It's incredibly rare that I'll pay any attention to meme stocks or let alone trade them. But I may have to make an exception when it comes to Open Door Technologies and or ticker symbol Open. Open has been on an absolute tear over the month of July, but it's really started heating up over these past couple of days. And with the way things are shaping up, not only on the charts, but fundamentally as well. Um, at least in my view, I think that a second wave is likely. I think that these are the early stages of what could be a pretty incredible hype cycle. And um I'm excited to talk to you guys about why that is and how high I think this next wave can take open over the course of the next few weeks, maybe even going into the month of August. Okay, my name is Royce Jacob. I have been a professional options trader and market analyst for over 5 years now. And I've made over a thousand videos just like this on YouTube. I'm sure many of you are part of the Ways fam already, but if not, welcome to the team and welcome to the channel. A like and a sub and a comment of course go a long way. So, all of those are appreciated. All right, so we'll dive into the charts and discuss those price targets in a minute, but first I want to go over some fundamentals and talk about how Open Door has gotten to where it was. And um trust me when I say fundamentals, I'm using that term very loosely because when it comes to a hype stock like this, especially a meme stock. Uh it's important to keep in mind, especially if you're a newer trader, that uh you kind of just want to throw the fundamentals out the window and ride the momentum. Fundamentals at best when it comes to situations or trades like these are uh are just a cherry on top. Okay, so take this with a grain of salt, but uh again given the technical setup and given what I'm seeing on the charts, these are positive things. Okay, so CNBC Open Door shares are volatile as hyped real estate stock revives the meme rally. Openoro, a penny stock last week attracted sudden interest among Reddit obsessed retail traders who pushed up the stock price by three-fold in days. The online real estate startup saw shares popping more than 14% Tuesday before turning negative after a red hot run powered by retail traders tra chasing meme stocks. It had it surged more than 42% in Monday's session with trading halted multiple times due to volatility and it was actually halted once today July 22nd just about an hour before I recorded this video. Open Door, which had been trading mostly under a dollar this year, hit a high of $4.97 during Monday's session and closed the day at $321 cents a piece. Its meteoric rally pushed the stock up by 500% in July alone. The ticker open has been heavily cited on Wall Street Bets, the online forum behind the infamous GameStop Mania in 2021. Let me know in the comments, are you part of Wall Street Bets? Are you part of the Reddit group? because if so, you might be new to to Waves Capital. So, just let me know in the comments. It gained traction on the internet partly after hedge fund manager Eric Jackson, an investor in Open started touting the stock, saying it can reach $82 a share. I'm going to talk a little bit about why I think that's ridiculous and why you should never ever set your sights on price targets that are that out of reach, especially when it comes to the short medium term. In my opinion, there is zero% there's a 0% chance that Open Door will reach $82 in 2025. Okay, maybe in a few years, but definitely not in 2025. My opinion at least. Again, we'll talk about my price target soon. Hodal the open the door open. Okay, that's a weird that's weirdly I feel like that could have been phrased better, but I get the point of it. Trading volume exploded with $ 1.9 billion of open door shares exchanging hands on Monday, more than,700% of the three-month average according to Faxet. About 22% of Open Doors available shares are sold short, meaning short covering should be at play during this run. That is called a it's a good old short squeeze. Short sellers of buyback shares to cut their losses when their short target rally suddenly and their buying can further push up the stock. Again, that's a short squeeze. Heights options trading in the name also intensifies the rally. Bespoke investment group called Openoro a poster child for the recent wave of options market optimism. And as I said earlier, I am an options trader and the call options means I think it's going to go up um that I introduced to the portfolio this morning. I I'm really excited to see what they can do. So before we dive into the charts, if you do want my daily trade alerts, if you want my daily portfolio analysis newsletters, if you want to join the team and if you want a full breakdown of my complete portfolio along with those trade alerts and newsletters, then that's going to be the first link in the description. Okay, with this for Open Door specifically, keep in mind there are at I think there are 12 to 14 plays positions in the options portfolio as I'm making this video. Um, Open Door is one of them. But if you want to know how I'm taking profits if we do get the second wave in Openoor, um, then that's all going to be part of my trade alerts that I send out every single day. So, Teachable is lagging at the moment, but again, it's the first link in the description of this video if you want to sign up. Um, I'll also drop a pin comment to this, but again, join the team. It's been uh truly a life-changing couple of months. Just June and July have been pretty non-stop. So, I'm really thankful for that. And uh with the way Open Door is looking, with the way Veritone's shaping up, some of our other plays, IRN