Buying the Dip in the MAG7s

For the past few months, market leadership has been clear.

Energy and international stocks have carried the torch while mega-cap growth cooled off.

Those trades worked well — but after such powerful moves, many of them are starting to look extended in the short term.

And when leadership gets stretched, the market usually looks for the next area of opportunity.

Right now, mega-cap tech stocks are starting to look interesting again.

The Roundhill Magnificent Seven ETF is finding support right at a key zone.

This level marks a confluence of interest: it’s where the anchored VWAP from the April lows sits, and it also aligns with last year’s highs.

Former resistance is now acting as support — classic polarity in action.

In other words, this is the line in the sand.

As long as MAGS holds above 60, the bulls remain in control, and the case for a rebound remains intact.

That’s the bet I’m making.

Looking for opportunities in these names right now wouldn’t be unreasonable — especially with risk so clearly defined.

In fact, we’ve already stepped in with call options in Microsoft and Broadcom as part of the Wave Trader approach.

This is a short-dated options strategy that Steve Strazza has been refining for years — a clear process designed to identify trades with the potential to deliver 5x to 10x winners in just a matter of days.

If you want to learn how to trade short-dated options and see the process behind this strategy, Steve is hosting an exclusive event this Thursday at 4pm ET.

Reserve your spot today — don’t miss it.

Alfonso De Pablos, CMT

Director of Research, All Star Charts

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