Roblox $RBLX stock rose 14% on July 5, 2022, after news hit that Jon Najarian bought the $39 call option with a strike date of 7/15/2022. A lot of traders followed Jon Najarian on the trade.
Make sure to review this lesson on option flow so that you understand the image above.
Najarian bought Roblox Corp (NYSE:RBLX) call options after seeing strong interest in the call-side contracts.
“Obviously the stock has been slaughtered. It’s down so dramatically that people … are saying, I’m going to take a shot at this one,” Najarian said Tuesday on CNBC’s “Fast Money Halftime Report.”
Roblox shares are down more than 60% since the start of the year.
“Some of these stocks have been battered so severely that it’s hard to imagine a much worse scenario,” Najarian said.
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Roblox stock looks like a classic turnaround candidate on the stock chart but still undecided if Jon Najarian’s call option trade is brilliant or REALLY dumb.