Rocket Companies Soars 8.5% on Trump's Mortgage Bond Plan: Is This the Catalyst for a New Bull Run?

Summary
• Rocket Companies (RKT) surges 8.498% intraday to $23.045, hitting 52-week high of $23.415
• Trump's $200B mortgage bond purchase plan sparks market optimism
• Options volume spikes 53% as call options dominate trading
• RKT's 52-week range of $10.06–$23.415 shows 134% rally from 52W low

Rocket Companies' stock is trading at record levels following President Trump's announcement of a $200 billion mortgage bond purchase plan aimed at lowering housing costs. The move has triggered a surge in investor optimism, with RKT's price climbing 8.5% intraday to $23.045. The stock's 52-week high of $23.415 and 7.14% turnover rate indicate strong short-term momentum, driven by strategic positioning in the mortgage finance sector and regulatory tailwinds.

Trump's Mortgage Bond Plan Ignites Rocket Companies' Surge
President Trump's proposal to direct Fannie Mae and Freddie Mac to purchase $200 billion in mortgage bonds has catalyzed Rocket Companies' 8.5% intraday rally. The plan aims to lower mortgage rates, directly benefiting RKT's core business of mortgage origination and refinancing. With mortgage rates currently at 6.23%, the anticipated reduction in borrowing costs is expected to boost loan demand, aligning with RKT's strategic partnerships and digital mortgage platform. The stock's surge reflects investor confidence in the company's ability to capitalize on increased refinancing activity and housing affordability initiatives.

Mortgage Finance Sector Gains Momentum as RKT Leads Rally
The mortgage finance sector is showing mixed momentum, with Rocket Companies outperforming peers. While sector leader Loews (L) fell 0.54%, RKT's 8.5% surge highlights its unique positioning in the housing market. The sector's recent volatility is driven by Trump's housing policy announcements and shifting Fed rate expectations. RKT's strategic acquisitions of Redfin and Mr. Cooper, combined with its digital-first approach, position it to outperform as mortgage rates decline and refinancing demand rises.

Options and ETFs to Watch: Capitalizing on RKT's Volatility
• RSI: 80.68 (overbought) • MACD: 0.687 (bullish) • 200D MA: $16.17 (well above) • Bollinger Bands: $21.52 (upper) • Turnover Rate: 7.14% (high liquidity)

RKT's technicals suggest strong short-term bullish momentum, with RSI near overbought levels and MACD above the signal line. The stock is trading above its 200-day moving average by 40%, indicating sustained strength. For options traders, the RKT20260116C14.2 and RKT20260116C16.2 contracts stand out:

• RKT20260116C14.2 (Call, $14.2 strike, 1/16/2026):
- IV: 335% (high volatility)
- Leverage: 2.60% (moderate)
- Delta: 0.8903 (high sensitivity)
- Theta: -0.1233 (rapid time decay)
- Turnover: 100,547 (high liquidity)
- Gamma: 0.0163 (responsive to price moves)
- Payoff at 5% upside ($24.20): $9.98 per contract
- Why: High IV and delta create leverage for aggressive bulls, while high turnover ensures liquidity.

• RKT20260116C16.2 (Call, $16.2 strike, 1/16/2026):
- IV: 266% (moderate volatility)
- Leverage: 3.32% (balanced)
- Delta: 0.8638 (strong directional bias)
- Theta: -0.1226 (aggressive time decay)
- Turnover: 143,834 (very liquid)
- Gamma: 0.0239 (high sensitivity)
- Payoff at 5% upside ($24.20): $8.00 per contract
- Why: Optimal balance of leverage and liquidity, ideal for riding the momentum without overpaying for volatility.

Trading Setup: Key support at $19.35 (30D support) and resistance at $23.42 (52W high). Aggressive bulls should target $24.20 (5% upside) with tight stops below $21.52 (Bollinger mid). Watch for follow-through volume on the 1/16 expiration date.

Backtest Rocket Companies Stock Performance
The backtest of RKT's performance after an 8% intraday surge from 2022 to the present shows favorable results. The 3-Day win rate is 49.90%, the 10-Day win rate is 52.34%, and the 30-Day win rate is 56.21%, indicating a higher probability of positive returns in the short term. The maximum return during the backtest was 4.88%, which occurred on day 57, suggesting that RKT can deliver decent gains even after the initial 8% surge.

Act Now: Rocket Companies' Bullish Momentum Shows No Signs of Slowing
Rocket Companies' 8.5% surge is fueled by Trump's mortgage bond plan and strong technicals, with RSI near overbought and MACD bullish. The stock's 52-week high of $23.415 and 7.14% turnover rate confirm robust short-term demand. Investors should monitor the $23.42 resistance level and $19.35 support zone. Sector leader Loews (L) fell 0.54%, underscoring RKT's outperformance. Aggressive traders may consider RKT20260116C16.2 for leveraged exposure, while conservative investors should watch for a pullback to $19.35 before entering long positions. Watch for $23.42 breakout or regulatory reaction.