C3 AI, things are looking really really exciting right now. And um I mean, even as even as I've been recording this video, Open Door is is bouncing back. So, I'm excited to see what happens here even by the end of the day because things can happen really fast. Um let's talk about some price targets. Okay, we will start shortterm and then slowly zoom out and talk about these longerterm price targets. Okay, so as you can see over the past few days alone, we'll go back to July 16. So about the past week or so, Open Door has rallied as much as 200 got to scroll up here a little 240% over the past week or so. As I'm recording this, we got that little correction since the high at just about five bucks that we saw on July 21st. We have already gotten to the low that we just saw about 45 minutes ago. We're on 15-minute candles here. Um, we've already seen a 45% correction. Okay, we got the initial run up. We got that first wave and now we're pulling back. We bounced off, you know, the 100 um the the 100 moving average, the ex 100 EMA four 15minute candles. Okay, so we're gonna start shortterm. Okay, so when Okay, so when talking technicals, we're going to start shortterm and then we're going to zoom out and uh get a little more macro. Okay. So, as Okay, so as we discuss these price targets and these technicals, uh we're going to kick it off in the short term using 50-minute candles and then we'll zoom out and get a little more macro using daily candles. Okay, as you can see, Open Door, we'll just go back about a week or so to this move, July 16th. In this period of time, again, it's July 22nd as I record this, Open Door has appreciated a total of just about 240%. But over the past session or two, like just the past 24 hours, Open Door has already corrected a total of 45% over 45% actually from this high it saw on July 21st, just below five bucks. Okay, that's something I like to see, especially considering we just bounced off of what I would perceive to be these lines of broken short-term resistance that have now come into play and prove themselves as new support. And I have this is one of my favorite trading patterns to trade off of. This is one of the signals that actually encouraged me to buy these open door calls. Um and uh I am excited to see if this rally can persist. Okay, so shortterm looking good. Volume is holding steady. As of today, we're trading just under a billion shares on an average volume of 200 million. Keep in mind, volume has been just gradually picking up, especially over the past week. So, love to see volume. Volume is is an amazing indicator of a potential hype cycle. And again, volume is slowing down a little bit, but considering we just got this correction, that's really what I like to see is a massive wave up. you get a lot of eyeballs on the stock, you get the sell-off, you get some of the weak hands selling out, you get that capitulation phase. Um, now we're probably going to trade sideways. I don't think this sideways trading is going to last very long. I think this second wave is going to come much sooner than later. And um, to be honest, I think that Open Door's market cap is at like the perfect place for a potential hype cycle. Okay? Okay. And the reason for that being it's the perfect mix of high liquidity. So, we're at a $2.2 billion market cap. A lot of volume. Liquidity, especially when trading options, is something that I really like. It means that you can easily get into and easily get out of positions. And with a $2 billion market cap, hopefully a lot more over the next couple of days, over the next couple of weeks, um that provides a lot of liquidity. Now, at the same time, $2 billion when it comes to the grand scheme of the public equity markets is a drop in the bucket. That's nothing. Okay? That's definitely a lot to me, but it is not much in terms of the public equity markets. And if this thing continues to gain traction and if we do continue to build momentum, it can get exciting really, really fast because with a $2 billion market cap, it really doesn't take that much capital inflow to the stock to appreciate the price of the shares. Okay. So, perfect balance in my opinion of the size of the company, the size of this stock, the market cap itself, um, as well as liquidity uh, when trying to enter in exit positions. So, that really excites me. That was a little tangent, but I just wanted to give you guys my thoughts there, my two cents there. And, um, also before we talk these upside price targets, kind of leaving you guys hanging on these, but their earnings, Open Door is announcing earnings on August 5th. Okay. And with the way their financials are shaping up, I have this here. I'll let you pause this. I'm not going to read over all of these, but with the trajectory of their financials, still unprofitable, probably going to not be profitable in this upcoming earnings report. So, that's important to mention. But these numbers are pretty damn impressive. And again, they're moving in the right direction. If we go here on Trading View and just see this general trajectory, you can see here that their margins are at least closing in. They're closing this gap. They're moving in the right direction back towards potential profitability while also increasing revenue at least uh relative to the last quarter. And uh again just looking here the direction is trending in the right direction. The financial direction is trending in the right direction for the potential for these shares I should say. Okay. So that's really really promising. And again, just seeing I don't really want to say I put a whole lot of weight on this at all, but this seasonality, this seasonality chart does give me a