Here's a look at the technicals for the 3x Leveraged Semiconductor ETF ($Direxion Daily Semiconductors Bull 3x Shares(SOXL)$ ). It's currently testing a key support zone between $171 and $151, with major resistance up in the $214-$233 range.
The liquidity sweep during the recent selloff seems to have drawn in buyers, which points more towards accumulation than distribution.
While the Money Flow Index (MFI) has turned negative and volume has eased off a bit, the overall technical structure still looks constructive as long as that support holds.
From my perspective, this pullback could present a potential buying opportunity. For existing positions, holding looks reasonable, and for new ones, a swing trade targeting that $214-$233 resistance zone is something to consider.
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