Chart of the day

Where do we stand fundamentally?

Palantir Technologies is riding the AI wave with strong financial performance, significant customer growth, and expanding government contracts. However, its high valuation and competitive pressures pose risks. Investors should weigh the company’s growth potential against its stretched valuation before making investment decisions.

Palantir reported a 36% year-over-year revenue growth, reaching $828 million, driven by strong demand for its AI-powered data analytics solutions. U.S. commercial revenue surged 64%, while government revenue grew 40%

The PLTR is reaching the high of this cycle's 5th wave 120 level. This is strong near-term resistance for an upside continuation, and I see this as the end of the fifth wave upside from 5. A break above 120 can invalidate this view and lead to an immediate extension higher in the fifth wave.

We are in a possible fifth-wave finish here to confirm that we need to see a pullback and a break below 110. A breakout above the resistance 120 level will lead to an extension higher. A break below 110 will confirm the end of the fifth wave.

_{You can take a near-term short-trade entry with an SL above 125 to target 100 and lower. You can trade it with options as well.}