Public trading strategy
Wall Street loves the AI storage boom — ride the momentum on Western Digital and
Thesis
Major Wall Street firms are significantly upgrading their outlook on storage companies because the artificial intelligence boom requires massive amounts of data storage. When momentum like this starts and analysts aggressively raise their price targets, the stock usually keeps climbing for weeks as other investors catch on. Buying these strong, trending companies on their good news is a classic way to ride the broader tech wave.
Strategy approach
Build a rule-based momentum strategy that enters long WDC and STX on the daily timeframe when price closes above the 20-day simple moving average and the 14-day RSI is between 55 and 70. Exit if price closes below the 20-day SMA. Use a 10% trailing stop and a maximum holding period of 30 days.