SOXX trade ideas
SOXX DailySOXX, the range bound sucker that won't die. This thing has a long ways to go if a correction comes. Short AMAT or NVDA.
Semis OverviewThe two overcrowded trades of 2021 are financials and Semis. May pick up AMAT shorts sometime soon.
When the Party at SOXS is too goodThe party at SOXS is never that good. But sometimes things come together. As you can see when everyone has arrived it is time to leave and move the party back to SOXX.
SOXX Bearish DivergenceOne word: SAD.
Buyers need to come in and push the price higher, otherwise we're looking at a double top situation.
This True Range Algorithm is Signaling a Short Term PullbackOn average a position was held about 7 trading days. Check out the strategy results below for detailed statistics.
Zoltar says: SOXX come to daddyAlmost in the buy zone (box). Might start adding some tomorrow if decline continues.
Semiconductor sector (SOXX) seem ready to turn its trendSemiconductor sector seems ready for a trend change. Since the March low, the sector has ran up more than triple digit percentage. As much as the sector is damaged less than retail and hospitality, it is very cyclical sector and it does get affected by business cycle. Semi is the canary in a coal mine of the tech sector (XLK), so when this turns, it will be a headwind for the entire tech sector as a whole. When the tech breaks, the market breaks for its heavy weight on the indexes.
Recently broke the minor yellow up trend line and reversing right at the long term trend line since last spring.
Initial target is the bottom of the trading range. $404ish depending on when it hits it.
2nd target is the horizontal support right below the channel. $384.46
As how bullish the overall sentiment is in the market recently, once it turns, it will be pretty quick move downward. Potential long term targets are listed but SOXX will not going to fall double digit without if XLK and indexes are resilient.
Only the time will tell but it will be prudent and be cautious. Scaling down on aggressiveness won't be a bad idea and have some hedges.
Have a good trade everyone,
T.
Semiconductors is way overpricedCorrection in semicoductors started. There are options, depending on market
SOXX 5smaNotice how the 5sma has been resistance for the SOXX for the past 12 trading days (red oval).
This tells us that short-term, SOXX has to break the 5sma to get out of its current down-trend.
The purple line is the 50sma, which is now also resistance, as we crossed below it, and is now touching the 5sma.
SOXX 30 min view SOX stronger than XLK and QQQ but formed daily chart divergence peak.
30 min chart sees RSI break down 50 together with HA bar showing bearish head.
Disclaimer, this is only for entertainment and education purposes and doesn't serve by any means as a buy or sell recommendation.
Personally I hold both long term long positions and occasionally short term short position, for disclosure purpose.
Semiconductors looking interestingSmall explanation:
Long over 294, below that is danger and stops hit, signaling possible test to lower levels
On each of those lower points, if possible accumulating long positions for long term
