This commentary originally appeared on Real Money Pro at 11:30 a.m. on Feb. 17. Click here to learn about this dynamic market information service for active traders.

Decades ago, IBM (IBM) and Hewlett Packard were celebrated as titans of technology. However, as tech evolved, these names lost their appeal. Innovations from companies like Apple (AAPL) and low-cost competition from overseas took the shine off of these tech superstars.

However, both companies have reinvented themselves, and now they've begun to thrive. IBM, which transformed itself into a cloud computing giant, has gained nearly 45% over the past 12 months. The stock is up nearly 10% since beating earnings and revenue estimates on Jan. 19.

Hewlett Packard Enterprise (HPE) , a lean descendant of Hewlett Packard, has gained nearly 80% over the past 12 months. Not to be confused with the manufacturer of computers and printers HPQ (HPQ) , HPE is focused on networking, storage, and services.

When HPE reports earnings next week, will its results echo IBM's impressive performance? HPE is scheduled to report after the close on Feb. 23.

IBM's chart is easy to decipher; it's a bullish channel that features a series of higher highs (HH) and higher lows (HL). The stock is trading on the high side of its channel, and is overbought (arrow) according to its RSI (relative strength index) indicator.

A move to the lower end of the channel, currently near $175, would alleviate this overbought condition and create an ideal entry point on a dip.

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