Semiconductor Staying Power:
The semiconductors are on a roll, with the SMH jumping more than 12% this week. The ETF has recorded just three double digit WEEKLY gains in the last 5 years and they all occurred in 2020 (the last two rose 10.6 and 13.8% the weeks ending 4/10 and 3/27). It is higher by almost a double since both the weeks ending 3/20-27 were both below the very round par number intraweek, but each CLOSED above 100. It would not be surprising at all for a pause when it potentially makes contact with the 200 figure. Volume could have been a bit firmer, but one can not dispute the more important PRICE action. We are all aware of the firmness in best of breed names like NVDA, but very impressive is the moves this week in others. MRVL which was originally punished for its appetite for IPHI, jumped more than 20% this week. MTSI has quickly built the right side of a cup base pattern, not long after a 25% haircut during an ugly 6 week losing streak this summer. ENTG has already recouped all and then some of a 11 session losing streak between 10/14-28. This group has mojo to say the least.