DRAM has upside potential; speaker buys 65-75 call spread until November expiration based on technicals and sector view.

Okay Scott, and your last one, this ETF has shown great performance since its launch. We are talking about the Roundhill Memory ETF, better known as DRAM. How do you view DRAM now?

Yes, it seems to me to be an alternative or proxy for Micron. And it's settled here, you know, DRAM hasn't moved much since Micron's earnings report came out. However, I quite like its upside potential.

So, I'll give it a little more time. I am going until the expiration in November. And I'm just buying a simple call spread, 65-75 call spread. I'm spending about $2.25 for this.

I think it makes sense from a technical perspective. I also think that, just considering this sector, we can see a lot of upside potential here.

Okay KG, when we look at the technicals, we don't have any long-term charts because this ETF was only launched in April. We only have 6 months of data to look at. But what are you looking at?

Yes, we don't have much time. We had an initial uptrend marked in purple, where we were making higher highs and higher lows. We actually broke that initial trend line. This is technically a bear flag formation, where you are seeing a bit of a pullback and we are consolidating.

Now, you can be a little bullish because we are making higher lows even within this consolidation and what you would expect is for us to get close to that peak and then see an upward breakout.

A breakout above $67 gives you some confidence that it might move back towards $80. The formation of higher lows on the RSI is a good sign, but the MACD doesn't tell us much. There's not much to see in this chart.

I would say look at the components inside the ETF to get an idea of which way the market might go; And they are Micron, Samsung, and SK Hynix. These three companies essentially make up about 90 percent of the entire ETF.

So, if you are generally bullish on these names, it means the ETF has the potential to move higher. However, in my opinion it looks more like a bull or bear flag; If it does go down, it could be a very big one and in that case the level around $45 will be the next major support area.

Okay. I mean, it's had an incredible growth of 128 percent since its inception, but lately it's been pretty stable.