This is not a pleasing short-term picture for Semiconductor and Technology bulls. Since these are leaders, it is not a pleasing picture for the broad market either.
After making a bearish engulfing candle yesterday SOX is in danger of breaking what may be a bear flag.
NDX is doing likewise.
Yesterday’s bearish reversal candles need not have significance of more than a day or two. But of more significance would be whether or not SOX and NDX remain below the red dotted breakdown lines. Both of these indexes remain in massive up trends, so the above is just a short-term view. But for a bear, it would be a start.
I will not be able to watch the market much over the next couple of days but I wanted to get this potential short-term signal out to anyone interested.
