Strong Buy SignalWhaleFlow giving us a Buy signal close to the Bollinger band support line.
Semiconductor stocks will have a strong push.
SOXL etf pushing aswell
SOXL
Direxion Daily Semis choosing the direction with the bears. SOXLGoals 33, 21. Invalidation at 100.
We are not in the business of getting every prediction right, no one ever does and that is not the aim of the game. The Fibonacci targets are highlighted in purple with invalidation in red. Fibonacci goals, it is prudent to suggest, are nothing more than mere fractally evident and therefore statistically likely levels that the market will go to. Having said that, the market will always do what it wants and always has a mind of its own. Therefore, none of this is financial advice, so do your own research and rely only on your own analysis. Trading is a true one man sport. Good luck out there and stay safe
SOXL Pinch Descending triangle squeeze between $28 zone support of December 2020 and March/May 2021 and resistant downtrend line around $34 since Jan 2022. Break down looking at $21 range, if it happens. $28 has been tested several times and could hold again.
SOXL bearish double top*disclaimer*
I haven't published anything outside of the crypto markets publicly. However, I have had my eye on SOXL, Direxion Daily Semiconductor Bull 3X Shares ETF.
I originally thought that earnings for NVIDIA were going to boost the asset and asset class, however it seemed to me the night before earnings that the earnings call was already priced in.
Looking at an 8 hour hollow candle chart here going back to fall 2021 makes the picture a bit clearer for me (when in doubt zoom out).
SOXL did a bearish double top between late November 2021 and early January 2022. And now volume is kicking up heavily on the sell side. Especially when current volume is compared to moving average for volume.
If the NVIDIA earnings call wasn't enough to lift, and rumors about auto manufacturers continue to slip in through the cracks, I see plenty of downside correction left for SOXL.
That being said, this is part technical and part "buy the rumor, sell the news" analysis and I will keep my eye on this sector which has been outperforming.
SOXL forming a new range?Since we're now below the 200 MA and re-confirmed the prior resistance levels we are looking to create a new range.
The Market is full of fear right now, Rate hikes, emergency FED meetings, fears of a war in Ukraine, Long term fears of stagflation, or recession.
When you see the solid companies in this sector (NVDA, AMD) getting hit you know people are selling everything.
I just put some lines on the chart of prior support level. It's around 28 +- That would be a 30% drop.
Since this is a 3x ETF that would be an approx. 10% drop in the PHX or SMH. According to Tom Lee of fundstrat, a 1% raise in interest rates is usually accompanied by a 10% drop in Equities. We've already had a 10% SPY correction, so now the market is starting to price in some more interest rate raises.
Price prediction for SOXLbased on the VIX retreat from it's highs, and the bounce of SOXL off it's 50% fib retreat level, I predict a bounce back to 45+- in the next 2 weeks or so.
Of course watch the SPX and SOX and SMH for more relevant fib levels.
If this bounce materializes just remember it is simply a bounce in a downtrend. Sell the rips hard.
Up 25% then down again.
Short SOXL CMP $59.74Short SOXL CMP $59.74. Broke out from channel early Nov 2021. Recent price action broke price below 50 SMA with volume. Heading towards $55 area now which was recently tested. If downtrend continues then $55 may not be hold for long and will finally see $48 which happens to be 200 SMA price level as well.
SOXL Price prediction for 1/21/22We should get a bounce at the first fib 47+-
Second fib is 38+-
A 1 percent rise in bond yields is approximately 10% drop in the SPY or NDX
If you think we'll see 4 rate hikes this year that would be 2% rise in yields, or 20% drop in SPX
SOXL price prediction for 12/25/21SOXL has been ranage bound for several weeks now and is loosing momentum. BASED on fibonacci trend regresion and prior lines of support and resistance I predict that SOXL will drop out of it's current range and bounce at 46.02 +- This level was it's prior resistance.
SOXL trend past 2 yearstrends SOXL/semis have displayed last 2 years.
Just a trend analysis study.
Observation: SOXL is more wilder than TQQQ for sure, though both are leveraged 3X, and is harder to trade vs TQQQ
If you like Sushi you need to read this!Betting against the market has increased significantly!
In the past 2-4 weeks the volume of the 4 inverse ETFs has increased significantly (+2x)!
