Will ROKU Reach $100 by 2023 End?

Roku stock price showed a massive breakout after the release of quarterly earnings. It surges 31% in a single day and breaks the $80.00 hurdle with a high buying volume.

Roku stock tested the 52-week high at $98.44 and created positive hope for long-term investors. However, the momentum halted near to a 52-week high and prices witnessed minor profit booking.

Roku Inc. stock sustains above the 50-day and 200-day EMA showcase uptrend. However, the prices had gone far away from the EMA so short-term correction or narrow-range consolidation is possible.

Recently, the 50-day EMA positively intersected the 200-day EMA denoting a golden crossover. It grabbed the attention of long-term investors as well as boosted the confidence of existing investors.

Roku Inc. stock formed a strong base near $60.00 before displaying a breakout which increases the reliability of the breakout. Therefore, buyers are active in the range between $60.00 to $70.00 and any short-term correction will be easily absorbed.

Roku stock price closed the previous session at $86.35 with an intraday decline of -2.40%. The market capitalization stands at $12.22 Billion.

Will Roku Stock Erode the Gains of the Previous Week?

Roku stock (NASDAQ: ROKU) witnessed a massive surge in buying volume and prices also followed the same direction. It shows some big investors might have injected money and expecting outperformance in the coming months.

Roku Inc. released its quarterly earnings on July 27, 2023. It reported an EPS of -0.76 and revenue of $847.186 Million. The company beat the EPS estimate by 39.97% and revenue by 9.36%.

It positively impacted the stock prices and triggered the rally. The technical analysis suggests Roku stock is in bulls grip and a short-term downfall will provide opportunities to bullish traders.

Roku Stock Hit 52 week High

Roku stock formed a giant bullish candle in the previous week and hit a 52-week high. But buyers failed to give the follow-up momentum. Stock has rallied a lot in the short span of time so it might enter consolidation before declining further direction.

The MACD curve displayed a positive crossover and the histogram bar is green. It indicates buyers are active and prices are likely to bounce back from support. The RSI at 60 reversing down from the overbought territory and might test the neutral zone.

Conclusion

Roku stock (NASDAQ: ROKU) is uptrend but the price looks mildly overstretched. Therefore, short-term retracement toward a 50-day EMA is possible. However, the probability of bouncing back from the support remains high.

Technical levels

Resistance levels: $100.00 and $105.00
Support levels: $79.00 and $67.00

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.