SMH breaks above its updward, reversal likely Short
VanEck Semiconductor ETFNASDAQ
Description
⋅ SMH has gone on a wonderful tear the last year and has recently showing signs that it is way overbought and due for a correction.
- From a 1W period we see that SMH has broken above year long upward trend.
- This is a first for SMH to do over the last year
- The ETF has gone through some notable contractions like from Aug - Oct of 2023. This occured without breaking above the trend.
- RSI 20 is now also for the first time showing that it has reached above 70 in over a year.
- We should expect a decent contraction or elongated pull back in time to correct fore this over purchasing it went through.
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