Good perspectives for the semiconductor index.

 

Every week we analyze the stock indices of the world due to Inchcapital Platform to look for the strongest of the equity market and to capture the best investment opportunities. This week, the ranking classified for trend and momentum highlights some emerging markets e.g: Venezuela, Kazakhstan, Argentina Egypt and Latvia.

The first DM (Developed Market) index is the Philadelphia Semiconductor Index (SOX). The first five ranked stocks, always in order of strength are: Universal Display isin code US91347P1057, Nvidia isin code US67066G1040, Coherent Inc. isin code US1924791031, Brooks Automation Inc. isin code US1143401024 and AMD isin code US0079031078.

Some of these are not among of the SOX index components, but it does not matter, as our purpose is to capture the best stock index to identify the best investment opportunities associated. Every week, the top five stocks based on trend and momentum shall be supplemented by new buy signals that are recorded at the end of each weekly session. For this week, we propose Plexus Corp. isin code US7291321005 (buy) and Flex Ltd isin code SG9999000020 (strong buy).

 

The weekly bar chart shows the new signal long for the long/term period for the stock PLEXUS.

InchCapital Platform – Data Source: Datalink

 

From the cyclical analysis it emerges that Plexus has completed an important corrective phase of about six months and could return in the next few weeks in area 56.50 / 58.50 (current 52.58), then rise beyond that area in search of new maximums above 60.00. The bullish potential will be in progress until there has not been a weekly close below 49.20. Read more: Plexus Corp isin code US7291321005

 

 

The picture shows the cyclical trend price/momentum daily on the left and weekly on the right side.

InchCapital Platform – Daily and Weekly trend stage.

 

 

The weekly bar chart shows the new signal long for the stock FLEXTRONIC.

InchCapital Platform – Data Source: datalink

 

Flex Ltd (daily close 16.54) highlights a short-term stop at 15.96 and a first target at 17.10. Beyond the last level, there should be no obstacles until 18.00. Read on Flex Ltd isin code SG9999000020

 

The weekly bar chart shows the new signal long for the ETF ISHARES PHLX SEMICONDUCTOR

InchCapital Platform – Data Source: Fida

 

If you decide to invest directly on the SOX index, there are two ETF e.g. iShares PHLX Semiconductor ETFs (SOXX) isin code US4642875235 and the Direxion Daily Semiconductor Bull 3X Shares ISF code US25459W4583. The first has a lower risk in terms of volatility than the second that is leveraged as can be seen in the description. Read on: iSharers PHLX Semiconductor isin code US4642875235