"Technology stocks are outperforming the broader market and should lead the next rally," says Elliott Gue and Yiannis Mostrous. co-editors to Personal Finance newsletter. Here, they look at three favorite technology stocks: Cisco Systems (CSCO), IBM (IBM) and McAfee (MFE).

They explains, "Global Internet traffic is projected to grow 40 to 50 percent annually for the foreseeable future. According to Cisco, wireless data traffic is growing at an annualized rate of more than 130 percent, solid fundamentals.

"In the first quarter, 82 percent of S&P 500 companies beat earnings estimates, whereas 90 percent of the index's technology names though it accounts for less than 1 percent of total traffic.

Jack Adamo looks to Novatel Wireless (NVTL) as a new buy. In his Insiders Plus newsletter, he assesses the firm's newest products and recent insider buying.

"Novatel provides wireless broadband access solutions for the mobile communications market worldwide. The company offers third generation (3G) wireless PC card and ExpressCard modems, embedded modems, USB modems and other fixed-mobile convergence solutions. It also provides many related support services.

"Novatel recently pulled back from a huge run-up to a near-term high of $14 after announcing a mixed shelf-offering. The market did not like the possibility of earnings dilution from more shares.

Garmin International (NASDAQ: GRMN) is the latest Spotlight Stock from relative strength expert Dan Sullivan. The editor of The Chartist newsletter explains, "Since the time Garmin's GPS handheld units were first used in the Gulf War, the company has build a reputation for innovation, quality products and superior customer service."

He continues, "Its GPS products employs a proprietary integrated circuit and receiver designed to collect, calculate and display location, direction, sped as well as other information depending on the specific use of the customer.

Products, he notes, are sold in more than 100 countries with its consumer products being sold through retails chains, consumer electronic stores, sporting good, marine retailers and catalogs.