Mapping the market: Semiconductor stocks may be about to rise
SOXX•Semiconductor stocks have fallen 24% from June highs, while the Philadelphia Semiconductor Index recorded an eight-session losing streak and a 9-day RSI of 21.5. A rise above resistance near 12,064 and 13,350 could put record highs back in play, while support levels sit near 11,110 to 11,056, 10,815 and 10,601.
1. Signs of oversold conditions
The Philadelphia Semiconductor Index ended Friday at 11,137 after falling for eight straight sessions, its longest losing streak since October 2008. Since mid-1994, it has had a nine-session losing streak only twice. The index’s 9-day Relative Strength Index was 21.5, its lowest reading since April 8, 2025; technical analysis suggests traders may view the extended decline as a potential setup for a rebound.
2. Resistance and support levels
Initial resistance sits near the 50-day moving average at 12,064. Above that, the index would need to clear the downtrend line from its June peak and the October 6 high of 13,350 to put record highs back in play. Support levels include the September lows at 11,110 to 11,056, trendline support near 10,815, the rising 200-day moving average near 10,601 and the July 2026 low of 10,445.
