SOX trade ideas
$SOX looking very bearishMajor sell set up on the weekly in $SOX as previously posted this sector has been
extremely strong, now looks to be making a possible major top
$SOX daily sell set uphigher price attempts with lower technicals = sell set up, if/when this drops below next major fib 61.8 on the RSI
expect lower values in the sector and lower prices in semi's across the board
SOX major sell setPossible major top set in the semi's, confirmation may the this week or my fail this week.
This means all in the sector will be a sell or see a correction, NVDA is also the same set up.
Short Semi conductor (SOX)Bearish rising wedge is formed. We should see a sharp fall next week or two and head towards 990s. Good luck!
Bearish Engulfing Stick on Weekly $SOXAlso on stocks such as $MU, $NVDA. Possible momentum change to the downside, i would advise caution here to buyers looking to go long on this dip.
Still think SOX is due a decent pullbackCould continue higher short term, but I think Friday was a precursor
Short Semi conductor stock Long overdue for a big correction. Almost at levels seen prior to 2008 crash. Tech is getting mature and will eventually get cheaper which will effect profit margins.
SHORT.600% run from 2008 crash due to QE. 38.2% FIB retracement pointing towards below 700. Strong Short in my opinion.
Semiconductor resistanceSemiconductors have been raging. Their rage is close to an end. They have reached a significant resistance level and should be due for a sharp drop.
SOX Index: Where Is The Growth?Earlier today I presented several charts for Intersil Corporation, a leader in the design and manufacture of high-performance semiconductors. ISIL products are used in some of the industry's fastest growing markets, such as flat panel displays, cell phones, other handheld systems, and notebooks. At the time I cautioned you about an Index that your stock choice might be in. ISIL is not in the SOX Index, but, INTC, ASML, CY, MU, ON,, XLNX, all are. You could run charts for all of these, and they would mostly look like the index. But what if you found a real gem of a semi-conductor stock? Could you buy it if the SOX Index is likely to decline?
The SOXX-ETF mirrors the SOX Index. Be careful when you find a strong stock if the particular issue you are interested in is in a weak or declining index.
If the selling in the index is powerful enough your gem of a stock will probably go lower, too, because the "manager" may have to sell your "gem" to raise funds.
This is one of the reasons even great stocks decline. BUT, study your STRUCTURE, and enter at KEY support levels. After all, it's your money. Spend it wisely.
Look, the markets are a tough neighborhood. To quote the late, great Rodney Dangerfield: “I came from a real tough neighborhood. Once a guy pulled a knife on me. I knew he wasn't a professional, the knife had butter on it.”
I hope all of your trades go well. Don.
SOX(Weekly). Rising Wedge.PHLX Semiconductor Index.
Potential Elliot Wave ending Diagonal. Rising Wedge.
ABCD.
50% Fibonacci retracement of 2000 high.
Copper Has Been ReplacedCopper in my opinion has been replaced by technology, specifically semiconductors. The market seems to be much more focused on the happenings of Silicon Valley rather than Milwaukee or Detroit. While the industrial sector still remains a large piece of our economy it no longer is the driver of growth. At least that’s what price action has been telling us.
The chart below shows the performance of the S&P 500 (black line), the Semiconductor Index (red line), and the spot price of Copper (green line). You can clearly see that copper has not been enjoying the bull market party while semi’s have been moving right along with the market. It’s a little hard to see, but in 2011 we saw semiconductors break away from the S&P 500 as the industry made a lower low, a divergence that the equity market eventually fixed by falling in price by nearly 20%. Ever since then we’ve gotten confirmation by the semi’s of the new highs in the S&P.
It seems Copper has been expelled while the semiconductors step to the front of the class.
SOX IndexSemiconductor Index. (Weekly)
2000 top, crash. 12 to 13 years base.
Current leadership Sector with solid breadth,
new highs Advance Decline Line.
2000 high, 50% retracement at 750 level.
38.2% 611.
61.8% at 887.
trend_lines plotted.
