$Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ 126.65Up 5.92, or 4.9%, with a decent push late in the overnight session. Last night SKHY had that sharp spike, which carried into DRAM, MU, and SNDK. Looks like the trade is frontrunning that again, hoping for another squeeze into premarket. Nice.
$iShares Semiconductor ETF(SOXX)$ $Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ Today's move feels like an anomaly to me. Fed liquidity is up, tariff rates are coming down, and the economic data has been dovish, even if the Fed minutes initially sounded hawkish. China is going to use more Nvidia chips, and there are other factors too, like Analog's beat. So I do expect a recovery and a return to ATH before long.
$Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ I've got a buy order set near the 112 to 114 area. A daily gap fill on SOXX could push SOXL to 114.25. On the hourly, an opening gap fill could see SOXL dip as low as 112.05. Pick your spot for a buy order.
$Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ A one-day 25% correction on SOXX would actually be normal and healthy. It would mean a 75% drop for SOXL, but that would also be an amazing buying opportunity.
SPXWatching 7715 as the pivot, with higher levels at 7730 and 7773, and lower support at 7673. I think we could see some recovery at the open. $iShares Semiconductor ETF(SOXX)$ is down 3.7% at 538.25 and should rebound, and the same goes for SOXL. $Invesco QQQ(QQQ)$ is relatively weak but sitting at support around 720.
$Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ The SOXX index structure is still messy, so volatility shouldn't be a surprise. But the broader setup still looks bullish, and the index will probably keep grinding higher within that channel. Some people seem a bit jaded if they think April-June was normal.
$Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ Unless inflation hits 10%, I don't see a crash coming. The way metrics are set up, they won't really capture true inflation, so it's unlikely to print that high. A rising market still ends up hurting more people than a dropping one, and that's exactly why I'm bullish. The market seems to want to inflict pain on as many as possible.
I've managed to pull in over 500% by doing the opposite of what that perma-bear has been pushing. He's been sitting on a meager 22% over the last 5 years while calling for a crash the entire time. If someone keeps repeating that same collapse narrative long enough, sure, one day they'll eventually be right and collect their small 20%, but by then the bulls and the smart money would have already locked in 1000% gains before any real downturn hits. $Micron Technology(MU)$ $Direxion Daily Semiconductors Bull 3x Shares(SOXL)$
$Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ CPI data tomorrow should give the market some direction. From where I stand, what's really showing up is resilience. People are holding their bags instead of selling. It feels like a different mix of gamblers and believers this time around.