Chart of the Week: Robinhood
Hey everyone. Happy Wednesday. June 24. Great to see you. It’s time for our chart of the week, and we’re gonna focus in on Robinhood Markets; symbol HOOD. Let’s take a look at this chart. It’s had some really good improvement over the past couple of months on the chart.
So as you can see here, what kind of got me interested in the stock here is this action around the 200 day moving average. You saw that it moved up about four days ago right through that 200 day moving average and confirmed it the following day. And of course had a big reversal day on the 22nd. On the 23rd it’s moving real nicely back through that 200 day moving average, also through the eight day moving average.
We see some of the longer term moving averages, like the 50 day and the 200 day, starting to move upwards. The 20 day moving average – it’s gotten away from it quite a bit. It’s about 12% away from the 20 day moving average. We don’t really like to see it that too far away, but you can see the dotted line over here is that 20 day moving average is really climbing quickly.
So it’s very likely if Robinhood even just stays within this 100-110 point range, we’ll see that 20 day moving average catch right up to it. It’s acted as good support for the past couple of months since it broke out above that level.
We also see a breakout above that $91-92 level, which was good resistance from back in the middle April, also the early part of June. We broke above that on some heavier volume. You can see that right over here, that heavy volume right over here.
Indicators are still on bullish signals right here.
We see the MACD still on a bullish signal. It’s almost overbought here, but of course we know overbought is technically a condition, not a signal.
Relative strength peaked a few days ago when the stock went up to $110-111, and it’s coming off of those overbought levels here.
Money flow has been very strong.
And we also like to see the on-balance volume. Check this one out. This one has really become very impressive over here. Actually hitting levels we haven’t seen since the early part of January.
So all in all I think Robinhood, with earnings coming out towards the end of July, is a stock you want to take a look at here. The all-time high is about the $170 level, so it’s got some room to go here if it can catch fire.
The company has been talking about IPOs. It got a nice allocation from SpaceX and probably earned some good money off that. And it looks like they’re gonna be involved in a couple better IPOs down the road, like OpenAI and Anthropic.
So take a look at Robinhood. It’s been a good performer over here.
Again, it’s got this nice inverse head and shoulders here. This is another reason why I like the stock so much here. You could see this here. Here’s the left shoulder here, the head down here in late March, and the right shoulder over here – and once it broke out above that neckline – let’s call it about $80-81 – it was good to go to the upside.
So, take a look at Robinhood.
Thanks so much for watching everyone, and I will see you guys next time.
