Three Beaten-Down Software Stocks Flash Fresh Buy Signals

Trade Risk (Evan Medeiros)
Trade Risk (Evan Medeiros)Apr 28, 2026

Why It Matters

Identifying these rebound setups lets traders exploit undervalued software stocks before broader sentiment shifts, potentially delivering strong risk‑adjusted returns.

Key Takeaways

  • Market pullback offers swing‑trade entry points in beaten‑down software.
  • DataDog targeted entry $125, stop $116, first target $152.
  • Rubrik shows 60% correction, entry near $48, target $66.
  • Duolingo entry $100.56, exit $94, target $116 after earnings gap.
  • Quant Rockets momentum model flags these three stocks for upside potential.

Summary

In the video, market analyst Evan highlights three heavily‑discounted software stocks that his Quant Rockets momentum model now flags as fresh buying opportunities, despite a broader market pullback.

He notes the S&P 500 and Nasdaq are down about 0.75% and 1% respectively, but the overall swing‑trading environment remains bullish for a 13‑day stretch, making pullbacks attractive for adding exposure.

The three names are DataDog (entry $125, stop $116, target $152), Rubrik (entry near $48, stop $45, target $66) and Duolingo (entry $100.56, exit $94, target $116). Each has recovered from a 50‑60% correction and is forming a sideways range that the model interprets as a potential 2:1‑to‑2.5:1 reward‑to‑risk setup.

Evan stresses these are tactical trades, not long‑term bets, and that the model’s signals could help traders capture upside while the broader market remains structurally positive.

Original Description

Markets are pulling back modestly but remain in a constructive swing trading uptrend. In this video, we break down three beaten-down software stocks: $DDOG, $RBRK, and $DUOL all flashing fresh momentum buy signals as they attempt to bottom and rotate higher.
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🕒 Episode highlights
0:00 Market Pullback and Earnings Week
0:57 Bullish Market Environment Explained
2:06 $DDOG Trade Setup Overview
4:03 $RBRK Setup and Structure
5:38 $DUOL Strongest Setup
6:39 Final Thoughts on Software Trades
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Founded by Evan Medeiros, the Trade Risk helps traders navigate the stock market with rules-based strategies and data-driven market insights.
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This video is intended for informational and educational purposes only and does not constitute investment advice. The Trade Risk LLC is not an investment advisory service, registered financial advisor, or registered broker-dealer. The risk of trading in securities markets can be substantial. The Trade Risk may hold positions in the securities discussed in this video. You are responsible for your own financial decisions. Please review The Trade Risk’s disclaimer https://www.TheTradeRisk.com/disclaimer?utm_medium=social&utm_source=youtube&utm_campaign=marketrecapvideo&utm_term=descriptionsection which applies to the contents of this video.
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