As the Nasdaq soars to new records, Rich Ross of Evercore ISI has three stocks to buy at all-time highs.
The tech-heavy index hit an intraday record on Wednesday, its 73rd this year, and Ross pointed to some of Wall Street's favorite names for more gains.
"It's a trend-followers' paradise out there, and I'm serving up the classics for the holidays. It starts with the big bird [Apple]," Ross said.
"There's a lot to like about Apple. … we like a lot of things about this chart, but what we like most is the symmetry with prior rallies," Ross explained.
On a long-term chart of Apple, he noted that the stock saw a steep 40 percent decline back in 2012 but then was able to rally 140 percent, which created a big base of support. "Now we carve out an eerily similar multiyear base of support, and of course we've broken out in decisive fashion from that big base. … right now we're talking about a 90 percent move [so far], I think we could have as much as another 50 percent move here," Ross said.
Apple stock has surged 50 percent this year and is sitting just below its all-time high. "Apple is the first name on your shopping list of things to buy at an all-time high," Ross added.
"Can't talk the holidays without Amazon, another king of the jungle," Ross said.
"What we like about Amazon is the failed head-and-shoulders. It's the head-and-shoulders that doesn't break that neckline," Ross noted. A head-and-shoulders pattern refers to when a stock makes a high, rallies to a higher high and declines back to the lower high. He explained that the stock was able to test and hold the neckline at the $940 level and now has formed a bull flag pattern. Technicians often look at these formations as confirmation that an uptrend will continue.
"I think Amazon goes to $1,250 to $1,300," Ross said. Amazon hit another all-time high on Wednesday, and shares have rallied more than 52 percent this year.
Lastly, Ross pointed to China's tech behemoth, Alibaba. The stock has soared more than 117 percent in 2017, and Ross noted that the charts are showing even more gains ahead.
Looking at the chart, Ross explained that Alibaba was able to break out of a multiyear base of support, much like Apple. "Once again, you've got an impulsive move, but you've also taken a form of that big bull flag that's going to carry Alibaba higher," Ross said.
Furthermore, Ross said that because Alibaba hasn't been trading for very long, there's no indication of where the resistance level is. "Buy the stock here on strength," Ross added.