After trading up in a nice and night upward channel from September 2010 until early March of this year, the semiconductors swiftly sold off by the tune of almost 10% in just eight trading sessions.  From quick move down, the SMH has now retraced (moved up) a little over 50%, which also coincides with the 50 day moving average (yellow line).  

If you want to see further confirmation of this setup, please look at the charts of individual semiconductor companies such as INTC, AMAT, and CY.

I see a trade here to go short around $34.60 with target1 at $34, target 2 at 33, and a possible target 3 as low as $31.30

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