Tech Leadership Attempting Bullish Breakout
Chris Kimble | Feb 04, 2023 01:14
Last year’s stock market decline was punishing and no one was hit harder that tech and growth stocks — and leadership groups like the Semiconductors.
What leads the way up often leads the way down in bear markets.
But, Semiconductors are trying to change their fortune, and perhaps the fortunes of the broader market.
Today, we look at a weekly chart of the VanEck Semiconductor ETF (NASDAQ:SMH). As you can see, SMH fell 50%, where it hit its 6-year rising trend support line, which looks to have held.
And the rally off this trend line looks like a full U-Turn may be in play. Strength of late has SMH working on a bullish breakout of an inverse head and shoulders pattern.
A breakout from this tech leader sends a bullish message to the broader market. Stay tuned.
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