Zoom Video (ZM): 3-year bottoming pattern

Question: ZM has become the talk of the town....breakout?

Zoom Video (ZM) has improved and builds a 3-year bottom

ZM is showing signs of a bullish reversal, having reclaimed and held above its key weekly moving averages (13-, 26-, 40-, and 200-week) clustered in the 81.24–78.72 range. The higher low at 77.76 reinforces this improving setup. A decisive breakout above 87.67–89.67 would confirm a late 2024–late 2025 base, setting up upside targets at 102 (measured move) and 112 (pattern count). This breakout could also confirm a bigger base dating back to late 2022 with an upside target at 124.

ZM has stabilized relative to the S&P 500 from its summer 2024 and 2025 lows, but additional confirmation would come from strength above its declining 26- and 40-week relative moving averages. In our view, this would increase the potential for a bullish breakout on ZM's absolute price chart.

Chart 1: Zoom Video (ZM) (top) and relative to the S&P 500 (bottom)