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.

Comment:

*global socio-political issues are also afoot, be cautious in the markets, it seems a lot of smart money is sidelined and waiting for a clear direction in this 2022 market across the board.