This means lower prices are more likely!
What could happen in the next 3 weeks if prices pass the Red lines?
Market Reversals and the Sushi Roll Technique:
In his book "The Logical Trader," Mark Fisher discusses techniques for identifying potential market tops and bottoms.
Capturing trending movements in a stock or other type of asset can be lucrative. However, getting caught in a reversal is what most traders who pursue trendings stock fear. A reversal is anytime the trend direction of a stock or other type of asset changes. Being able to spot the potential of a reversal signals to a trader that they should consider exiting their trade when conditions no longer look favorable. Reversal signals can also be used to trigger new trades, since the reversal may cause a new trend to start.
One technique that Fisher discusses is called the "sushi roll." While it has nothing to do with food..!
The "sushi roll" is a technical pattern that can be used as an early warning system to identify potential changes in the market direction of a stock.
When the sushi roll pattern emerges in a downtrend, it alerts traders to a potential opportunity to buy a short position, or get out of a short position.
When the sushi roll pattern emerges in an uptrend, it alerts traders to a potential opportunity to sell a long position, or buy a short position.
A test was conducted using the sushi roll reversal method versus a traditional buy-and-hold strategy in executing trades on the Nasdaq Composite during a 14-year period; sushi roll reversal method returns were 29.31%, while buy-and-hold returned 10.66%.
Sushi Roll Reversal Pattern
Fisher defines the sushi roll reversal pattern as a period of 10 bars in which the first five (inside bars) are confined within a narrow range of highs and lows and the second five (outside bars) engulf the first five with both a higher high and lower low.3 The pattern is similar to a bearish or bullish engulfing pattern, except that instead of a pattern of two single bars, it is composed of multiple bars.
Best,
Moshkelgosha
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Reference Article:
www.investopedia.com
QQQ trendRecent Choppy market has left QQQ's and Semis bruised but not badly injured yet.
Here's my strategy to monitor if things normalize.
SOXL - SEMI's ON THE RUNI alerted on our Twitter @alphatradersinc that SOXL over $41 is a buy and any name in the index you can buy and be happy with. So far so good. Look for SOXL names to lead us to the ripper.
SOXL waiting to close above 47.34 for weekly chartIt has been a long wait for SOXL since march 2021, we have been patient for the past 3 months and we pray that the breakout is coming soon.
SOXL - Semi's may go again? Looking at $SOXL we can see a daily close above $41.85 can usher in $43.39 this week. Would be a monster trade for $LRCX going into earnings if $SOXL is moving like it can. Possible to see $LRCX at $700 by earnings date.
SOXL review. HAMMER OF THOR At this rate, it can be seen that the probability of a decline is much higher. Tomorrow may show a slight rise. But it looks like it will go down soon. Waveforms fall to rise and rise to descend. Don't be fooled by this.
Well, it could be different if you break through the place where the hammer used to be. keep updating.
SOXS, say hello to bull right here. EACH FIB TARGET PRICE .
If soxs rides the uptrend like this, (soxl is down), there are 3 expected levels. Among them, the highest level price is expected to be 9.4$. This is about 15% profit.
SOXL Blocked by fib line
expect a decline. gap-up, but the Fibonacci fan line NEVER LET THAT HAPPEN There is not enough rising waveform. GO SOXS
SMH about to breakoutSMH (the Geek) was resting in the small 4 day week moving laterally but was ready to breakdown on Thursday. But the jobs numbers on Friday being moderately light vs expectations made one more month of positive news for the market signaling "transitory" inflation. That was the turning point as mentioned in my last weeks report. An engulfing candle on Friday and an uptrend MACD makes this extremely bullish. After Fridays action, I see Geek moving higher as 3/4 of the stocks in the group got pummeled way under 21 day ema. This put those stocks this coming week trading above 8 day ema at least. Its possible that it can rest here for a couple of days as well.
SOX, SMH needs to hold hereTheres a saying that SEMIs lead the market. $SMH finally broke an upper band trendline that took alot of work to do because of very little volume. Its tired and wants to rest. This is an important test but bids need to come back. Will June be the month when buyers pile back in? My gut tells me we hit 252 this week then break down again or at least stay above the band. Stocks that had great earnings but got slaughtered will do well. $SMH will be range bound till July earnings.
