SoFi Stock Surges 125% With Bullish Technicals Eyeing 22.50 Breakout

Candlestick Theory
SoFi Technologies' recent price action displays a strong bullish trend, with six consecutive white candles culminating in a July 10 close near the session high ($20.97) after testing resistance at $21.32. This pattern—characterized by rising closes and higher highs—signals sustained buying pressure. Key support emerges near $18.40 (July 7 low), while resistance is consolidating at the $21.30–$21.50 range, aligning with the July 10 peak. The absence of reversal patterns (e.g., shooting stars or bearish engulfing) suggests near-term bullish continuity.
Moving Average Theory
The 50-day, 100-day, and 200-day moving averages are sequentially stacked (shortest > longest), confirming a robust uptrend. Current price ($20.97) trades significantly above all three averages, with the 50-day MA near $16.50 acting as dynamic support. A bullish golden cross materialized in late June when the 50-day MA crossed above the 200-day MA, reinforcing the long-term trend. The moving average alignment suggests strong institutional accumulation, though extended deviations may invite profit-taking near $21.50 resistance.
MACD & KDJ Indicators
MACD histogram shows expanding bullish momentum, with the signal line maintaining its uptrend after a mid-June crossover. KDJ oscillators (K: 85, D: 79, J: 97) reflect overbought territory, with the J-line persistently above 90 since July 3. While this suggests near-term exhaustion risk, no bearish divergence is evident as both price and KDJ make higher highs. The MACD/KDJ confluence implies trend continuation is probable short-term, though consolidation may precede further upside.
Bollinger Bands
Price consistently rides the upper Bollinger Band (20-day, 2σ), signaling strong bullish momentum. Band expansion accelerated in July, indicating rising volatility supportive of trend extension. The July 10 close ($20.97) hovered near the upper band ($21.15), sustaining overbought pressure. Historically, SOFI has mean-reverted to the 20-day SMA ($18.80) after such deviations, suggesting $18.40–$18.80 offers a high-probability pullback target.
Volume-Price Relationship
Recent rallies validate bullish sentiment through rising volume. The July 8 surge (+3.69%) occurred on 111M shares—the highest volume since late June—confirming buyer conviction. Conversely, pullbacks like July 1’s -3.13% saw reduced volume (67M shares), indicating limited sell-side commitment. Accumulation/distribution trends upward, supporting sustainable upside. The current rally’s volume profile surpasses April’s breakout, reinforcing its technical legitimacy.
Relative Strength Index (RSI)
Daily RSI hovers near 72, approaching overbought territory but not yet extreme. Notably, RSI divergence is absent; the indicator aligns with price making consecutive higher highs since mid-June. Weekly RSI (65) retains headroom before overbought conditions, mitigating immediate reversal concerns. While RSI >70 may trigger short-term consolidation, its position below prior cycle peaks (e.g., April’s 86) suggests room for extension if volume persists.
Fibonacci Retracement
Applying Fibonacci to the April 9 low ($9.31) and July 10 high ($21.32):
- 23.6% retracement: $17.60
- 38.2% retracement: $16.15
Key resistance near the 127.2% extension level ($20.90) was breached on July 10, opening the path toward $22.50 (161.8% extension). The $17.60–$17.80 zone now acts as critical support, overlapping with the 50-day MA and July 2 swing high—a high-confluence area for buyers.
Confluence & Divergence Synthesis
Confluent bullish signals dominate: moving average alignment, volume-supported breakouts, and MACD/price synchrony validate the uptrend. RSI/KDJ overbought readings and Bollinger Band proximity offer the only cautions, implying consolidation near $21.50 is likely before further gains. No material divergences exist. Fibonacci identifies $17.60–$18.00 as optimal pullback support for new entries, while a sustained close above $21.50 may target $22.50–$23.00.