Chart of the Week: Roku
Hey good morning everybody. Happy Wednesday. We are back with our first chart of the week for 2026. And this week we’re gonna look at one of our favorite technology stocks called Roku. Well it’s a media technology stock.
Let’s take a look at this stock. The chart has been really strong as of late, certainly going back to the summer of last year when the low was put in at around the mid to high 60s – $67. The stock’s up almost 87% since then, making a series of higher highs and higher lows along the way.
Of course you see there have been some times when the stock fell sharply. Caught some support at this 50 day moving average right here and right here. Came and dropped below it over here. But did build a nice double bottom. Let’s mark that up here, too. Came in here, tested that 50, came back down, right back up again.
But the nice pattern that we’re seeing here currently is a cup and handle pattern. And you can see that built in right here. You can see the cup and handle right there. The cup here, the handle here.
And it broke out nicely on Monday, January 5, on nice volume to a new relative high. It’s not an all-time high of course. But we do see some good strength in volume, certainly in the month of December the volume was real positive.
Relative strength is good. We see the MACD as well is now on a buy signal.
One thing I also wanted to take a look here. We’re going to take off the daily chart here and show you this weekly chart here.
This is important here. Take a look at this. You can see how the stock just bolted out last month above the highs from back in 2024, which is about $104-107. Bolted above there, came back down, tested that 20 week moving average, and right back up again and we’re above those levels again one more time. So that’s very important. I think the stock has got room to get to $150-160, maybe over the next three to four months.
So take a look at Roku over here. A good name over here to trade, especially if you’re doing options. Thanks so much for watching everyone, and I’ll see you guys next time.
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