If this wildly bullish call for a tech surge comes true, it won’t be due to FAANGs

The technology sector is riding its way into uncharted territory, and not just on the back of juggernaut like Amazon  and Apple either. The bears who paint this stock market’s resilience as dangerously narrow, of course, would have you believe otherwise.

But no, as technical analyst J.C. Parets, founder of Eagle Bay Capital, explains in our call of the day, there’s a clear firming up going on underneath the surface that could be signalling more gains ahead.

“I’ve been pounding the table on technology because it’s been outperforming on an absolute basis, but also on a relative basis,” Parets explains “Tech is not just going up, it’s beating all the other sectors.”

He points out in a post on his All Star Charts blog that the S&P 500 Equal Weight Technology Portfolio  has broken out of a four-month base to push through record highs, and [caution: obvious comment incoming] that’s a characteristic of uptrends, not downtrends.

“This is not a rally being led by fewer and fewer names,” Parets says. “This is a rally where participation is expanding, not contracting.”

He then references this chart:

“I’m not sure about you, but I see a breakout above the March 2000 highs, a successful retest and now the beginning of a new leg higher that can take technology  up another 40%,” Parets predicts.

Another 40% on top of this tech performance is certainly a bold call. But so far, so good, with stocks building on last week’s jobs-related surge.

The market

The Dow   , S&P  and Nasdaq  are all in rally mode early. Asia got off to a strong start, and European markets are in the green in the first half of their session. Gold and crude are dancing around the breakeven point.

Check out the Market Snapshot column for more.

The chart

There’s lots of speculation swirling around Deutsche Bank’s  recent troubles and the potential ripple effect it could have on the banking industry. Last week, hedge-fund manager Doug Kass warned of a “profoundly real” negative impact should things continue to go sideways.

In that spirit, Zero Hedge posted this ominous chart overlay:

Money manager Peter Schiff warned in an interview that Deutsche Bank may be the most systemically dangerous bank in the world, but it’s just a small part in the grand scheme of the global financial problems.

“Deutsche Bank could be the weak link of a chain,” he says. “This is not going to end well, and I don’t think the Fed is going to be able to save us again. If you get it wrong this time, you’re done. You are down for the count.”

The buzz

Apple’s annual conference for developers kicks off today, with the company expected to focus on quality following a year in which its software grabbed headlines for all the wrong reasons. Read:If Apple makes big news at the conference, it’ll be big news.

Merger Monday: Microsoft  reportedly has agreed to buy software-developer platform GitHub. It’s seen as a potential precursor to a challenge to Amazon’s cloud services dominance.

Elon Musk SpaceX just spiked plans to launch space tourists to loop around the moon this year. Now, it’s looking like the flight, which has drawn an increasing number of doubters, will be postponed until at least mid-2019.

Did you catch “Solo” this weekend? If you skipped it, you’ve got lots of company. Walt Disney  latest “Star Wars” flick disappointed on its opening weekend, and it just got uglier over its second weekend, as the movie made a lackluster $29.3 million in the U.S. and Canada.

The quote

“The idea that we are somehow a national security threat to the United States is quite frankly insulting and unacceptable” — Canadian Prime Minister Justin Trudeau, reacting in an interview on NBC’s “Meet the Press” to President Trump’s decision to impose new tariffs on Canada.

The stat

Everett Collection

$3.3 million — That’s how much an anonymous fan will pay to have lunch with Berkshire Hathaway  Chairman Warren Buffett.

The fan’s winning bid in a charity auction topped last year’s total of $2.7 million, but came up shy of the record $3.5 million.

The economy

Nothing noteworthy in terms of economic data due out today, and the rest of the week looks relatively quiet, as well. The highlight hits on Wednesday morning, when we’ll get a look at the trade balance report from the Census Bureau. The consensus is calling for the U.S. trade deficit to be at $49 billion in April, the same as it was in March. Read:Trump-inspired talk of trade war puts sleepy trade deficit report in the spotlight

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