Theta Does it Again: Heads Down for the 2nd Straight Day

The Hourly View for Theta

  • At the time of this writing, THETA’s price is down $-0.07 (-1.81%) from the hour prior.
  • It’s been a feast for bears operating on an hourly timeframe, as Theta has now gone down 4 of the past 5 hours.
  • If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 100 hour timeframe.
  • The moving averages on the hourly timeframe suggest a choppiness in price, as the 20, 50, 100 and 200 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

Theta’s hourly price chart is shown below.

THETA

The Daily View for Theta

  • At the moment, THETA’s price is down $0 (-0.05%) from the day prior.
  • The daily chart shows that Theta has seen 2 straight down days.
  • As for the trend on the daily timeframe, we see the clearest trend on the 20 day timeframe.
  • The moving averages on the daily timeframe suggest a bearishness in price, as the 20, 50, 100 and 200 are all in a bearish alignment — meaning the shorter duration moving averages are below the longer duration averages, implying a stable downward trend.
  • Divergence between THETA’s price and its RSI may be manifesting. As such, be on the lookout for trend reversal in THETA’s price.

Below is a daily price chart of Theta.

THETA

Featured Theta Commentary From Twitter

So when you are long an option, you are basically long gamma. Because of that you are paying for Theta (time), which means that you are exposed to realized volatility. That is where your gamma PnL comes: when your gamma position is making more than your theta billNA

Theimmigrant84