Square is up 200 percent in the last year and has more room to run. Here's why

Square shares just saw one of their best days since the company went public, and some market participants see further upside for the stock.

The mobile payment company, which has soared 198 percent over the course of the last year as investors have begun looking at the stock as somewhat of a bitcoin proxy, hit an all-time high in Monday trading as it surged nearly 10 percent. Monday's session was the stock's fifth-best ever, behind two sessions in 2016, one session in 2017 and the day of its initial public offering in November 2015.

In a weekend report, Ari Wald, Oppenheimer head of technical analysis, wrote in a note to clients that Square — along with the broader technology sector — is technically positioned to post further gains. Here are his reasons.

• The S&P technology sector is breaking to the upside relative to the broader index, and its strength has been broad-based across both market capitalizations and sub-industries. Its resilience against rising interest rates, too, has been notable.

• Square, which Oppenheimer fundamental analysts rate a "buy," exhibits a bullish technical trend.

• The stock just broke above its November 2017 high at $50 per share, closing Monday at $50.42, an all-time high.

• Given the bullish trend exhibited so far this year, with a 45 percent rally year to date, an upside breakout is likely to emerge.

Bottom line: Square shares have surged triple-digits in the last year, and one top technical analyst sees further upside ahead.

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Michael Santoli

Michael Santoli joined CNBC in October 2015 as a Senior Markets Commentator, based at the network's Global Headquarters in Englewood Cliffs, N.J.  Santoli brings his extensive markets expertise to CNBC's Business Day programming, with a regular appearance on CNBC's “Closing Bell (M-F, 3PM-5PM ET).   In addition, he contributes to CNBCand CNBC PRO, writing regular articles and creating original digital videos.

Previously, Santoli was a Senior Columnist at Yahoo Finance, where he wrote analysis and commentary on the stock market, corporate news and the economy. He also appeared on Yahoo Finance video programs, where he offered insights on the most important business stories of the day, and was a regular contributor to CNBC and other networks.

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