December 19, 2023

By Nigam Arora & Dr. Natasha Arora

To gain an edge, this is what you need to know today.

Look Ahead

Please click here for a chart of semiconductor ETF SMH.

Note the following:

• Semiconductors are the leading sector.  Advances in semiconductors are also at the core of the artificial intelligence revolution.  Therefore prudent investors always pay attention to semiconductors.
• The chart shows a decisive up move in semiconductors after the breakout.
• RSI on the chart shows semiconductors are very overbought.  Overbought markets tend to be vulnerable to the downside.
• Market mechanics are very powerful and have been the primary force driving the stock market higher.