KLA is an undervalued, obscure stock with bullish technicals and analyst support; it is worth watching for a breakout.

We also have KLA bucking the broader market trend and moving upwards today, up more than 55% since the start of the year, Charles. So, how will you deal with KLA? Yes, this stock is very similar to many AI stocks we see, as it has begun to break free from these short-term technical levels and has the potential to move.

Now, this stock is a little more difficult because sometimes it may rise strongly with the entire AI sector, and sometimes it may deviate and be weak or stand out strongly on its own.

I believe this is an obscure name and an undervalued trading field . Not enough people are looking at it, especially since they split their shares. But with the news of " ASML", this could certainly be a boost for names like " KLAC", "AMAT" and others.

So, like the execution price of 918. Sorry, the contract 918 is at an execution price of 194. This is important, because for me, one of the key dynamics is for the stock to stay above the 187 level, which is the level they are holding today.

Therefore , I want to buy execution options at $194 at a price of $5.80 or less, with a stop loss order at around 40%. I don't think we need a large stop-loss order like the others, because if the stock crashes, it's likely to get caught in a trap.

I also don't think the target for the rise will be too high. I think the rise will only be at around $200, at least for the time being, and that will bring us close to achieving gains of 100%.

If it breaks above $200 , a more powerful breakout is likely to occur, potentially pushing the stock towards $225, but of course we need to break above $200 first. Therefore, this is a quick trade, where we are targeting what I call easy-to-pick fruits that continue to hold this key support level.

I truly believe this stock should be on traders' radar right now .

Well, he's on the radar. It is definitely moving upwards, while the markets are moving downwards. We are now at 189.23. But Rick, when we look at the technical setup here, we find a very different graph than the last two graphs we looked at. What do you see here?

Yes, absolutely. The area near $200 is probably something many traders are watching. It represents this very small gap that we saw. Therefore, the gap opened at around 202. The highest price after the gap tended more towards 200.

So, this might be an area worth watching. But as I said, it's a rather unusual graph here. We have witnessed this very strong upward movement , which peaked at its highest level of 307.37.

But we also experienced a very rapid decline here. However, what stands out is that this area near 169 , which is an ancient peak, was a fairly stable support area . We just saw a bounce off that point here, and now we also find ourselves breaking the descending trendline we saw in the short term, which started with these highs near 215.

So, an interesting setup here if you're looking for the possibility of an additional breakout. Now, to evaluate our moving averages, in this case we are rather in the midst of several of them here.

We have the 63-day exponential moving average in gold pointing upwards at around 196.57. We also have the 21-day exponential moving average in greenish-blue to represent one month at around 186.20 at the moment.

So, these are the two short- term extremes we have here with regard to moving averages. The Relative Strength Index also reflects our price action, as we break through a descending red trend line .

We are also slightly above the midline at 50. Therefore, this would be a double bullish scenario here with these two breakouts occurring in very rapid succession. Regarding the size profile in this case, we have a clear node here that we start to exceed between approximately 174 and 187.

There is a smaller activity zone here near 210 to 220, but the bulk of the trading activity has been here between 140 and 156, including the control point near 145. Analysts are very bullish on this stock, with 65% on the buy side and no sell ratings for KLA Corp with an average price target of 233.77. So, we see a significant rise there as well.