Semiconductors Leverage Machine Starting to Wobble

The AI-driven semiconductor rally is showing signs of stress as technical patterns like the shooting star and record downside candles in leveraged ETFs (SOXL) emerge.

Key Takeaways

• 1.Semiconductors and major tech indices are showing signs of exhaustion after a vertical squeeze, with the NDX forming a 'shooting star' candle pattern.
• 2.The SOX (Semiconductor Index) has hit the upper end of its trend channel and is reversing toward its 21-day moving average.
• 3.Leveraged instruments like SOXL are experiencing record downside volatility, putting late-stage momentum chasers at risk.

Table of Contents

• Mini Wobble
• Shooting star
• Extended
• Massive
• Teflon tech
• The gap
• Time for the funder?
• Gone

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