Will Head And Shoulders Pattern Send Semiconductors Index Deep In Red?

Today we share another important chart for the Semiconductors. Why? Because they are a market leader that has fallen on hard times this year.

And as you may have noticed, we always bring to light the latest reversals and key tests of support/resistance in an effort to highlight potential trend changes.

Just last week, we shared a chart 2-pack looking at key trend line tests for the Semiconductor ETF (NASDAQ:). Today, we look at a harrowing pattern for the .

SOX Weekly Chart

SOX Weekly Chart

In the “weekly” chart of the $SOX, we can see that the Semiconductors Index has formed a head and shoulders pattern over the past 9 months. If this read happens to be correct and support fails at (1), the SOX Index could experience a lot of red going forward. 

Time to watch the leader of all leaders for the past decade-plus. Bulls better put up a fight, or it could get ugly in tech land. Stay tuned!

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