as a MOMO stock currently with revenue jumping 58% to $105.6 million in the 3 quarter earnings that were recently posted. The recent data breach that occurred with Marriortt / SPG is a tailwind trend ...as other companies assess the recent data breach at Marriott, to which Marriott is now a client of OKTA. "Total customer count grew 42% year-over-year to more than 5,600, and customers with greater than $100,000 in annual contract value increased even faster, up 55% to 937," https://www.investors.com/news/technology/okta-stock-earnings-marriott/