Semiconductor ETF (SMH) has been much stronger than the broad market since the 2009 low, almost doubling the gains of the S&P 500 in the past 9-years. The long-term trend on this leading index remains up at the time.

The near vertical rally over the past couple of years saw SMH  test the 2000 highs in January & February, where a monster bearish reversal pattern took place last month at (3), as it was attempting a breakout.

As the month is nearing an end, SMH has been soft in April and it is testing steep 2-year rising support at (4).

Support is support until broken and SMH is testing a very important support line this month, following a monster reversal pattern last month. What SMH does at support should send an important message to this leader and the broad markets going forward.



How The Recent Decline In Stocks Looks "Eerily" Like Major Bear Markets Of The Past