Robinhood's 10.93% Surge Driven by Bullish Technical Indicators Extends 4-Day Rally to 20.70% Gain

Robinhood Markets (HOOD) has experienced a 10.93% surge in the most recent session, extending its rally to four consecutive days with a cumulative gain of 20.70%. This sharp move suggests strong short-term bullish momentum, supported by key technical indicators.
Candlestick Theory
Recent price action forms a bullish engulfing pattern as the latest candle (128.2) closes well above the prior lower shadow, confirming renewed buying pressure. Key support levels are identified at 109.19 (2025-11-25 low) and 102.1 (2025-11-21 low), while resistance aligns with the 128.90 (2025-11-26 high) and 132.98 (2025-11-12 high). A break above 132.98 could trigger a retest of the 135.88 (2025-11-10 high) level, potentially extending the rally.
Moving Average Theory
Short-term momentum is reinforced by the 50-day MA crossing above the 100-day and 200-day MAs, signaling a bullish trend. The 50-day MA currently resides at ~118.5 (based on 2025-11-26 data), while the 200-day MA (~112.5) acts as a critical support level. Price remains above both the 100-day (~116.5) and 200-day (~112.5) averages, suggesting the uptrend remains intact.
MACD & KDJ Indicators
The MACD histogram is expanding positively, with the line above the signal line, indicating strengthening momentum.

The KDJ (Stochastic) oscillator shows overbought conditions (K=85, D=80), but divergence is absent between price and momentum. This suggests the rally could persist, though a pullback to the 114.30–115.57 range may test near-term resolve.
Bollinger Bands
Volatility has expanded sharply, with price near the upper band (128.90) and the 20-day band width at ~13.5. This contraction-expansion pattern often precedes a breakout or reversal. If the upper band holds as support, the 132.98–135.88 range could be the next target.
Volume-Price Relationship
Trading volume has surged to 47.1 million shares, a 140% increase from the prior session, validating the price move. However, if volume wanes during further rallies, it may indicate weakening conviction. Conversely, sustained volume above 40 million shares would reinforce the bullish case.
Relative Strength Index (RSI)
The 14-day RSI is near 72, signaling overbought conditions. While this may invite short-term profit-taking, the absence of bearish divergence (price higher highs, RSI lower highs) suggests the trend is not yet exhausted. A dip below 60 would indicate weakening momentum, but a rebound above 70 could extend the rally.
Fibonacci Retracement
Key retracement levels from the 2025-04-08 low (34.17) to the 2025-09-30 high (143.62) include 61.8% at ~102.5 and 78.6% at ~125.5. The current price of 128.2 is approaching the 128.90–132.98 resistance cluster, which overlaps with the 78.6% Fib level. A break above this would target the 138.07–142.48 range (2025-10-04 to 2025-10-05 highs).
Confluence & Divergence
The bullish case is strongest where multiple indicators align: candlestick patterns, moving averages, and Bollinger Bands all confirm upward momentum. However, the overbought RSI and KDJ suggest caution for near-term volatility. No significant bearish divergence is evident, but traders should monitor volume for signs of exhaustion.
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