Rocket Companies Stock Jumps 7.10% to $19.15 Amid Technical Breakout

Rocket Companies (RKT) shares surged 7.10% to close at $19.15 on September 4, 2025, marking the second consecutive day of gains with an 11.60% advance over this period. This momentum follows a significant August peak at $19.62 and subsequent consolidation, warranting a multidimensional technical assessment.
Candlestick Theory
Recent sessions show a bullish reversal pattern emerging after the August downturn. The September 3–4 combination forms two consecutive long green candles with expanding ranges (highs at $17.99 and $19.23), overpowering the preceding short red candle on September 2. This suggests accumulation near the $17.00–$17.50 support zone. Key resistance is evident at $19.60–$19.80 (August 13 peak and August 22 high), while support consolidates near $17.15–$17.30 (September 3 low and August 29 base).
Moving Average Theory
Price action relative to key moving averages signals improving momentum. The 50-day moving average (~$17.50) crossed above the 100-day (~$16.80) in late August, reinforcing intermediate-term strength. The September 4 close at $19.15 now positions RKT above both the 50-day and 200-day (~$15.50), confirming bullish alignment. However, the 50-day’s slope remains neutral, requiring sustained gains to solidify trend reversal prospects. The 200-day’s gradual ascent denotes underlying long-term support.
MACD & KDJ Indicators
The MACD histogram has shifted into positive territory following a bullish crossover in late August, aligning with the current price surge. The KDJ oscillator exited oversold conditions (<30) in early September, with the %K line (77) crossing above %D (70) on September 4, signaling accelerating momentum. Confluence between MACD’s trend-confirming shift and KDJ’s overbought warning suggests robust but potentially extended upside. Divergence risk emerges if KDJ sustains >80 without corresponding volume validation.
Bollinger Bands
Bollinger Bands highlight volatility expansion after a late-August contraction (bandwidth narrowing to 2.2%). The September 4 close above the upper band (~$18.80) indicates an overextended move, historically preceding consolidation. The breakout coincides with widening bands, reinforcing directional conviction. Price now faces resistance at the upper band, while the middle band (20-day SMA, ~$18.20) and lower band (~$17.60) provide pullback support targets.
Volume-Price Relationship
Volume patterns confirm recent bullish conviction. The September 4 rally occurred on 25.1 million shares—the highest volume since August 22’s surge. Two consecutive volume expansions (17.8M on September 3; 25.1M on September 4) support the price breakout above $18.50. This contrasts with distribution phases (e.g., August 26–29), where declines materialized on below-average volume, suggesting weak bearish commitment.
Relative Strength Index (RSI)
The 14-day RSI (calculated using closing data) has risen sharply to ~68, approaching overbought territory (>70). This rapid ascent from oversold (<30) in early August indicates strong momentum but elevates short-term exhaustion risks. Historically, RKT has reversed near RSI 75 during July and August peaks. Thus, while the current reading may imply upside continuation, traders should monitor for divergence against price at resistance levels.
Fibonacci Retracement
Applying Fibonacci levels to the April–August swing (low: $10.06; high: $19.62) reveals critical thresholds. The recent consolidation bottomed near the 61.8% retracement ($13.50–$13.80), which underpinned August support. Current trading at $19.15 has surpassed the 23.6% resistance ($18.80), clearing a path toward the August high. Confluence exists here, as the 23.6% level aligns with Bollinger’s upper band and psychological resistance at $19.00. The 38.2% retracement ($17.50) now serves as primary support, reinforced by the 50-day MA.
Confluence and Divergence Synthesis
Bullish confluence is observed: Volume-backed breakout above $18.80 (Fibonacci 23.6% + Bollinger upper band), MACD/KDJ momentum alignment, and moving average support. However, RSI near overbought and Bollinger "band escape" warn of consolidation pressure at $19.60–$19.80 resistance. A decisive close above $19.80 with sustained volume may signal trend resumption, while failure here could retest $18.20–$18.40 support. Bearish divergence would materialize if prices stall near resistance amidst declining volume or falling RSI.