5 Strong Contenders for Tech Bulls

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The late-August swoon left no sector unscathed, and stocks have remained volatile — however, things are starting to look up for certain groups.

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Tech in particular has stayed fairly strong and led the market higher during Wednesday’s rebound.

Since then, the Profit Scanner powered by Recognia has identified several technology stocks that are looking like a good buy. Read on for five such bullish signals in the tech space.

Tech Stocks: Take-Two Interactive Software (TTWO)

tech-stocks-ttwoTake-Two Interactive Software, Inc. (TTWO) makes games for PCs, mobile devices and consoles, namely the PlayStation 4, Xbox One and Wii U. Shares had been trending lower since early August, but on Thursday they had a breakthrough and completed a bullish Inside Bar.

You can see the Inside Bar in TTWO’s chart: a bar with a trading range that’s completely within the boundaries of the prior bar, during a strong downtrend. This is a signal that buyers are beginning to take back some control from sellers, and we could see higher prices ahead.

Tech Stocks: Yahoo (YHOO)

tech-stocks-yhooYahoo (YHOO) bet big on Alibaba Group (BABA) with a 15% stake in “China’s Amazon” — which has done YHOO no favors recently. However, the worst may be over. Wednesday’s session saw a bullish signal for Yahoo: the Inside Bar.

As with TTWO, the tug-of-war between YHOO bulls and bears seems to be evening out, which could give the stock a chance to reverse higher from its downtrend.

Tech Stocks: Splunk (SPLK)

tech-stocks-splnkSplunk Inc (SPLK) is a cloud services company that’s a heavyweight in the big data space. It, too, looks to be emerging from a downtrend — completing a Hammer pattern on Wednesday.

The Hammer consists of a candlestick with a long lower shadow and a small body at the top of the recent range. Basically, it tells you that the stock may have bottomed out and is due to reverse higher.

Tech Stocks Red Hat (RHT)

tech-stocks-rhtRed Hat (RHT), which develops software and services for Linux, has also struggled to recover from the August selloff, but made a Hammer pattern on Wednesday. So, as with SPLK, Red Hat’s recovery from a sharp decline indicates that it’s due for an upside reversal.

Tech Stocks: VASCO Data Security International (VDSI)

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Cybersecurity stock VASCO Data Security International (VDSI) may be a good “buy the dip” candidate as well. It, too, completed a Hammer pattern on Wednesday — which suggests that it’s bottoming out around $15.50 and could start making up lost ground.

Profit Scanner powered by Recognia can help traders of all levels uncover these signals to determine the best timing to buy. Or use Profit Scanner’s technical insight to validate your own trading ideas. See how easy this powerful tool is to help you uncover hidden opportunities in the market.

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Article printed from InvestorPlace Media, https://investorplace.com/2015/09/contenders-tech-sotcks/.

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