The semiconductor index – SOX.X has gone just about nowhere in the last five years. January took it below an area of support that’s held since 2004. After the strong buying Friday in the sector, I’ll be watching it closer for the leaders. I’d expect it will come back above 400 in the short term, to retest that trendline. If that isn’t breached, the ugly long trend line of support from 1998 is the next stop. Will it take ten years to unwind one of the hottest sectors from the internet bubble. Could be.
