To The Moon

As we have the U.S. government averting another shutdown, so now the next interesting to look at is are you looking forward for a Santa Rally this week (23 Dec).

If you have been following how last Friday session closed, Volume on the New York Stock Exchange and on the Nasdaq rose. Friday is a "triple witching" day of options expirations.

Advancing stocks outnumbered decliners by more than 7-to-2 on the NYSE and by about 11-to-5 on the Nasdaq, according to FactSet. All 11 S&P 500 sector indexes finished higher, the first time that's happened since 05 Nov.

The small-cap benchmark Russell 2000 rebounded 0.9% but had been up as much as 1.9%. The Innovator IBD 50 (FFTY) exchange traded fund outperformed, gaining 2%, although it too pared gains.

With market showing strength of a comeback, I am looking for stocks which might give us an opportunity as they tried for a santa rally.

One of the names that I have held, Palantir have make a nice upside with more than 8%, but I am looking for technicals to show us that there is opportunities beyond the current.

Palantir Helped S&P 500 Technology Sector

Among the Magnificent Seven, Tesla (TSLA) reversed more than 1% higher. Meta Platforms (META) did the same, while Microsoft (MSFT), Amazon.com (AMZN) and Apple (AAPL) also reversed higher. Alphabet and Meta are in the IBD Leaderboard model portfolio.

Nvidia (NVDA) gained ground Friday after the stock finished higher Thursday, though it is still trading below the 50-day moving average, but the significant gains from $Palantir Technologies Inc.(PLTR)$ deserve our attention. It has risen by 8.54% on last Friday.

From the technical, we are seeing Palantir to go higher as my previous article which mentioned that 69 is the level which we can consider to enter, and Palantir have managed to stay above it, and move above the $80 dollars.

It is trading way above the short-term and long-term MA, and we are seeing MACD despite in a bearish movement, display a potential bullish MACD crossover in the making.

MTF is also giving a strong upward trend, and this might be a chance for investors to watch the price action on Palantir for another possible opportunity to buy before 2025 and for a possible santa rally.

Innodata (INOD) Another Potential Data Services Stock

As AI development matures, the focus on how data is being processed will be more important, and Innodata, the partner of choice for data quality, scale, and agility, with contracts already in place with five of the "Magnificent 7" tech giants, and two more deals expected later this year.

Similar to Palantir, Innodata's decades of experience and expertise in data annotation and AI will position the company as a leader in the rapidly growing field. I

Innodata's capabilities in delivering high-quality data and agility as key strengths that will drive its success in the AI market.

And from the technical we are seeing $Innodata(INOD)$ breaking out positively from its consolidation since last Thursday to trade higher than the short-term and long-term MA, and a potential bullish MACD crossover is coming. MTF just helped the confirmation with a strong upward trend.

Summary

I will be watching these 2 stocks which are data services focused, this is an important part in the AI development cycle. I have mentioned in many of my articles, so now it is time to take advantage to enter if you have not.

For Palantir, current price at $80 might seem to be expensive but do watch out for a possible short pullback before it go into a rally.

For INOD, the current price at around $43 might be something you can consider, as this might be another palantir in the making.

I will be watching to get into INOD to capture the opportunity that AI data services stocks might present to us.

Appreciate if you could share your thoughts in the comment section whether you think INOD would be gathering for a santa rally with Palantir.

@TigerStars @Daily_Discussion @Tiger_Earnings @TigerWire appreciate if you could feature this article so that fellow tiger would benefit from my investing and trading thoughts.

Disclaimer: The analysis and result presented does not recommend or suggest any investing in the said stock. This is purely for Analysis.