There were a couple of patterns evident on April 13 and 14, 2022 on UVXY. There was a distinct 5 min chart upside divergence on UVXY at about 1.15pm EDT, 10.15 am PDT on April 13.
That led to modest gain on the UVXY 14 calls expiring April 14 and the gain only took about an hour. 16c to 24c.
Here's the pattern on UVXY, it's really clear.
On April 14, 2022 the divergence appeared at 2pm EDT, 11am PDT and was most distinctive on the 15 minute chart below.
In this instance entry could be had at around 3c on the April 13 calls expiring that day, with exits at around 23c or 35c if you rode out the pullback. That's a 1000% if you took the whole ride.
The Options Hunter approach focuses on divergences between the MACD and the price action. We don’t employ other indicators such as RSI, Stochastics or Bollinger bands as we keep our approach simple, straightforward, and repeatable
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