little more um hope that this stock can can see something similar in the month of 2025 relative to what it saw in 2023. Okay, so again, those are just cherries on top. What is really appealing to me is clearly the volume, the price action, the fact that, you know, there are some retail traders, some some retail Joe's going uh going ape over this, getting manic. And that's something I like to see when you're talking about these hype cycles. You want to see hype, okay? It's called a hype cycle because it is driven off of hype and momentum. And if you catch it at the right time, that hype and that momentum can play incredibly well in your favor as long as you're not left being the one holding the bag. Okay, so on that note, let's zoom out a little bit. I'm I'm going to delete these shorter term things because it's going to look super congested. Let's really zoom out and uh talk about these daily indicators. Okay, so daily I'm just going to zoom way out and talk about where Open Door like how far Open Door has come. Okay, right here you can see that Open Door has been in a downtrend. This is the descending channel Open Door has been in since August, what was it? Yeah, August of 2023. So, nearly a two-year descending channel right here. Classic descending channel. And um over the course of the month of July, this thing's just gone ballistic. Okay. So, as I said earlier, what I like to see here, too, is the fact that Open Door has already checked off the box. This is a very significant descending channel. Open rallied up. It came back down. It has retested this line of broken macro resistance as new support. Again, I have a video, a members exclusive video about that, uh a trader tips video. This is my favorite trading pattern in the trading game. So, join button below. It's five bucks a month for uh those members exclusives. But, we've checked that box off. That's something I really like to see when it comes to, you know, the potential for the second wave and and the the speed at which this second wave can roll in. Okay. So, from here, it's really difficult to talk price targets. What that guy was that guy's price target like 82 bucks. So 82 bucks is incredibly incredibly optimistic unless he's talking about you know 5 to 10 year time horizon in which case maybe but um 82 bucks is so far beyond open doors alltime high even back in the mania phases of like February in 2021 zero interest rates everyone was getting sty checks you know you know if you were here for 2021 you know what I'm talking about but the level I'm eyeballing and I should just say that one dude said at the $82 price target. I've seen some I've seen some kids, I will call them kids, I'll say like 22 year olds with stained shirts on in their mom's basements calling for $30 open door shares. Like this this was a pretty popular clip on TikTok, which is crazy. So, he was saying $30. And I just I just none of this is advice, but I will say that if you are part of that Reddit crowd, if you're in the Reddit forums or whatever, average all of the crazy price targets you're seeing on there, average them. Once again, get the average of them and then undercut them significantly because you want them like if someone has a price target in mind or if a lot of people are on board with one price target. You want to undercut them. You want to frontr run your opponent because at the end of the day, you are you guys aren't friends. You're opponents. Okay? You're not in this together. Someone will be left holding the bag. And I really really just want to make it want want to drive home the fact that you should not be the one holding the bag. If you're watching this video, get out before all of the ridiculous price targets you're seeing on whatever forum or whatever Tik Tok video you're seeing. Okay? Definitely do not try waiting for $82 to sell your call options. I mean, that's again, not advice, but it I can say that with a pretty high level of confidence. Okay, so my target, as you can see here, pretty simple, okay, is going to be this range from about $12.50 50 to about $13.70. This is just a general range in which Open Door saw has seen support in the past. And this level of support which was tested once again May 21 came back bounced a few times on these weekly candles. So very very solid support uh in August of 2021. This region hasn't really been retested as new resistance at a macro level. Okay. So, my overall target where I would liquidate the entirety of my position would be around 1370. Um, but again, don't get greedy, especially when it comes to these hype cycles, especially if you're getting in as early as this. Um, I will start t like I'll I'll start tapering off my position and like at a very rapid pace once and if we reach this 1250 region. Okay? So, I'm not waiting for 82 bucks. I'm not waiting for 30 bucks. I'm waiting for this 1250 to 1370 range. And that is going to be my short to medium-term target for Open Door. Again, can Open Door climb to 30, 80, 200. Let's just throw a number out there. Can we climb higher and higher over the next decade? Of course. But you can say that about any stock when it comes to trading, when it comes to swing trading, what I do in the waves portfolio. Um, I am setting the price target from 1250 to 1370. And um you know, fingers crossed. If you guys want to join the trading team, once again, it's the first link in the description or in the pin comment of this video. Drop a comment below. Let me know what your open door target is and uh or just talk to me about whatever you want down there. I always like talking to shop with you guys. And thank you for watching. Until next time, always remember, take action, make waves. Peace.