Streamer's Problems

If the streamer's computer and/or internet connection is not up to snuff, it will cause lag for everyone regardless of other factors.
SOLUTION: Sorry but you're out of luck! This one isn't solvable from your end!

Viewer's Problems

If the viewer's computer can't handle HD video then lag can occur. If the computer is fine it can be possible they don't have the download speed necessary for the current stream's bit rate. Sometimes, you can have an awesome computer and connection but still get lag due to which server Twitch has you viewing from which leads me to...

Twitch's Problems

Depending on what resolution you're watching (if on a partnered stream who has the option) you will be receiving the stream from a different server. The max resolution (the one with the +) is the direct live feed and will come from the server the streamer chose on their end. The other resolutions are being compressed by Twitch on separate servers (thus the longer delay) and will be in a different location. Generally speaking, the further you are from the server the more likely you are to lag. ISP's can also come in to play here in terms of getting along with the server you're watching from.
SOLUTIONS: If hardware is your issue then you'll simply need better hardware. If it's your internet speed you'll have to choose a lower resolution. If it's your connection to the Twitch servers then you'll have to play around with it. Sometimes the + resolution is closer so even though it's a higher bit rate, it will sometimes run smoother than the other lower resolutions.

Hope that helps! Enjoy the stream!

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