Artificial Assist?
The king of the jungle in semiconductors is NVDA. It is higher by almost a double on a YTD basis and is now doing what it should after such a spirited run, digesting. It nearly broke above the bull flag on the chart below, but did not CLOSE above the pivot after an upgrade from HSBC. Now do not get me wrong, this stock has exhibited excellent relative strength but I would just like to see the breakout occur in the absence of news. Give the world of credit for this name doing a bunch of the heavy lifting in the semi space (give credit to fellow “old tech” names like RMBS and LSCC), just 2% off most recent 52-week highs as AMD is 18% off its annual peak. It is the top holding in the SMH at nearly 14% and has declined on a WEEKLY basis just 3 times so far in 2023. Looking at the software space the IGV tried to break above a bull flag of its own at 305 Tuesday but could not CLOSE above. The VIX sure looks oversold after a recent rejection at the very round 20 number. Could be some time for some defense.