3 Tech Stocks That Are Ready to Soar
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Tyler Craig, Tales of a Technician
The ongoing bull run in equities has been a widespread affair, no doubt. But even a cursory inspection of the rally will reveal the biggest bovines — the leaders of the pack — are coming out of the technology sector.
Indeed, the landscape is littered with tech stocks that jumped on earnings and continue to reach for the stars.
The Nasdaq Composite has now climbed 14% from its post-Brexit low. And though the ascent is justifiably slowing, the bullish undertones remain. Perhaps most telling is the fact that the recent rise has been sufficient in turning the Nasdaq’s 200-day moving average higher for the first time this year. Tech stock lovers have finally wrested control of the sector’s long-term trend.
My weekend review of the tech space revealed eye candy galore. These three beauties soared on earnings and continue to want higher.
Behold, three tech stocks to buy.
3 Tech Stocks to Buy: VMware, Inc. (VMW)
VMware, Inc. (NYSE:VMW) tops our list, with a post-earnings base worth bragging about. Since vaulting higher amid better-than-expected earnings last month, VMW has been basing in bullish fashion. Any and all profit-taking has been absorbed rapidly, allowing shares of VMW to say aloft.
The stock ended last week with a bullish upthrust into the weekend. Heavy volume accompanied the rip, suggesting institutional accumulating. With the big boys piling back into the stock, the time is nigh for a breakout and renewed advance.
Buy the VMW Oct $72.50 calls on a break above $73.40.
3 Tech Stocks to Buy: Qualcomm Inc. (QCOM)
Shares of Qualcomm Inc. (NASDAQ:QCOM) are on the mend. Since carving out its 52-week low mid-February at a lowly $42.24, shares of the semiconductor stock have climbed over 45%.
The recent gains have aided QCOM stock bulls in turning the long-term trend higher for the first time since 2014.
Cautious investors waiting to see if Qualcomm’s nascent rise had the mustard to reverse its lengthy decline now have the confirmation they were seeking. The action following last month’s earnings gap has been quite bullish. An ascending triangle has formed, revealing buyers continue to snatch up shares on each and every dip. Persistent demand should lead to a breakout and renewed advance for QCOM stock in the near future.
Grab Oct $62.50 calls on a break of $63.10.
3 Tech Stocks to Buy: Texas Instruments Incorporated (TXN)
Texas Instruments Incorporated (NASDAQ:TXN) rounds out today’s list of tech stock beauties.
Its trend is undoubtedly the most mature of the three. The semiconductor stock has been a full-fledged participant of the aging equity bull market, with few setbacks along the way.
Last month’s moonshot following earnings has been digested in an orderly manner. With the 20-day moving average now having caught up, it’s fair to say TXN stock has worked off its overbought condition. The setup is simple. Watch for a breakout of near-term resistance at $71, then buy the Oct $70 calls.
At the time of this writing Tyler Craig had no positions in any of the aforementioned securities.