In the past quarter, the S&P 500 has delivered total returns of 7.3%. And while that's an impressive run for a three-month stretch, technology stocks have been doing materially better. In those same three months, the iShares Dow Jones U.S. Technology Sector ETF (IYW) has handed investors total returns of 9.9%.
That's a meaningful amount of outperformance versus the broad market, and it's magnified when you focus exclusively on the high-probability setups that are taking shape around the tech sector this summer. So today, we're taking a closer technical look at five of them.
For the unfamiliar, technical analysis is a way for investors to quantify qualitative factors, such as investor psychology, based on a stock's price action and trends. Once the domain of cloistered trading teams on Wall Street, technicals can help top traders make consistently profitable trades and can aid fundamental investors in better planning their stock execution.
Without further ado, let's take a look at five technical setups worth trading now.