Chart of the Day - Monday, December 11, 2023

Today’s Chart of the Day was shared by Ian McMillan (@the_chart_life). The Semiconductor ETF ($SMH) broke out to record highs today after its third largest component, Broadcom ($AVGO), surged +9%. $SMH initially broke out in July, but that breakout quickly failed, and it went on to correct -11% over the next three months. After two years of no progress, $SMH looks ready to resume its long-term uptrend and make a new leg higher. Ian points out that this is another win for the bulls as Semiconductor stocks often lead the broader market higher or lower.