Semiconductor Stocks: I'm Still Standing

Last week, I posted about a possible temporary top for semiconductor stocks in line with the breakdown of the intermediate uptrend line for the Philadelphia Semiconductor Index (SOX). However, the market proved me wrong very quickly. This week, SOX rebounded back to its recent high. Does the party still have a long way to go?


Chart 1: SOX's daily chart as at April 26, 2017 (Source: Stockcharts.com)
 
If SOX can surpass the recent high, it would probably be above the intermediate uptrend line. If this condition is attained, I consider the semiconductor sector to be safe and the stocks' uptrend is likely to continue. For now, I feel that the jury is still out.


Chart 2: SOX's weekly chart as at April 26, 2017 (Source: Stockcharts.com)