January 23, 2023, 11:23 am EST
Stock market rallies quickly in anticipation of slower rate hikes of 25 basis points. Dow Jones is up +357 points in the early trades. Nasdaq advances +1.9% at this moment. More importantly, the offensive industry took the lead. It means that the market turns to aggressive mode.
The hardware industry is the semiconductor industry (SMH) where all computer chips are designed for all electronic devices. It includes most of the items we used on daily basis like phones, computers, cars, TV, etc. It should be easy to understand the importance of the ICs that this industry produced.
Many of the semiconductor stocks add +5% gains as of now with a technical breakout. Here is the lineup:
- Core: Advanced Micro Devices Inc (AMD), Nvidia Corp (NVDA). Intel (INTC)
- Memory: Western Digital Corp (WDC), Seagate Technology Holdings Inc (STX), Micron Technology Inc (MU)
- Infrastructure: Marvell Technology Inc (MRVL)
- Wireless: Qualcomm Inc (QCOM)
- Sensor: On Semiconductor Corp (ON)
- Power Electronics: Monolithic Power Systems Inc (MPWR)
- IP: Skyworks Solutions Inc (SWKS)
Most of them become bullish bias with respect to their short-term and medium-term trend lines (50-day-moving-average). Some of them are even above their long-term trend line (200-day-moving-average).
Definitely, it is worth attention to watch. If the bulls market came back, then this industry will be the leading industry for sure.