Technology stocks have been underperforming for the last three months.
However, when I dive beneath the surface looking for relative strength, software stocks catch my attention.
Here you have the Software ETF $IGV on the cusp of breaking out of a massive base.
IGV soared higher, tacking on 2.14% today as it pierced through the upper bounds of this range.
If and when we get some upside follow-through, the breakout will be valid and the path of least resistance will be higher. We think this happens in the coming days and weeks.
Under this scenario, we should anticipate upside resolutions from individual software names. A lot of them look very similar to IGV right now.
Palantir Technologies $PLTR is one of my favorites setups in the space.
How could it not be? It's been the best one.
The notorious government contractor is just breaking out above its IPO high from 2021.
It has a lot of room to run.
Breakout Multiplier members benefited from this one a few months ago during the Q2 earnings season.
And guess what?
Earnings are back, and Strazza is once again looking to profit with some big trades in this environment.
Just look at what he did with Robinhood $HOOD today.
This is exactly what we're trying to do as the stocks we are long head into their next reports. We want to earn a shot at unlimited upside into these major catalyst events. And we want zero risk in going about it.
If you're interested in how we pull this kind of thing off, click here.
