Cycle Trading

Semi Conductors were leading the bull market higher during the advancing phase and then lead the marker lower during the declining phase.

The triple leverage Semi Conductor ETF saw a huge spike in volume on Monday. These volume spikes on the leveraged funds can signal that a turning point is near.

Stocks backtested the day 18 low on Monday, but managed to remain above the day 18 low. There are bullish divergences developing on the oscillators. If stocks form a swing low, a long position can be entered using the day 18 low of 3584.13 as the stop.