Shares of Robinhood (HOOD) are weak. After an epic run of 422% from the April 7th, 2025 lows, HOOD may be on the verge of a fall to $120 per share. This is what the technical analysis is showing.
The two biggest bearish factors are the reversal engulfing candle on October 6th and the parallel channel that has kept price in check since that April 7th low. The reversal engulfing candle, a bearish reversal signal occurred at the high end of the parallel channel. Since then, even as the stock market has had rally days, HOOD has stayed weak.
Ultimately, price should sell to the low end of the parallel at $120 per share. Once there, investors will have to see if price bounces or breaks through.
HOOD has been one of the favorites of retail investors. However, the valuation is concerning when compared to other brokers that allow stock trading, crypto trading, and even allow bets on Polymarket. At some point, reality will likely set in, sending HOOD well below $100 per share.
The charts are bearish and the valuation metrics are extreme. Be careful on HOOD.
Source: https://www.fxstreet.com/news/robinhood-hood-the-hype-is-fading-and-so-is-the-stock-202510141407
