Palantir (PLTR) – At the Crossroads of Momentum and Valuation

Palantir Technologies Inc. (NASDAQ: PLTR) is trading near a critical support/resistance zone, defined by a long-standing red descending trendline. With price action hovering around $188–$190, the next few candles could determine whether bulls regain control or if valuation concerns trigger deeper consolidation.

Technical Outlook

• Current Price Zone: ~$188.85
• Breakout Trigger: A close above $197.38 could unlock momentum toward $219.00
• DCA Opportunity: If price pulls back to $180.93, it presents a tactical entry for dollar-cost averaging
• Deeper Buy Zone: $157.71 – where bulls may re-enter with conviction
• Bearish Risk Level: A close below $157.71 could expose $141.98, though this remains a lower-probability scenario
• Trend Structure: Bullish bias remains intact above the blue ascending trendline

This setup offers both short-term tactical entries and medium-term breakout potential, especially for investors who understand the volatility of AI-driven valuations.

Market Sentiment & Fundamentals

Bullish Catalysts

• Wedbush Raises Target to $230: Analysts cite explosive demand for Palantir’s AI platform and government contracts
• Q3 Revenue Surge: $1.18B in Q3, up 63% YoY, beating consensus estimates
• Commercial Business Growth: U.S. commercial segment jumped 121% YoY, with RPOs up 66% to $2.6B

Bearish Pressure

• Valuation Concerns: RBC Capital warns of a potential 76% crash, citing unsustainable EV/revenue multiples
• Michael Burry’s $912M Put Position: Signals institutional skepticism despite strong earnings
• Post-Earnings Selloff: Despite beating estimates, PLTR dropped 8% in premarket trading — a sign of profit-taking and valuation anxiety

Legacy Ladder Perspective

Palantir presents a high-risk, high-reward equity play for investors who:

• Understand the volatility of AI and SaaS valuations
• Are prepared to DCA during pullbacks
• Can hold through short-term noise for long-term upside

We remain cautiously bullish, with tactical interest at $180.93, deeper accumulation at $157.71, and confirmation of breakout strength above $197.38. The $219.00 target remains valid if momentum resumes and valuation concerns ease.