Feeling fortunate on Friday the 13 th ? It’s time to dive into the pungent software program dumpster. The sell-off within the iShares Expanded Tech-Software program Sector ETF (IGV) has been arguably one of the crucial extreme within the software program sector’s historical past exterior of main recessions or crashes like 2008 and 2022. I need to use choices to outline my threat, keep away from the stench, and specific a bullish view after traders have endured a greater than 20% correction on this main software program ETF, the IGV. A major sell-off in software program shares has been triggered by investor considerations that highly effective new AI coding instruments from Anthropic and OpenAI may disrupt the trade and varied sectors have felt the wrath. Even a journey web site like Expedia is down 15% within the final two buying and selling days because of traders’ worry that AI-powered search and reserving instruments will disintermediate conventional reserving websites by permitting customers to plan and guide journeys with out leaving a search engine. Seemingly no inventory is protected from the notion that it’s replaceable by AI to some extent. On Feb. 5, 2026, IGV traded all the way down to $79.27 — not fairly buying and selling below “liberation day” lows of $76.68 — reflecting a one-day decline of just about 5%. This decline aligns with a broader market repricing of AI-related and enterprise software program equities, as traders more and more have turned leery of near-term monetization alternatives and balance-sheet self-discipline over unrestricted AI spending. High 5 names in IGV are: Microsoft , Palantir , Oracle , Salesforce , Applovin , which on common are down 40% from their respective all-time highs within the final six months. These 5 shares signify a 38% weighting of the IGV ETF. IGV has entered excessive oversold circumstances, registering a RSI degree of 14.85 earlier this month. I need to promote a put to finance an upside name, higher often known as a threat reversal. Nonetheless, there’s threat that IGV craters even decrease and you’ll be “put” to personal this ETF. Long run, I need to personal all of those names and I have already got a long-term place in IGV. The Commerce Bought March 20 IGV $81 put for $3.50 Purchased March 20 IGV $83 name for $3.50 This can be a zero-cost unfold and was executed whereas IGV was roughly buying and selling at $81 An investor have to be ready to personal IGV at $81 within the occasion IGV strikes decrease within the subsequent month. DISCLOSURES: Kilburg is lengthy IGV and owns this unfold. All opinions expressed by the CNBC Professional contributors are solely their opinions and don’t replicate the opinions of CNBC, or its father or mother firm or associates, and should have been beforehand disseminated by them on tv, radio, web or one other medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL’S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click on right here for the total disclaimer.