Short squeeze in the semis! It is happening again.
Ever since Lam Research (LRCX) called the bottom with its $5 billion buyback announcement this group has been on fire.
It is showing no signs of stopping. Western Digital (WDC) , which was optimistic about the second half and Micron (MU) which shares that view haven't stopped flying. Broadcom (AVGO) is taking a break today but NXP Semi (NXPI) is very strong. So is Skyworks (SWKS) , even as that's heavily skewed to the one area of real weakness, cellphones.
AMD's (AMD) resting after an amazing two-day move. Analog Devices (ADI) , Texas Instruments (TXN) and, yes, Nvdia (NVDA) , are screaming once again. Even Intel (INTC) , which reported a not so hot number and names a surprising CEO, Bob Swan, to the job, is screaming.
Now I think it is fair to say that this move is deeply related to the VanEck Vectors Semiconductor ETR (SMH) which is taking out all of the levels that the Fib Queen wrote about the other day and I talked about on Mad Money Tuesday night.
It's worth focusing on. This is a lead group. It led us down. It is leading us back up.
It's incredible to watch.
