PLTR: Did $75.40 Mark the Bottom?

PLTR's strength above key moving averages presents multiple trading opportunities. Whether trading stock for a steady 10%+ move or leveraging options for amplified returns, traders have flexibility based on their risk tolerance.

Palantir (PLTR) Stock of the Week: A Strong Setup for a 10%+ Move

Palantir Technologies (PLTR) is setting up for a strong upside move after what appears (imo) to be a recent bottom at $75.50. The stock has successfully tested and respected key moving averages, bouncing off the 100-day moving average and reclaiming the 50-day moving average on the daily chart. Given this technical strength, PLTR presents an attractive opportunity for a 10%+ upside move in the near term.

Trade Setups:

1. Buying the Stock

For those looking to trade the common shares, an entry at $95 offers an upside target of $105, representing a 10.53% gain. This level aligns with key technical resistance and serves as a reasonable profit-taking zone for short-term traders.

2. March 28 $100 Calls (Short-Term, High Risk)

These contracts have seen strong interest, with 28,000 contracts in volume and currently trading at $1.20.

Given the short expiration window, this trade is considered high risk and is best suited for a day trade.

Targeting a 40% profit, we aim to sell the calls at $1.70.

3. April 17 $105 Calls (More Time, Moderate Risk)

The April 17 $105 calls are currently trading at $2.85.

With more time until expiration, this trade carries less risk than the March 28 calls while still offering strong upside potential.

Targeting a 40% gain, we plan to take profits at $3.99.

Final Thoughts

PLTR has shown strong technical momentum after confirming key support levels. With multiple ways to trade this move—stock, short-term calls, and slightly longer-dated calls—there is flexibility for different risk appetites. As always, risk management is key, and traders should adjust position sizing accordingly.

Stay tuned for updates on PLTR as we monitor its next move! Lock in our Discord.