Stock futures moved higher Wednesday night, mostly on the back of strong earnings from several major tech companies. Nvidia gained more than 4% after beating expectations and guiding for strong revenue growth. Salesforce and Okta also rose after posting better-than-expected results. Now attention is turning to the Federal Reserve's Jackson Hole meeting and more company earnings. Overall, the tone feels bullish to me. Strong tech earnings seem to be giving investors more confidence in the market. $Invesco QQQ(QQQ)$ $NVIDIA(NVDA)$ $Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ $ProShares UltraPro QQQ(TQQ
$Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ The chop looks about done, and it feels like it's ready to pop. There was that article about someone who put $1M into SOXL, lost roughly 80%, held through it, and it ended up turning into $7.5M. That's quite a story. Diamond hands.
$Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ Still like semiconductors. Someone once mentioned that if GoPro enables cameras with Nvidia video/image AI processors, there's going to be endless demand for memory and chips to store and process real-time data. It just doesn't end after that.
$Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ 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.